Business Recovery Loan Scheme
As the UK continues on its roadmap to all restrictions being lifted and life returning to normal, many businesses are now starting to open up again and consider the future.
There are so many industries that have been affected by the events of the last 12 months so it is important to know that you are not facing this alone.
All Star Funding are here to support you through any financial needs your business may have, so please don’t hesitate to get in touch if you want to talk through what financial options you have open to you.
What Is The Business Recovery Loan Scheme?
One way that the Government are supporting businesses is the Recovery Loan Scheme (RLS) that launched on the 6th April 20201.
The idea behind the scheme is to support businesses of all sizes as they start to recover and grow their business once again. Any business can apply, so long as you can declare that your business has been affected by Coronavirus.
You don’t need a specific business purpose for the loan, but it must be used for a legitimate purpose and you must be able to show that you can afford the repayments required for the loan.
You are still eligible for the loan if you have taken out any of the previous Government loan options but you may find that amount you are able to borrow under the Recovery Loan Scheme is affected.
How Does It Work?
The loan is currently offered through various lenders, all accredited by the British Business Bank, new lenders are being added and will be listed on the website as soon as they are approved.
There are different loans you can get – term loan, overdraft, invoice finance and asset finance, up to a total of £10 million.
It is important that you discuss with a financial expert what your options are. As a specialist broker we can help you find the best option for you and your business.
If you are borrowing more than £250,000 your lender might decide to take a personal guarantee against the loan amount.
It is worth noting that there is interest to be paid on the amount owed as soon as the loan starts.
You can borrow for any length of time between 3 months and 6 years.
There is no turnover restriction but if you have borrowed under a Government lending scheme before the amount you can borrow will be affected.
Any financial decision for you and your business is one to be taken seriously.
If we can help with your decision-making process or answering questions for you, please do not hesitate to get in touch.
Talk to the specialists.
Without a doubt speaking to a specialist Business Finance brokerage would be beneficial for many business owners. Lenders are reacting to the pandemic and government advice which can be confusing for the borrower.
We can help offer FREE advice and FREE processing of any type of application. There is no one size fits all solution and many businesses have different needs and requirements. Finally we can help guide you through the many different options available on the market.
Please click below or call 0161 8211478 to speak with one of our specialists.
Finally as members of the Financial Conduct Authority you can be assured of a great service.
Some of our specialist areas of Finance are:
- Asset Based Lending
- Asset Finance
- Business Loans
- Cashflow Finance
- Invoice Discounting
- Single Invoice Finance
- Trade Finance
- Stock Finance
- Credit Insurance