Small businesses are to benefit from a new fast track finance scheme providing loans with a 100% government-backed guarantee for lenders.
The new Bounce Back Loans Scheme will bolster the existing package of support available to the smallest businesses affected by the coronavirus pandemic by providing loans of up to £50,000.
The scheme has been designed to ensure that small firms who need vital cash injections to keep operating can get finance in a matter of days. The government will provide lenders with a 100% guarantee for the loan and pay any fees and interest for the first 12 months. No repayments will be due during the first 12 months.
The scheme will launch for applications on Monday 4 May. Firms will be able to access these loans through a network of accredited lenders.