We’ve stopped doing Recovery Loans

We’ve stopped doing Recovery Loans

If you’re looking for a longer-term loan, our Flexi Loan could fill the gap – it lets you invest up to £500,000 in your business over 24 months.

If you’re after information on the scheme, check with the British Business Bank. They’ve also announced that a replacement scheme is soon to come – sign up for updates and we’ll keep you in the loop on that.

Signup and we'll let you know when new products are available

We've been supporting over 50,000 small businesses with access to finance since 2012.

About the Recovery Loan Scheme

The Recovery Loan Scheme (RLS) launched on 6 April 2021 and supports access to finance for UK businesses as they recover and grow following the Covid-19 pandemic.

RLS aims to help businesses affected by Covid-19 and can be used for business purposes, including, managing cashflow, investment and growth. It is designed to support businesses that can afford to take out additional finance for these purposes. Businesses who have taken out a CBILS, CLBILS or BBLS facility are able to access the new scheme.

A key aim of the Recovery Loan Scheme is to improve the terms on offer to businesses, but if a lender can offer a business the choice of a commercial loan on better terms, without requiring the guarantee provided by the RLS, they should do so.

At Autumn Budget 2021, the government announced that the Recovery Loan Scheme will be extended by six months to 30 June 2022, with changes applying to all offers made from the 1 January 2022.

It is likely that a new version of the Recovery Loan Scheme will be proposed to businesses after the 30th of June 2022. Signup for updates and we'll keep you informed of any future changes regarding the scheme.

Features of the Recovery Loan Scheme

Below you can find information about eligibility criteria and core scheme features provided by the British Business Bank.

Up to £2m facility per business: The maximum amount of a facility provided under the scheme is £2m per business (maximum £6m per group). Minimum facility sizes vary, starting at £1,000 for asset and invoice finance, and £25,001 for term loans and overdrafts. Term length: Term loans and asset finance facilities are available from three months, for up to six years, with overdrafts and invoice finance available from three months, for up to three years. Interest and fees to be paid by the borrower from the outset: Businesses are required to meet the costs of interes

Access to multiple Covid-19 schemes: Businesses that have taken out a CBILS, CLBILS or BBLS facility are able to access the new scheme although the amount they have borrowed under a previous scheme may in certain circumstances limit the amount they may borrow under RLS.

Personal Guarantees: Personal guarantees are not permitted for facilities of £250,000 or less. Above £250,000 the maximum amount that can be covered under RLS is capped at a maximum of 20% of the outstanding balance of the RLS facility after the proceeds of business assets have been applied. No personal guarantees can be held over Principal Private Residences.

Guarantee to the Lender: The scheme provides the lender with a government-backed guarantee against the outstanding balance of the facility. The borrower always remains 100% liable for the debt.

Covid-19 impact: The borrower must confirm to the lender that it has been impacted by Covid-19.

UK-based: The borrower must be carrying out trading activity in the UK.

Viability test: The lender will consider that the borrower has a viable business proposition but may disregard any concerns over its short-to-medium term business performance due to the uncertainty and impact of Covid-19.

Credit and fraud checks for all applicants: Lenders will be required to undertake credit and fraud checks for all applicants. The checks and approach may vary between lenders.

Turnover limit: Businesses with a turnover not exceeding £45m per annum.

The Recovery Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & 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. Visit https://www.british-business-bank.co.uk/ourpartners/recovery-loan-scheme/

We keep our prices simple

Simple Pricing


We’ll only charge interest on your outstanding balance for the days you’re using your business loan – no hidden fees, no long-term commitments. Our business loan rates start at 2% a month for a Flexi-Loan, depending on your business.

Using our Flexi-Loan calculator is easy – use the first slider to choose an amount between £1,000 and £500,000, and then choose how many months you’d like to borrow it for. You’ll be able to see how much you’ll repay each month, and can apply if you decide it’s the right choice for your business.

6 monthly repayments of £1,120

Total repayment of £6,718(3.33% interest rate per 30 days)

Borrow up to £500,000

For up to 12 months

Need help? call us

This loan calculator is only an example, your actual rate for your business loan will vary based on your circumstances. Here’s another example: if you borrowed £10,000 for 12 months at 49% representative APR, with an interest rate of 40% p.a. (variable), then, all in all, the total amount you’d repay would be £12,294.

Customer support

Questions?

We're here to help

Small business loans are all we do, so you'll get straight through to someone who can help, like Lisa – we're not fans of hold music. Call us from Monday to Friday (9am - 6pm). We accept applications over the phone.

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