Coronavirus Business Interruption Loan Scheme

Everything you need to know about CBILS, the UK government's new business loan scheme.

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What is the Coronavirus Business Interruption Loan Scheme (CBILS)?

As part of the 2020 Budget, the UK government announced a “Coronavirus Business Interruption Loan Scheme” to encourage lenders to provide business finance to viable small businesses. This will temporarily replace the existing Enterprise Finance Guarantee (EFG) and can be used to cover loans from £1,000 to £5 million for smaller businesses, or up to £25 million for larger businesses.

Under the CBILS scheme, the lender receives a government-backed 80% guarantee against the loan, but the borrower remains 100% liable for the debt.

Coronavirus Business Interruption Loan Scheme (CBILS) features

  • Loans up to £5 million for smaller businesses
  • Loans up to £25 million for businesses with turnover between £45 million and £500 million
  • Government guarantees 80% of loan amount
  • No personal guarantees required for loans under £250,000
  • Interest and loan fees covered by the government for initial 12 months

What types of loans does the CBILS support?

Different lenders may not necessarily offer all business finance options listed above, and your business will remain 100% liable for the debt.

Lending under CBILS to date

Lending under the Coronavirus Business Interruption Scheme has now passed £5.5 billion according to data released on 7 May.

With almost 34,000 loans now approved within the scheme, the average amount lent is a little over £164,000.

Lenders have also stepped up the approval rate of the loans. As recently as 14 April, only 21% of loans applied for were being approved. As of 7 May, loan approval rate has soared past 1 in 2 with 54% of loan applications being approved.

Date Number of loans approved Value of loans approved in £ billion
02-Apr 1,250 £0.146
03-Apr 1,487 £0.195
06-Apr 2,022 £0.292
07-Apr 2,576 £0.453
08-Apr 3,313 £0.613
09-Apr 4,222 £0.811
14-Apr 6,053 £1.116
15-Apr 7,609 £1.376
16-Apr 8,780 £1.594
17-Apr 10,473 £1.907
20-Apr 13,005 £2.228
21-Apr 14,779 £2.538
22-Apr 16,624 £2.825
23-Apr 18,595 £3.123
24-Apr 20,284 £3.379
27-Apr 22,091 £3.647
28-Apr 23,548 £3.890
29-Apr 25,262 £4.158
30-Apr 27,322 £4.436
01-May 29,496 £4.746
04-May 31,539 £5.083
05-May 32,734 £5.310
06-May 33,812 £5.548
10-May 35,919 £6.09
17-May 40,564 £7.25
24-May 43,045 £8.15

Is my business eligible for CBILS?

Your business will need to meet the following criteria to be eligible for support via the Coronavirus Business Interruption Loan Scheme (or EFG):

  • Be based in the UK
  • Have yearly turnover of no more than £45 million
  • Has a legitimate borrowing plan that would normally be considered viable by a lender
  • Can self-certify that your business has been adversely affected by the coronavirus pandemic

The following types of businesses are ineligible for a CBILS loan:

  • Banks, insurers and reinsurers
  • Public-sector bodies
  • Grant-funded further education institutions
  • State-funded schools

How do I apply for the CBILS?

While the scheme is backed by the UK government, the loans themselves are provided by a panel of leading commercial business lenders. To apply for a loan under the EFG scheme, you will need to contact one of the accredited lenders listed below.

Which business lenders are part of the CBILS scheme?

Secure Trust Bank

Secure Trust Bank

The FSE Group

The FSE Group

CWRT

CWRT

Tridos Bank UK

Tridos Bank UK

UKSE

UKSE

Newable

Newable

Calverton Finance

Calverton Finance

Leumi

Leumi

Ebury

Ebury

Scaniaa Financial Services

Scaniaa Financial Services

Woodsford TradeBridge

Woodsford TradeBridge

Business Enterprise Fund

Business Enterprise Fund

Paragon Bank

Paragon Bank

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ART Business Loans

ART Business Loans

Close Brothers

Close Brothers

MSIF

MSIF

Chamber Acorn

Chamber Acorn

Atom bank

Atom bank

Social Investment Business

Social Investment Business

ABN-AMRO Commercial Finance

ABN-AMRO Commercial Finance

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1pm

FW Capital

FW Capital

Haydock Finance

Haydock Finance

Whiterock Finance

Whiterock Finance

Tower Leasing

Tower Leasing

Mercia Asset Management

Mercia Asset Management

ThinCats

ThinCats

Secure Trust Bank

Secure Trust Bank

The FSE Group

The FSE Group

CWRT

CWRT

Tridos Bank UK

Tridos Bank UK

UKSE

UKSE

Newable

Newable

Calverton Finance

Calverton Finance

Leumi

Leumi

Woodsford TradeBridge

Woodsford TradeBridge

Business Enterprise Fund

Business Enterprise Fund

Paragon Bank

Paragon Bank

ask if

ask if

ART Business Loans

ART Business Loans

MSIF

MSIF

Chamber Acorn

Chamber Acorn

Atom bank

Atom bank

Social Investment Business

Social Investment Business

ABN-AMRO Commercial Finance

ABN-AMRO Commercial Finance

1pm

1pm

FW Capital

FW Capital

Whiterock Finance

Whiterock Finance

Tower Leasing

Tower Leasing

Mercia Asset Management

Mercia Asset Management

ThinCats

ThinCats

How long until my CBILS loan comes through?

Coronavirus business loan applications will likely take between four and six weeks to be approved, but this will vary based on the nature of your business, the type of loan you apply for, as well as the lender you apply with.

While lenders make the decision as to which businesses they will lend to, the loans also need to be booked through the British Business Bank.

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