The business interruption loans announced at last week’s Budget have been significantly extended allowing small and medium-sized businesses (with turnovers up to £45 million) to borrow up to £5 million to pay rent, salaries, suppliers or purchase stock.
The loans will be interest-free for the first 12 months, thanks to a pledge from the Government to cover interest payments during this period.
The scheme will be delivered by the British Business Bank, a state-owned body tasked with supplying credit and finance to small and medium-sized businesses.
The Government has said that these loans will be accessible from next week and it will be releasing information on the process required to apply for a loan soon.
To maximise your chances of accessing this support, it is important to collate up to date financial records, management accounts including future projections in the shape of cash flow forecasts and business plans.
More information regarding this loan scheme can be found here.