Arkle is accredited for CBILS, provided by the British Business Bank, for Term Loan and Asset Finance variants. Arkle can offer equipment finance from £5,000 for both new and existing customers. In addition, we can also offer term loans from £50,001, primarily for existing customers.
The Coronavirus Business Interruption Loan Scheme (CBILS), launched on 23rd March 2020, supports a wide range of business finance products, including term loans, overdrafts, invoice finance and asset finance facilities. It can provide facilities of up to £5m for smaller businesses across the UK who are experiencing lost or deferred revenues, leading to disruptions to their cashflow.
Full details on CBILS eligibility criteria and the list of participating CBILS lenders can be found on the British Business Bank website and contains all the key details:
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FAQs for SMEs: Download SME-focused CBILS FAQs
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Eligibility Checker: Download Quick Eligibility Checker
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CBILS infographic: Download CBILS Infographic
Key Features:
- Interest and fees paid by Government for 12 months: The Government will make a Business Interruption Payment to cover the first 12 months of interest payments and any lender-levied fees, so smaller businesses will benefit from no upfront costs and lower initial repayments.
- No Personal Guarantees on transactions below £250,000
- The borrower always remains 100% liable for the debt.
New Scheme Features:
- No personal guarantees for facilities under £250k: Personal guarantees of any form cannot be taken under the scheme for any facilities below £250k.
- Personal guarantees for facilities above £250k: Personal guarantees may still be required, at a lender’s discretion, but recoveries under these are capped at a maximum of 20% of the outstanding balance of the CBILS facility after the proceeds of business assets have been applied. A Principal Private Residence (PPR) cannot be taken as security to support a personal guarantee or as security for a CBILS-backed facility.
- Security: For all facilities, including those over £250,000, CBILS can now support lending to smaller businesses even where a lender considers there to be sufficient security, making more smaller businesses eligible to receive the business interruption payment1.
- Insufficient security is no longer a condition to access the scheme. Importantly, access to the scheme has been opened up to those smaller businesses who would have previously met the requirements for a commercial facility but would not have been eligible for CBILS. This significantly increases the number of businesses eligible for the scheme. The expanded scheme will be operational with lenders from Monday 6 April 2020.
1Please note that where there is sufficient security available, it is likely that the lender will take such security in support of a CBILS facility
New Eligibility Criteria:
- Smaller businesses from all sectors can apply for the full amount of the facility. To be eligible for a facility under CBILS, a smaller business must:
- Be UK based in its business activity, with turnover of no more than £45m per year.
- Have a borrowing proposal which, were it not for the current pandemic, would be considered viable by the lender
- Self-certify that it has been adversely impacted by the Coronavirus (COVID-19).
Next Steps:
There is a lot of information and we encourage you to please take the time to review the eligibility criteria. If you have any queries relating to the scheme then please contact our team and they will revert to you as soon as possible.
Arkle Finance is supporting CBILS through the provision of funding for businesses under the following parameters:
- Products Covered
- Equipment Finance: From £5,000 for new and existing Customers
- Loans: From £50,001 (primarily for existing Arkle Customers only)
- Customers: UK SMEs meeting the eligibility criteria
- Terms:
- Equipment Finance: 2-5 years
- Loans: 3 months-5 years
- Business Details: UK-based with Turnover under £45m
- For Other Products: Visit the British Business Bank
Please note other conditions and exclusions may apply and we would request you check the links for further details.
Should you have a requirement to acquire business-related equipment, please check your eligibility here.
The Coronavirus Business Interruption Loan programme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy and Industrial Strategy. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. For full details visit www.british-business-bank.co.uk/CBILS
