Your business will need to meet the following requirements to be eligible for CBILS:
- Based in the UK
- A turnover of at least £100,000 up to £45 million in 2019
- If your turnover is less than £100,000 then you can qualify if your salary bill is £12,500 or over
- Half of your turnover must come from your business activities/trading and cannot be from investments
- A viable trading business of at least three years prior to the pandemic
- For loans of more than £30,000 your business cannot have been a ‘business in difficulty’ on 31 December 2019
- Your business must self-certify that it is struggling and negatively impacted due to the Coronavirus emergency
- You must use CBILS for business purposes only and to support your operation of the business in the UK (although loans to support export trading may be allowed in some circumstance
Individual lenders will also have their own unique eligibility requirements as well. For example, some may restrict lending to only their current customers, to specific geographies and others may only lend to limited companies.
The public sector, banks, insurers, reinsurers, further education institutions and state funded schools are not eligible. Start-ups may find it difficult to utilise CBILS in its current form. Business wanting a loan of less than £50,000 can consider a Bounce Back Loan.