Date15 Aug 2022
CategoryBanking & Finance
In welcome news to SMEs, it was announced last month, as noted here, that the Recovery Loan Scheme (RLS) would be extended until 2024.
While the new iteration continues to offer loans of up to £2million and to be 70% Government-backed, there have been some tweaks to the eligibility criteria and key features. The changes to note are highlighted below:
Crucially, there’s no longer a requirement to showcase COVID-19’s impact. However, borrowers must not be experiencing financial difficulties and lenders will undoubtedly like evidence of a sustainable business model. The exceptions to this are charities and Further Education colleges. These organisations are still required to confirm the pandemic’s impact on their operations.
Further information on the key features of the scheme and the eligibility criteria can be found here.
The participating lenders are listed on the British Business Bank website, which is administering the scheme on behalf of the Government, and applications are now being accepted.
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If you have any queries regarding the Recovery Loan Scheme, please get in touch.