I wanted to share some further information which has been provided by the Government and some banks regarding the Coronavirus Business Interruption Loan Scheme.
The key points are:
- Loans are available from £25,001 to £5m
- Available from 1-6 years
- No interest is Payable for 12 Months
- Capital Repayment Holidays are available for 12 months as well – so some clients will have no payments to make in the first year
- Loans are limited to 25% of the business’ turnover in 2019, or double the annual wage bill
These criteria may vary from one lender to another. However, there may be other forms of finance which might assist some clients, for example working capital loans, invoice discounting, or capital raising against property.
My expertise is not with Commercial Finance, but I do have an Associate who does have vast experience in this field, who I have every confidence in. If you would like to find out more, please email me in the first instance, & I’ll forward your details.
My own personal view, is I very little faith in Govts’ ability to deliver on these proposals, &, frankly, even less confidence in the Banks’ desire & capability to dispense, but anything is worth a go! Already, stories are being reported that Banks are charging 12% Interest even though Base Rate has decreased! Quelle surprise!! When these measures were first announced on TV, I proclaimed to my Wife, Jackie, that this (although welcome) was not a panacea, & would be unlikely to be workable-Only to be roundly & abruptly accused of cynicism & negativity ( mind you, she is a bit of a Boris Groupie!!). Au contraire, was my riposte, it’s just that I’ve heard & seen it all before, & BTW the definition of a cynic is; What a Fool calls an experienced Realist!! That shut her up-for a few seconds anyway!
Below, is a Link to the latest insight (interpretation?!) of Salaried Staff & Furlough Arrangements:
The Announcement re Govts’ Plan for similar directed to the Self Employed is anticipated later today.
I await with bated breath, in the expectation that Pigs’ Ear will be an appropriate description. It’s not that I doubt Govts’ best intentions, it’s just that decades of bitter experience dictate that they over- simplify the complicated, & over-complicate the simple!!
IT IS MY INTENTION TO BROADCAST UPDATES TO ALL MY CLIENTS ( & ANYONE ELSE WHO WOULD LIKE TO RECEIVE) ON A REGULAR BASIS, BUT EMAILING INDIVIDUALLY IS EXTREMELY INTENSIVE – SO COULD I ASK THAT YOU CONTINUE TO ACCESS VIA SOCIAL MEDIA – LINKS BELOW.
IF YOU FIND THIS HELPFUL PLEASE FEEL FREE TO FORWARD TO FRIENDS & COLLEAGUES – IF NOT, PLEASE ADVISE & I WILL REMOVE YOUFROM MT CONTACT LIST
BTW- I really do value your participation, & welcome any responses, Shares, Likes, Forwarding, etc (whatever people do on Social Media!), Google Reviews Click here to review I fully intend to still be here when the Crisis is over (Last Man Standing!), but I’m going to need your help to get there