More than £1 billion has now been awarded to businesses through the landmark Recovery Loan Scheme, the latest figures have revealed.
The report, published by the British Business Bank (BBB), comes ahead of the initiative closing at the end of this year.
Launched in April 2021, the Recovery Loan Scheme supports borrowing up to £10 million for individual businesses and up to £30 million across a group and is supported by 76 accredited lenders.
The cash – of which 80 per cent is guaranteed by the Government – can be used for a variety of business purposes, including managing cashflow, growth, and investment.
In addition, no personal guarantees are taken on facilities up to £250,000.
The report shows that the scheme has now passed a significant milestone, lending over £1 billion to small and medium-sized enterprises (SMEs) in the form of 6,190 independent facilities, such as loans, overdrafts and invoice or asset finance.
Commenting on the success of the Recovery Loan Scheme, Catherine Lewis La Torre, CEO at the BBB, said: “Businesses up and down the country are beginning to look beyond the pandemic towards the opportunities available to them in the recovery.
“The BBB is committed to supporting smaller businesses in accessing the finance they need to grow sustainably in the future. In meeting the £1 billion milestone, the Recovery Loan Scheme is demonstrating its impact by helping thousands of companies to fund their further development.”
To be eligible for a Recovery Loan, you must be trading in the UK and be able to evidence that your business has been adversely impacted by the pandemic and would be viable if it were not for Covid-19 disruption.
The scheme will close to new applications on 31 December 2021.
For help and advice with related matters, please get in touch with our team today.