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Financial sustainability

New Recovery Loan Fund launched

Charities and social enterprises that have been operating for a minimum of two years can now apply for loans worth up to £1.5m from Social Investment Business (SIB).

 

Eligible organisations can apply for loans of £100k to £1.5m with a one-to-six-year term, and no early repayment penalty. BAME-led organisations and those based in Wales or Scotland will be able to apply for loans upwards of £50,000.

The new Recovery Loan Fund is the successor of the Resilience and Recovery Loan Fund and aims to help organisations that have been affected by Covid-19. It is also open to organisations looking to refinance short-term debt – all loan purposes will be considered, including refinancing.

The Fund will work under the terms of the Government’s Recovery Loan Scheme and offers a fixed interest fee of 7.9% per year, with an arrangement fee of 2.5% to 3% depending on the size of the loan.

Update: The deadline has been extended to Friday 20 May 2022 and applications will be reviewed on a first-come, first-served basis. It takes approximately 20 minutes to apply.

For full information and to apply, visit SIB’s website.

 

 

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