Recovery Loan Scheme (RLS) calculator

The Recovery Loan Scheme is a government-backed initiative aimed at providing financial support to businesses affected by the COVID-19 pandemic. The scheme was launched in April 2021 to replace the previous Coronavirus Business Interruption Loan Scheme (CBILS) and Bounce Back Loan Scheme (BBLS).

Under the Recovery Loan Scheme, businesses can apply for loans ranging from £25,000 up to a maximum of £10 million. These loans are designed to help businesses that have been adversely affected by the pandemic, such as those that have had to close or reduce their operations due to government restrictions.

The loans are available through a network of accredited lenders, including banks, building societies, and specialist lenders. The government provides an 80% guarantee to lenders, which means that if a borrower defaults on their loan, the government will cover 80% of the outstanding debt.

Businesses can use the loans for a variety of purposes, including working capital, investment in equipment or machinery, and refinancing existing debt. 

To apply for a loan under the Recovery Loan Scheme, businesses will need to demonstrate that they have been adversely affected by the pandemic and provide evidence of their financial viability. They will also need to provide a business plan and cash flow forecast to demonstrate that they can repay the loan.