The government has just announced a new micro business loan scheme. This has been described as a ‘bounce back loan’ and will help all those small businesses that were struggling to access the original Coronavirus Business Loan Scheme (CBILS).
The scheme will open next Monday (4th May) and payments should be made within 24 hours of acceptance.
The loan will be up to 25% of the business turnover with a maximum loan of £50,000.
The government will pay the first 12 months of interest on behalf of the business and they will guarantee 100% of the loan.
Unlike CBILS, there will just be an application form to fill in and no business viability checks will be needed.
Not perhaps the best outcome, but at least some support for those that need it most.
We will keep this page updated as we find out more.