- Are there any loans available to us during COVID-19?
- Coronavirus Business Interruption Loan Scheme
The British Business Bank has launched a new Coronavirus Business Interruption Loan Scheme, which can support charities and social enterprises in accessing bank lending and overdrafts.
The government will not charge for this guarantee, and the Scheme will support loans of up to £5 million in value.
UK charities and social enterprises will be eligible for the scheme if:
- turnover does not exceed £45 million per year; and
- the organisation meets the other British Business Bank eligibility criteria.
Full rules of the Scheme and the list of accredited lenders is available on the British Business Bank website
- Lending Facility from the Bank of England supporting larger firms
The Bank of England are offering to buy short term debt from larger companies under the new COVID-19 Corporate Financing Facility.
There will also be support to the corporate finance markets overall to ease the supply of credit to all firms.
All non-financial companies that meet the criteria set out on the Bank of England’s website are eligible.
More information is available from the Bank of England.
- We are currently in a commercial tenancy and are struggling to pay our rent. Is there any support for us during COVID-19?
The government has announced that commercial tenants who cannot pay their rent as a result of COVID-19 will be protected from eviction. This measure has been included in the emergency Coronavirus Bill, which is currently going through Parliament.
The measure will apply to all commercial tenants and leases in England, Wales and Northern Ireland meaning that no charity or social enterprise will be forced out of their premises if they miss a payment in the next 3 months.
Commercial tenants will still be liable for the rent after this period, however, the government will be keeping an open dialogue on the matter.
- Useful links
Coronavirus (COVID-19) Business Support for UK Charities and Social Enterprises
The law and practice referred to in this article or webinar has been paraphrased or summarised. It might not be up-to-date with changes in the law and we do not guarantee the accuracy of any information provided at the time of reading. It should not be construed or relied upon as legal advice in relation to a specific set of circumstances.