Coronavirus Business Interruption Loan Scheme: Difference between revisions

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''Business continuity - pandemic - UK.''
''COVID-19 - business continuity - UK.''


(CBILS).
(CBILS).


The CBILS will be provided by the UK government owned British Business Bank through participating providers.
The CBILS was provided by the UK government owned British Business Bank through participating providers.


It will offer more attractive terms for both businesses applying for new facilities and lenders, with the aim of supporting the continued provision of finance to UK businesses during the Covid-19 outbreak.
It offered more attractive terms for both businesses applying for new facilities and lenders, with the aim of supporting the continued provision of finance to UK businesses during the Covid-19 outbreak.


The CBILS provides the lender with a UK government-backed guarantee against the outstanding facility balance, potentially enabling a ‘no’ credit decision from a lender to become a ‘yes’.  
The CBILS provided the lender with a UK government-backed guarantee against the outstanding facility balance, potentially enabling a ‘no’ credit decision from a lender to become a ‘yes’.  


The UK government will also cover the first 12 months of interest payments, so businesses will benefit from lower initial repayments. The business remains liable for repayments of the capital.  
The UK government also paid the first 12 months of interest payments, enabling businesses to benefit from lower initial repayments. The business remained liable for repayments of the capital.  


The maximum value of a facility provided under the scheme will be £5 million.
The maximum value of a facility provided under the scheme was £5 million.




CBILS supports a wide range of business finance products, including:
CBILS supported a wide range of business finance products, including:


*Term facilities
*Term facilities
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To be eligible for support via CBILS, the small business must:
To be eligible for support via CBILS, the small business had to:


*Be UK based, with annual turnover of no more than £45 million.
*Be UK based, with annual turnover of no more than £45 million.
*Operate within an eligible industrial sector.
*Operate within an eligible industrial sector.
*Be unable to meet a lender’s normal lending requirements for a fully commercial loan or other facility, but would be considered viable in the longer-term.
*Be unable to meet a lender’s normal lending requirements for a fully commercial loan or other facility, but would be considered viable in the longer-term.
For new borrowings from April 2021 onward, CBILS was superseded by the Recovery Loan Scheme (RLS).




==See also==
==See also==
* [[Bounce Back Loan Scheme]]
*[[British Business Bank]]
*[[British Business Bank]]
*[[Business continuity plan]]
*[[Business continuity plan]]
*[[Contingency plan]]
*[[Contingency plan]]
*[[COPD]]
*[[Coronavirus]]
*[[Coronavirus]]
*[[Coronavirus Job Retention Scheme]]
*[[Coronavirus Job Retention Scheme]]
*[[COVID-19]]
*[[Coronavirus Large Business Interruption Loan Scheme]]
*[[COVID-19 Corporate Financing Facility]]
*[[COVID-19 Corporate Financing Facility]]
*[[Disaster recovery planning]]
*[[Disaster recovery planning]]
*[[Financial stability]]
*[[Financial stability]]
*[[Liquidity management]]
*[[Liquidity management]]
*[[WFH]]
* [[Recovery Loan Scheme]]  (RLS)
*[[Stranded middle]]




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[https://www.gov.uk/government/publications/guidance-to-employers-and-businesses-about-covid-19/covid-19-support-for-businesses UK government: support for businesses]
[https://www.gov.uk/government/publications/guidance-to-employers-and-businesses-about-covid-19/covid-19-support-for-businesses UK government: support for businesses]
[https://www.gov.uk/coronavirus UK government: COVID-19 support hub]


[[Category:The_business_context]]
[[Category:The_business_context]]

Latest revision as of 21:25, 30 December 2022

COVID-19 - business continuity - UK.

(CBILS).

The CBILS was provided by the UK government owned British Business Bank through participating providers.

It offered more attractive terms for both businesses applying for new facilities and lenders, with the aim of supporting the continued provision of finance to UK businesses during the Covid-19 outbreak.

The CBILS provided the lender with a UK government-backed guarantee against the outstanding facility balance, potentially enabling a ‘no’ credit decision from a lender to become a ‘yes’.

The UK government also paid the first 12 months of interest payments, enabling businesses to benefit from lower initial repayments. The business remained liable for repayments of the capital.

The maximum value of a facility provided under the scheme was £5 million.


CBILS supported a wide range of business finance products, including:

  • Term facilities
  • Overdrafts
  • Invoice finance facilities
  • Asset finance facilities


To be eligible for support via CBILS, the small business had to:

  • Be UK based, with annual turnover of no more than £45 million.
  • Operate within an eligible industrial sector.
  • Be unable to meet a lender’s normal lending requirements for a fully commercial loan or other facility, but would be considered viable in the longer-term.


For new borrowings from April 2021 onward, CBILS was superseded by the Recovery Loan Scheme (RLS).


See also


Resources for COVID-19

ACT technical - COVID-19

UK government: support for businesses

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