The Coronavirus Business Interruption Loan Scheme (CBILS) was designed by the government to help support businesses who have suffered adversely as a result of the Coronavirus pandemic.
Business can use the facility as a loan to support the business, for asset finance or asset re-finance. Johnson Reed has access to the scheme and can provide the full facilities through its panel of accredited lenders.
Due to unprecedented circumstances and high demand, the scheme is very sought after, meaning it is essential that businesses get their applications spot on when applying. Having worked with businesses to secure these finances, Johnson Reed has a few tips and ideas to help you speed up and secure your finance to help give your business the kickstart it needs right now.
The criteria includes specification on length of trading, amount of turnover, effects of Coronavirus, purpose of the loan, finance terms and amount of finance. Check out the criteria here.
Assessing company accounts, cash flow forecasts and other financial statistics will support the application. Exemplifying why the business needs the facility, how it was performing before and how it will benefit after is key to submitting a valid and approval-bound application to Johnson Reed’s panel of lenders.
Lenders are faced with large volumes of applications and are likely to favour applications that help them with the process by making it simple and readable, with all required information.
Details such as year-end accounts, bank statements, directors’ information will be required, and will keep your application intact. Lenders are not hesitant in rejecting applications with inaccurate, wrong or insufficient information, forcing your business to the back of the queue, so this step is essential to securing your finance facility.
Therefore, ensuring that the cashflow forecast includes everything required and is an accurate reflection of the business, its turnover, profit and expenditure, to give the lenders a clear view of your business’ finances. In addition, ensuring company accounts are accurate and up to date, as well as bank statements, with justification and explanation for all income and expenditure. This will reflect well on the business and support the application.
Having the matched the criteria with the correct information and details of what is required and for how long you want to repay it for, the process can then begin to ensure the best chance of securing vital funding for your business during this period of economic uncertainty.
Johnson Reed’s online application form can be found here.
Download this PDF for more information.
Johnson Reed www.johnsonreed.co.uk