Last chance to apply to the Recovery Loan Scheme

Last chance to apply to the Recovery Loan Scheme
The Recovery Loan Scheme, set up by the government to give companies better access to finance in the wake of the Covid-19 pandemicic, is to close on 30 June.
The Scheme enables UK firms of any size access loans and other finance so they can recover after the pandemic and transition period as they re-build their operations.
At the Autumn Budget 2021, Chancellor of the Exchequer Rishi Sunak announced that the Recovery Loan Scheme, originally set to close on 31 December 2021, was to be extended by six months to 30 June 2022, with the following changes applying from 1 January 2022:
• The scheme will only be open to businesses with a turnover not exceeding £45m per annum.
• The maximum amount of finance available will be £2 million per business (maximum amount per group limited to £6m)
• The guarantee coverage that the government will provide to lenders will be reduced to 70%.
While the government guarantees 70% of the finance to the lender, it is important to be aware that the borrower is 100% liable for the debt. The amount offered and the terms and conditions of the loan are at the discretion of participating lenders.
• Find out more about the scheme at the British Business Bank website.