Asset Finance

Recovery Loan Scheme

Access up to £500,000 of straightforward and flexible finance through the government's Recovery Loan Scheme.

Learn more

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Supporting businesses through covid

Allica Bank is approved to offer asset finance through the Recovery Loan Scheme. It’s a government initiative designed to help businesses affected by covid access the funds they need to get back on track and grow.

With Allica Bank, businesses can access between £50,000 and £500,000 of asset finance through the scheme. It is designed to enable us to offer you better terms. And, just like with any other Allica Bank loan, every customer will get the support of a dedicated relationship manager.

What is the Recovery Loan Scheme?

The Recovery Loan Scheme (RLS) launched on 6 April 2021 and supports access to finance for UK businesses as they recover and grow following the Covid-19 pandemic.

RLS aims to help businesses affected by Covid-19 and can be used for business purposes, including, managing cashflow, investment and growth. It is designed to support businesses that can afford to take out additional finance for these purposes. Businesses who have taken out a CBILS, CLBILS or BBLS facility are able to access the new scheme.

A key aim of the Recovery Loan Scheme is to improve the terms on offer to businesses, but if Allica can offer a business the choice of a commercial loan on better terms, without requiring the guarantee provided by the RLS, we will do so.

The Scheme will run until 30th June 2022, subject to review.

How it works

  • The maximum term we can lend for through the Recovery Loan Scheme is 6 years.
  • We are not permitted to accept personal guarantees for loans offered through the Recovery Loan Scheme below £250,000. We may request a personal guarantee for loans above £250,000.
  • The scheme provides Allica with a government-backed guarantee against the outstanding balance of the facility.
  • You always remain 100% liable for the debt.
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Who can apply?

The Recovery Loan Scheme is open to any business that has been affected by covid, and you can apply even if you’ve had a Bounce Back Loan or Coronavirus Business Interruption Loan Scheme loan.

To be successful, you must meet all of Allica’s usual eligibility criteria, including:

  • Be able to show how you’ve been impacted by covid.
  • Be a UK-based business.
  • Be a Limited Company, LLP, Partnership or Sole Trader, typically with at least two-years of financial accounts.

All applications will be subject to credit and fraud checks, as well as lending assessments. Subject to status. Terms and conditions apply.

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Who can apply?

The Recovery Loan Scheme is open to any business that has been affected by covid, and you can apply even if you’ve had a Bounce Back Loan or Coronavirus Business Interruption Loan Scheme loan.

To be successful, you must meet all of Allica’s usual eligibility criteria, including:

  • Be able to show how you’ve been impacted by covid.
  • Be a UK-based business.
  • Be a Limited Company, LLP, Partnership or Sole Trader, typically with at least two-years of financial accounts.

All applications will be subject to credit and fraud checks, as well as lending assessments. Subject to status. Terms and conditions apply.

Note that the following are not eligible for the Recovery Loan Scheme:

  • Banks, Building Societies, Insurers and Reinsurers (excluding Insurance Brokers)
  • Public sector bodies
  • State funded primary and secondary schools

Also, bear in mind:

  • The scheme is only be open to small and medium-sized enterprises with turnover below £45m.
  • A maximum of £2 million is available per business through the scheme (maximum amount per Group limited to £6m).

The British Business Bank has a range of guidance and resources available to all businesses, including content on managing your cashflow and a list of independent advice services.

The Recovery Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & Industrial Strategy. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. Visit http://www.british-business-bank.co.uk/recovery-loan-scheme

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How to apply

You can find out more about our asset finance options and how to apply on our asset finance page.

Simply let your relationship manager know that you’d like to apply through the scheme when you make your application.

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