Coronavirus Bounce Back Loan Scheme
April 30, 2020The government has this week released details on the new Coronavirus Bounce Back Loan Scheme, which will help small and medium-sized businesses affected by Coronavirus.
https://www.gov.uk/government/news/small-businesses-boosted-by-bounce-back-loans
This scheme is to launch on Monday 4 May 2020 and the government will guarantee 100% of the loans of between £2,000 and £50,000. The loans will be government backed and not carry fees or interest for the first 12 months.
To be eligible your business must be:
based in the UK
negatively affected by coronavirus
not an ‘undertaking in difficulty’ on 31 December 2019
The scheme is open to the majority of business sectors although the following cannot apply:
banks, insurers and reinsurers (but not insurance brokers)
public-sector bodies
further-education establishments, if they are grant-funded
state-funded primary and secondary schools
The scheme is not available to businesses which are already claiming under the Coronavirus Business Interruption Loan Scheme (CBILS) although existing loans under the CBILS may be transferred to the Bounce Back Loan scheme before 4 November 2020.
Details will be available on the GOV.UK website on Monday 4th May when the scheme is launched.