Business finance support for UK firms increases to help firms overcome Coronavirus
The impact and implications of coronavirus has now become the number one priority for all of us.
We’ve seen that many lenders are ramping up their support for UK businesses in a bid to help them navigate the through these uncharted waters with all the uncertainty being caused by COVID-19.
Some have announced that arrangement and review fees will be waived on new or increased overdrafts.
On Wednesday last week, the Government announced a new Coronavirus Business Interruption Scheme that will see eligible businesses able to apply for loans of up to £1.2 million to minimise the disruption caused by the virus. To encourage lending, the government will cover up to 80% of any losses from loans provided through the scheme, with no fees attached. Further details are expected later this week.
We’ve also seen lots of sign posting in social media platforms from the Government under the heading “Support for Finance” at businesssupport.gov.uk which gives business a range of useful contacts & advice in raising business finance.
The New Challenges Businesses Are Facing?
Businesses across the country have been implementing continuity plans & remote working to enable them to keep trading over the next few days, weeks and months.
With increase infections rates announced daily and with advice changing by the day as well, including the public being encouraged to self-isolate where necessary, it’s highly likely that many companies will be left to continue serving their clients whilst hindered and missing their usual staff count.
A more pressing challenge is one of cash flow, with payment delays likely from customers who find themselves in difficult positions being compounded by the costs involved of making businesses COVID-19 ready – for example, buying new computers to facilitate home working and ensuring businesses have all the necessary supplies and materials in the right quantities to produce the goods their customers require.
It’s very encouraging therefore to see many lenders announcing measures to continue supporting UK business amid the current pandemic.
We can help you secure the right funding
At MHA Financial Solutions it very much remains business as usual, as we can continue to support British Business with any funding requirements they may have, whether these be short-term or longer-term requirements.
MHAFS has access to the whole market with 175+ financial institutions on our panel from High Street Banks, to Challenger Banks & Alternative Finance Solutions (FinTech) as well, many with competitive interest rates compared to the traditional lenders, but some can only be accessed by using an intermediary like MHAFS.
However, we would urge businesses foreseeing a requirement for additional cash, even as a precautionary measure, to act promptly. Whilst funding may not be in as short a supply as Andrex (other toilet papers are available… hopefully!), once demand really starts to rise, funding decisions may take longer.
Get in touch
To discuss any funding requirements, you may have at this exceptional time, or any cash flow related matters, Call 0333 010 0538 or email; email@example.com