How to apply
1. Find a lender
Choose an RLS accredited lender
2. Approach a lender
Approach a lender yourself, ideally via its website. Not every accredited lender can provide every type of finance available under RLS, so see the lenders’ websites for more information.
3. The lender makes a decision
Please note that Recovery Loan Scheme-backed facilities are provided at the discretion of the lender. Under the scheme, lenders won’t take any form of personal guarantee for facilities of £250,000 or less.
If you’re borrowing more than £250,000, the lender has the discretion to decide whether to take personal guarantees. If one lender turns you down, you can still approach other lenders within the scheme.
Who is eligible?
Your business must:
· have been impacted by Covid-19 – you will need to confirm this to the lender
· be trading in the UK
· have a viable business proposition – your lender may disregard (at its discretion) any concerns over short-term to medium-term business performance due to the uncertainty and impact of Covid-19.
Credit and fraud checks
Lenders will be required to undertake standard credit, fraud, Anti-Money Laundering (AML) and Know Your Customer (KYC) checks for all applicants. There is no turnover restriction for businesses accessing the scheme.
The following are not eligible under RLS:
· Banks, building societies, insurers and reinsurers (excluding insurance brokers)
· Public-sector bodies
· State-funded primary and secondary schools
What a lender will need from you
You will need to provide certain evidence to show that you can afford to repay the RLS-backed facility. This is likely to include the following:
· Management accounts
· Business plan
· Historic accounts
· Details of assets
Decision-making on whether a business is eligible for RLS is fully delegated to the British Business Bank’s accredited RLS lenders.