The UK Government has launched a new finance scheme to help small businesses get through the COVID-19 pandemic. The 247 Business Finance Recovery Loan Scheme is designed to provide loans, overdrafts, and other financial support for those businesses that have been affected by the economic downturn. Here’s what you need to know about this new scheme and how it could help your business stay afloat.
What is the 247 Business Finance Recovery Loan Scheme?
The 247 Business Finance Recovery Loan Scheme is a government initiative that enables small businesses in England, Scotland, Wales, and Northern Ireland to access up to £250 million of finance. Loans are available from £25,001 up to £5 million with repayment terms ranging from one year to ten years depending on the size of the loan and its purpose. Interest rates start at 2.5%, with no upfront fees or early repayment charges. This scheme is specifically designed for businesses that have been affected by the economic downturn caused by COVID-19 and provides access to finance that may not be available through traditional lenders.
Who Can Access Funds Through This Scheme?
Any business that has been adversely affected by COVID-19 can apply for finance through this scheme as long as they meet certain criteria such as being based in England, Scotland Wales or Northern Ireland; having a turnover of under £45 million per annum; employing less than 250 people; and demonstrating an ability to repay their loan without putting undue pressure on their finances. To apply for funds through this scheme you will need to provide information about your business such as financial statements, turnover figures, profit & loss accounts etc., so it’s important that you have all this information ready before applying.
How Can These Funds Help My Business?
The funds provided through this scheme can be used for any purpose related to running your business such as investing in new equipment or paying off existing debts. It can also be used for working capital purposes such as purchasing stock or covering payroll costs during difficult times. By taking out a loan through this scheme you are not only helping your business survive but also helping it grow and thrive in the future by providing access to capital when other sources may not be available.
Conclusion: The 247 Business Finance Recovery Loan Scheme is an excellent opportunity for small businesses who have been adversely affected by COVID-19 to access additional funds when other sources may not be available. The loans are competitively priced with no upfront fees or early repayment charges so you can get back on track quickly without worrying about paying more than necessary down the line. If you think your business could benefit from accessing additional funding then now is a great time to apply!
