In addition, the government has announced a series of support measures. SMEs with an annual turnover of less than £45m can apply for the government’s Business Interruption Loan Scheme which offers an interest-free loan of up to £5m. Businesses will be able to borrow for up to six years however, you will need to prove you are a viable business that only needs the extra support because of these short-term difficulties. Forty lenders have signed up to the scheme and you should apply directly to your own bank in the first instance. Full details can be found here.
Larger companies with a turnover of more than £45m can apply to the Bank of England’s COVID Corporate Financing Facility, essentially a government promise to buy short term IOUs. Again, your business must have a high credit rating and be in a strong financial position.