Top questions on Coronavirus Business Interruption Loan Scheme

Last reviewed on March 28, 2022

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This week the Coronavirus Business Interruption Loan Scheme (CIBLS) was formally launched. Each day we are getting more clarity about the detail, and we’re working closely with the lenders to provide a smooth process.

Our main advice is still to register free on Swoop now. This will not only help you access this scheme but also grants, investment and non-government lending. We’re also urging businesses to register in order to make immediate savings on their everyday spend.

Our hotline has been non-stop with queries about the CBILS. So, we thought it would be useful to share the top eight questions we’ve been answering (answers are correct as of today):

Is there a fee?
There is no fee for businesses to access the scheme. The government will make a Business Interruption Payment to cover the first 12 months of interest payments and any lender-levied fees, so smaller businesses will benefit from no upfront costs and lower initial repayments.
If a business is loss-making can they use CBILs?
A business has to demonstrate it was viable prior to the coronavirus outbreak. For many lenders, this will include showing a level of sustainable profit and/or a level of certainty of future profitability had the outbreak not occurred.
Can you apply through multiple funders for CBILS?
Yes, you can. At Swoop we’ll work to establish the best find the best match for your needs. Many of the lenders are dealing with incredibly high volumes of applications, so it’s important to work with those that best meet your needs.
Do you run credit checks?
We only run a soft search on most companies to get a feel for which lenders may have an appetite. This soft search does not affect a company’s ability to raise funding. Some of our lenders do however require personal credit checks – there are a number of providers in the market that allow you to check your own credit score without impacting it.
Do I have to link my accounting data?
We can make enquiries on your behalf without this information, but to ensure the best match with our providers and to give us the best chance of a speedy response, we recommend you link accounts at the earliest opportunity.
When do I have to pay it back?
Finance terms depend on the lender and the type of finance: up to six years for term loans and asset finance facilities, up to three years for overdrafts and invoice finance facilities.
Are banks live with this yet?
We’re working with all the main banks on the scheme and expect them to be live over the coming days. We recommend you get registered now, and we’ll establish your eligibility and ensure you’re matched with the appropriate provider.
Don’t I have to go to my main bank for this?
There are over forty accredited lenders providing the CBIL scheme, and each will have different credit appetites. Just going to the bank may limit your options. Swoop can help you look at the wider market to ensure you find the right match for you.