Recovery Loan Scheme
Recovery Loan Scheme.
The final stage of the Government’s loan packages will open on 6th April 2021, this scheme is expected to run until 31st December 2021.
Businesses who have received prior COVID funding will be eligible to apply for a Recovery Loan Scheme, in so far as the business meets the qualifying conditions.
The conditions to meet eligibility include:
- The business must trade within the UK.
- The applicant must show the business is viable, were it not for the pandemic.
- The business is not in insolvency proceedings.
The Recovery Loan Scheme will offer:
- Term loans.
- Asset finance.
- Invoice finance facilities.
The Government will guarantee 80% of the value of the finance taken out.
Term loans, and asset finance will be available for terms up to six years; whilst overdrafts and invoice financing will be available for terms up to three years.
Interest and fees will be paid from the outset of taking out the finance.
It is anticipated that all major banks will offer the Recovery Loan Scheme.
Recovery Loan Scheme – click here to find out further information