Bounce Back Loan Scheme

Support provided by British Business Bank

What does this involve?

Accessing finance quickly is important for smaller businesses hit by coronavirus disruption. The Bounce Back Loan Scheme (BBLS) allows small- to medium-sized businesses to apply for a loan 100% guaranteed by the UK Government.

You can apply for loans in any amount from £2000 up to 25% of your turnover. The maximum loan amount is £50,000.

You can apply through one of 11 accredited lenders. If you are refused by one lender, you can apply through another.

Am I eligible?

Yes, if your business:

  • is based in the UK
  • was established before 01 March 2020
  • has been adversely affected by coronavirus

Businesses from any sector can apply, with the exception of:

  • banks, insurers and reinsurers (not insurance brokers)
  • public sector bodies
  • state-funded primary and secondary schools

You are not eligible if you are already claiming under the following schemes:

  • Coronavirus Business Interuption Loan Scheme (CBILS)
  • Coronavirus Large Business Interuption Loan Scheme (CLBILS)
  • COVID-19 Corporate Financing Facility

If you have received a loan of up to £50,000 through one of these schemes, it can be transferred to the Bounce Back Loan Scheme through your lender.

What does this cost?

It is free to apply to the scheme.

If you receive a loan, you don't have to pay fees or interest for the first 12 months. After 12 months, interest will be charged at 2.5% per year.

Who is this for?

The scheme is for small- to medium-sized businesses looking to borrow between £2,000 and £50,000.

How long does this take?

Timescales will vary depending on your lender.

Important information

The length of the loan is six years. There is no fee if you repay it early.

You are responsible for repaying 100% of the loan.

Next steps

You need to apply directly through a participating lender. Visit the UK Government website to view a list of lenders.

Support provided by British Business Bank

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