Business leaders in Coventry and Warwickshire have welcomed a new loan scheme targeted at the smallest firms struggling in the wake of the coronavirus outbreak.
The Coventry and Warwickshire Chamber of Commerce say the Bounce Back Loans scheme is crucial to plugging the gap for those companies that may have been struggling to access Coronavirus Business Interruption Loans (CBILS).
The new support, which will be ready to take applications by Monday, May 4, will be a 100 per cent government-backed loan scheme for the smallest of businesses.
It will allow businesses to borrow between £2,000 and £50,000 and access the cash within days.
Loans will be interest free for the first 12 months, and businesses can apply online through a short and simple form.
Louise Bennett, chief executive of the Coventry and Warwickshire Chamber of Commerce, said: “The picture is changing each day and the Government is having to design and deliver support to a whole range of businesses, the majority of whom are desperate for cash to help them through this period.
“We therefore welcome the new Bounce Back Loans scheme as it will serve to fill a gap in what has been available to the smallest businesses to help them survive and be able to rebuild once the crisis is over.
“The new system will go live next week (May 4) and, once again, we will be keeping a close eye on how that process works practically.
“Looking at the bigger picture, there is a range of support available to businesses and they may need guidance as to which is the most appropriate for them. That is why the Chamber team is working around the clock to ensure they can help firms understand what is available for them.”
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British Chambers of Commerce director general Adam Marshall said: “The Chancellor has demonstrated he is listening to the concerns of our business communities and taking steps to get cash to the front line where it is needed.
“This new route for our smallest companies to apply quickly and get a fast decision will be crucial to those who have struggled to get a CBILS loan.”