Coronavirus Business Interruption Loan Scheme closes in September

Car dealers and automotive businesses are being urged to apply for the Government-supported Coronavirus Business Interruption Loan Scheme (CBILS) before the window closes in September.

It provides grants of up to 25% of turnover to help SMEs in the UK affected by the Coronavirus pandemic.

PVS Finance warns that mistakes in the application process can hamper the progress of applications, with incomplete or incorrect details resulting in a rejection.

One of the latest developments is the addition of a ‘Sale and HP Back’ option. This allows businesses to refinance owned assets, either to release working capital or to purchase new assets with a 12-month interest free period and lower repayments.

Accountancy firm UHY Hacker Young says that applications are four times more likely to succeed if a professional is engaged to support the CBILS application process.

PVS Financeis assisting businesses with CBILS Sale and HP-back applications for SME firms wanting to raise working capital against existing assets.

Commercial director Paul Tregale said filing the application with potential mistakes could be disastrous at this stage with so little time left to apply.

“There is a significant opportunity to attract crucial funding, particularly since there was a change in criteria at the end of July, but time is running out.

“We have the expertise to access these funds in a way your local business bank manager may not, and unlike using your accountant, there is no set up fee or clock running for our services,” he explained.

To date, PVS Finance has secured funding under the CBILS scheme for a Somerset haulage firm to ensure its 25-vehicle fleet kept rolling, while a packaging firm was able to reinvest in new machinery when Covid-19 presented a new business opportunity.