Grow your business with the Recovery Loan Scheme
28th September 2021
Last month Finance For Enterprise became an accredited lender under the new Recovery Loan Scheme.
Launched by the British Business Bank as part of the Government’s measures to help businesses enjoy greater access to financial support, the scheme gives businesses the opportunity to apply for loan funding between £25,001- £250,000.
So, just what is the Recovery Loan and how can it help businesses to access the funds they need to grow? Jeremy Meadowcroft, an Investment Manager at Finance For Enterprise, explains:
Many businesses benefitted from loan funding since the beginning of the Covid-19 pandemic, with many taking advantage of programmes such as the Coronavirus Business Interruption Loan Scheme (CBILS) and the Bounce Back Loan Scheme (BBLS) .
Whilst both these schemes closed to new applicants earlier this year, businesses that did, remain eligible to receive funding through the new Recovery Loan Scheme.
However, the Government recognised there was a clear need to help businesses continue to access the funds needed to recover from the impact of the pandemic. Recovery Loans can be used to fund any legitimate purpose including managing cashflow pressures, funding investment in new equipment, as well as preparing for future growth.
In recent years many businesses have struggled to access finance from traditional lenders and the Recovery Loan Scheme was created to help more businesses access the funds at times when they are needed the most.
Businesses which have already benefitted from previous Government-backed lending programmes including CBILS and BBLS loans can apply for additional funding but they must demonstrate that repayments are affordable to the business, and previous loan commitments may impact upon the amount of money a business can borrow through the scheme.
If you’re thinking about applying for lending under the Recovery Loan Scheme, business owners should consider approaching the process like any other prospective loan agreement. Spend time thinking about the help and support your company needs and also consider how the lockdown has affected your ability to repay any future lending commitments.
Who can benefit from the Recovery Loan Scheme?
Finance For Enterprise may be able to support your business and provide loan funding worth up to £250,000 through the Recovery Loan Scheme. Businesses wishing to take advantage of the scheme must confirm they have been impacted by Covid-19, be based in the UK, and demonstrate the business is commercially viable.
The scheme is open to most businesses who meet the eligibility criteria, regardless of turnover. Businesses that have previously benefitted from the Bounce Back Loan Scheme (BBLS), the Coronavirus Business Interruption Loan Scheme (CBILS), or the Coronavirus Large Business Interruption Loan Scheme (CLBILS) can still access the new scheme, providing it is eligible and with total borrowing subject to a lender’s assessment of affordability. A full list of eligibility criteria can be found here: https://finance-for-enterprise.co.uk/business-loans/rls-faqs/
Who is Finance For Enterprise?
Finance For Enterprise has been helping businesses across South Yorkshire and beyond to overcome barriers to growth since 1985. We are a responsible and ethical lender who is committed to helping SMEs overcome barriers to growth and we can often help to support businesses when other lenders, such as banks, are unable to do so.
Backed by a team of knowledgeable and experienced Investment Managers, we pride ourselves in building close, collaborative working relationships with our clients, and provide a wide range of tailored lending packages to suit the needs of all businesses, from new entrepreneurs taking their first steps into self-employment, to established SMEs planning for growth.
We will guide you through the lending process, ensuring any funds provided can lay the foundations for future growth by providing the right lending at the right time.
At the heart of our business is a commitment to lending responsibly and ethically at all times. In addition to being an accredited Lender under the Recovery Loan Scheme, we work closely with the British Business Bank, acting as a delivery partner for Start-Up Loans UK and the Northern Powerhouse Investment Fund.
What other forms of help and support can Finance For Enterprise offer to businesses?
We can provide a wide range of loans up to the value of £250,000. We can also help new entrepreneurs to access up to £25,000 to build and develop their dream business through a Start-Up Loan. For more information on Start-Up Loans, visit: finance-for-enterprise.co.uk/start-up-loans/
Finance For Enterprise is committed to offering an alternative source of finance, helping to stimulate regional economic growth, create jobs, and help communities thrive. As a newly accredited lender of the Recovery Loan Scheme, we are helping businesses to recover, grow and boost the recovery.
To find out more about how Finance For Enterprise can support your business, visit: finance-for-enterprise.co.uk/rls or call: 0333 014 3455