GCBF is proud to be an approved lender under the Recovery Loan Scheme

Recovery Loan Scheme

GC Business Finance is accredited to offer Business Term Loans from £25,001 - £100,000, targeting businesses in the North West

Scheme features include:
- Up to £100,000 facility per business: The maximum amount of a facility provided under the scheme is £10m per business (maximum £30m per group). Minimum facility size starting at £25,001 for term loans.
- Term length: Term loans are available from 3 months, up to five years.
- Interest and fees to be paid by the borrower from the outset: Businesses are required to meet the costs of interest payments and any fees associated with the RLS facility.
- Access to multiple Covid-19 schemes: Businesses that have taken out a CBILS, CLBILS or BBLS facility are able to access the new scheme although the amount they have borrowed under a previous scheme may in certain circumstances limit the amount they may borrow under RLS.
- Personal Guarantees: Personal guarantees are not permitted for facilities of £250,000 or less. Above £250,000 the maximum amount that can be covered under RLS is capped at a maximum of 20% of the outstanding balance of the RLS facility after the proceeds of business assets have been applied. No personal guarantees can be held over Principal Private Residences.
̶ Guarantee to the Lender: The scheme provides the lender with a government-backed guarantee against the outstanding balance of the facility. The borrower always remains 100% liable for the debt.

Eligibility Criteria:

- Covid-19 impact: The borrower must confirm to the lender that it has been impacted by Covid-19.
- GM-based and the borrower must be carrying out trading activity in the UK.
- Viability test: The lender will consider that the borrower has a viable business proposition but may disregard any concerns over its short-to-medium term business performance due to the uncertainty and impact of Covid-19.
- Credit and fraud checks for all applicants: Lenders will be required to undertake credit and fraud checks for all applicants. The checks and approach may vary between lenders. Subject to status. Terms and conditions apply. 
- Turnover limit: There is no turnover restriction for businesses accessing the scheme.

 

Important Information
You can apply up to 31 December 2021, subject to review.
You’re responsible for repaying 100% of the loan. The provision of the government guarantee does not in any way reduce your liability for the whole amount of the loan. Loans are available to most business sectors, but restrictions apply.
The Recovery Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & Industrial Strategy. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. Visit http://www.british-business-bank.co.uk/recovery-loan-scheme 

A key aim of the Recovery Loan Scheme is to improve the terms on offer to businesses. If we can offer your business a commercial loan for the same amount on similar or better terms, without requiring the guarantee provided by the Recovery Loan Scheme, then we will.

Please note: The following are not eligible under RLS:
- Banks, Building Societies, Insurers and Reinsurers (excluding Insurance Brokers)
- Public sector bodies.
- State funded primary and secondary schools.

Business Finance Support

The British Business Bank has a range of guidance and resources available to all businesses, including content on managing your cashflow and a list of independent advice services.

FAQs

 

A: The scheme is open until 31 December 2021, subject to review.

A: You will be sent an application pack for you to complete, and a secure link to allow you to provide the required documentation for verification.

A: Typically Interest Rates are between 8.5% and 12.5% . Loans can be repaid over a maximum of 5 years.

A: Businesses can, in certain circumstances, use an RLS facility to refinance existing debt where total financing needs (including any increase) are greater than the minimum facility sizes available under the Scheme. For example, where a business is seeking to put itself on a more stable financial footing and/ or improve its working capital position, then, in principle, a RLS facility could be provided, providing the business fulfils the Scheme eligibility criteria. Refinancing can be undertaken with or without an increase in the original borrowing.

Further FAQS can be found here; https://www.british-business-bank.co.uk/ourpartners/recovery-loan-scheme/faqs/

Ready to apply?

You will need to provide certain documents when you apply for an RLS-backed facility. These will include:
- Management account (showing trading since last annual accounts)
- A business plan
- Cash Flow Forecast for 12 months
- CVs for Directors
- Aged Debtor and Creditor Summaries
- Historic Annual Financial accounts (Last 2 Years or is less, maximum available)
- Business Bank Statements (Minimum last 3 months)

Decision-making on whether a business is eligible for RLS is fully delegated to the British Business Bank's accredited RLS lenders.

Apply Below

Please include number of years and months

 

 The Recovery Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & Industrial Strategy. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. Visit http://www.british-business-bank.co.uk/recovery-loan-scheme