The Coronavirus Large Business Interruption Loan Scheme (CLBILS) extends the smaller CBILS scheme to facilitate access to finance for medium-sized and larger businesses affected by the coronavirus outbreak.
Helping larger businesses during a national crisis
You are of course able to access CLBILS funds by approaching approved lenders directly. However, as a larger business your borrowing requirements are likely to be more complex and professional support may be needed to advise on the most appropriate and cost effective funding solution.
If your business has turnover of more than £45m and you are looking to borrow up to £50m, we now offer a professional support service to secure your Coronavirus Large Business Interruption Loan. If your business has turnover of less than £45m see our smaller business page.
Getting your application right first time is your fastest way to much needed cash. Structuring your overall financing package taking into account requirements of existing lenders will require managing multiple interested parties efficiently. Our team of banking experts manage the CLBILS process making sure that your application is an easy one for overburdened lenders to approve and works with your existing facilities.
What does our CLBILS Support Service provide?
If you are a large business and need help with your CLBILS application for emergency funding, here’s some of the support we can offer:
- Right first time. We have been working with the major lenders to understand exactly what information they need to process your application. We can help you collate and represent the information your lender will require, in the format that they need so that your application can be processed quickly.
- Maximise support. We can make sure your plan demonstrably maximises the support offered by the government. We have a working knowledge of the Coronavirus Job Retention Scheme, VAT deferrals, Time to Pay arrangements, rates relief and other initiatives.
- Robust forecasts. Whilst your forecasts will always be your own, we can advise you on the revenue deferrals and cost mitigations that lenders consider reasonable and acceptable when presenting your projected cashflows as part of a robust financial model.
- Repayment plans. We can help you set out a business plan that will be acceptable to the lender to meet the repayments. In the current environment what is a sensible plan that your lender will accept? We can help.
- Negotiate security. We can help you negotiate the structure of the security with your lender and its interaction with existing facility providers to make sure that all existing facilities and security arrangements are accommodated, or modified where required.
- Resource allocation. You may have more pressing things you need to deal with in your business that you cannot outsource. We can be the extension of your team that manages much of the CLBILS process for you.
- Funding expert support. We have already built up considerable experience in dealing with accredited lenders for emergency support. We can apply all our learnings of potential pitfalls and nuances to your requirement.
Important things to consider
- The Coronavirus Large Business Interruption Loan Scheme (CLBILS) provides financial support to mid-sized and larger UK businesses across the UK that are losing revenue, and seeing their cashflow disrupted, as a result of the COVID-19 outbreak.
- CLBILS facilitates access to finance for businesses with a turnover above £45 million, the upper limit for the existing smaller-business focused Coronavirus Business Interruption Loan Scheme (CBILS), and less than £500 million.
- The maximum facility provided under the scheme is £50 million (£25 million for eligible businesses with a turnover under £250 million), available on repayment terms of up to three years.
- The scheme provides the lender with a government-backed, partial guarantee (80%) against the outstanding balance of the finance.
- Instruments include term loans, revolving credit facilities, invoice finance and asset finance.
- Finance terms are offered from 3 months to 3 years.
- No personal guarantees are permitted for facilities under £250,000. For facilities of £250,000 and over, claims on personal guarantees cannot exceed 20% of losses after all other recoveries have been applied.
For more details about the Coronavirus Large Business Interruption Loan Scheme, please refer to our CLBILS FAQs page.
How much does the CLBILS Support Service cost?
Our fees are set out in our CLBILS FAQs page. We are offering substantial discounts to our normal fees to support the SME community during this crisis.
What should I do next?
If you would like Shaw & Co to help you apply to the Coronavirus Large Business Interruption Loan Scheme, please fill in our short support service application form by clicking the button below, or contact one of our experts shown on this page.