Funding 365 receives increased CBILS allocation from British Business Bank

By Bridging Loan Directory 20th January 2021

Funding 365 has been approved for an increased CBILS allocation by the British Business Bank, following strong demand from borrowers.

Terms issued by the lender under the scheme to date have ranged from development exit loans for new build flats in Basingstoke and conversions in Harrogate, to refinance bridges for portfolio landlords in London.

Delivered through British Business Bank accredited lenders, CBILS is designed to support the continued provision of finance to UK smaller businesses (SMEs) during the Covid-19 outbreak.

Under the scheme, Funding 365 will provide unregulated bridging loans up to 65% LTV for up to 24 months.

These loans will be secured on a first charge basis against residential properties in England and Wales.

For approved loans under CBILS the Government will make a Business Interruption Payment to cover the first 12 months of interest payments and any lender-levied charges.

The borrower remains 100% liable for the debt.

To be eligible for a facility under CBILS an SME must be UK based in its business activity, with turnover of no more than £45m per year.

It must not be considered a ‘business in difficulty’ and must have a borrowing proposal which, were it not for the current pandemic, would be considered viable by the lender.

On 17^th December the Government announced that CBILS will be extended until 31^st March 2

Mike Strange, Director, Funding 365 said:

“The latest lockdown in the UK is undoubtedly deepening the negative impact of Covid-19 on a huge number of SMEs, so the extension of Government measures – including CBILS – will be a lifeline for many.

Funding 365 is determined to do what it can to continue to support businesses through this pandemic and our increased CBILS allocation from the British Business Bank will enable us to further help those in need.”