Originally written by Anna Jordan on Small Business
New figures show that most small businesses can’t access the government’s emergency coronavirus funding despite wanting to take advantage of it.
One set of statistics from UK Finance reveals that just 2,022 loans have been made to UK SMEs through the government’s Coronavirus Business Interruption Loan Scheme (CBILS), with less than 1pc of enquiries resulting in these loans.
Meanwhile, the Corona Business Impact Tracker from the British Chamber of Commerce (BCC) measures the impact of coronavirus on businesses as well as the effectiveness of the government’s emergency actions. The latest polling took place from 1-3 April and received 1000 responses.
The tracker shows that awareness of the schemes is high: 59pc knew about the CBILS and 19pc planned to use it. Fewer business owners (42pc) knew about the grants available to small businesses and 24pc planned to use it.
Polling numbers say that 8pc of respondents were unsuccessful in getting access to the CBILS. They cite that the application process was slow and that they couldn’t get responses from the relevant body. The BCC is optimistic that successful applications will increase in the coming weeks.
As for the grant schemes, 7pc of respondents were using them at the
Tag Archive for Coronavirus
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The 5:30 A.M. Warrior Call: COVID-19 Vaccine to Begin Human Trial (4/07/2020)
by Joe De Sena • • 0 Comments
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How is your bank helping your small business through coronavirus?
by Timothy Adler • • 0 Comments
Originally written by Timothy Adler on Small Business
Although all the high street banks are offering loans through the Coronavirus Business Interruption Loans Scheme (CBILS), several banks have gone further and are offering additional support to small business sector to help it survive the coronavirus crisis.
Here is a round-up of what small business help each high street bank is offering to help your SME survive the coronavirus pandemic.
Additional coronavirus bank support for small business – what’s available?
Barclays
Helpline for all business banking customers impacted by the coronavirus outbreak. Call 0800 197 10862 between 8am and 8pm Monday to Friday (except bank holidays)
Free business banking and no fees or interest on overdrafts between March 13 and June 12 2020 for business banking customers with annual turnover up to £250,000. After June 12 2020, normal charges and fees will apply, which will be debited from business banking accounts from August 2020
Clydesdale Bank and Yorkshire Bank
Clydesdale Bank and Yorkshire Bank relationship managers can approve a three-month capital repayment holiday to business customers who have not previously been identified as being in or approaching financial difficulty, or other high-risk groups
Relationship managers can authorise to extend overdraft and loan facilities by up to six months without charge
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The 5:30 A.M. Warrior Call: How Are the Markets Faring Against COVID-19? (4/03/2020)
by Joe De Sena • • 0 Comments
Joe De Sena’s morning conversation breaks down the pandemic’s effect on the economy and global pollution.
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3 ways to look after staff wellbeing during the coronavirus crisis
by Steve Arnold • • 0 Comments
Originally written by Steve Arnold on Small Business
The government’s announcement on March 27 that all key workers, who have not taken all of their statutory annual leave, will be allowed to carry it over into the next two years, is commendable. What it means is that those workers who are currently battling to keep the country moving during this pandemic will be able to carry over up to four weeks of unused leave. This will be reassuring news to those workers, who may already be feeling in need of a break, to look at this as light at the end of the tunnel.
With that said, there are still many areas that companies need to consider and plan around, when it comes to looking after staff wellbeing during the coronavirus crisis and maintaining a healthy, happy workforce during Covid-19.
>See also: Working from home – How to manage your time and increase productivity
#1 – Be alert to burnout
In a normal busy work environment this can be difficult for companies to spot. This is only intensified now that nearly all our workforces are stuck working from home. Even with video conferencing, the lack of being physically present in the same working space as someone
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The 5:30 A.M. Call: What Role Will AI Play in This Pandemic? (4/02/2020)
by Joe De Sena • • 0 Comments
Joe De Sena’s morning briefing bounces around world topics from tennis tournaments to flattening the curve in New York City.
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Sunak overhauls coronavirus small business loans
by Timothy Adler • • 0 Comments
Originally written by Timothy Adler on Small Business
Rishi Sunak will announce an overhaul of the government’s coronavirus small business loans scheme on Friday (April 3) in response to mounting anger.
The government will remove the requirement for small businesses to show that they have no other means of funding before accessing the Coronavirus Business Interruption Loan Scheme (CBILS).
Firms trying to use the coronavirus small business loans scheme say banks have been demanding personal guarantees and quoting double-digit interest rates, driving applicants towards standard business loans.
Small business owners told MailOnline that they are being offered interest rates for between seven and 30 per cent on CBILS emergency loans – despite current UK base rate being 0.1 per cent.
Higher interest rate
Denice Purdie of Kinross-based Kapital Residential told Small Business that Bank of Scotland was advising her to apply for a conventional bank loan at a much higher interest rate. “This is not guaranteed and will take too long,” she said.
Sky News reports that Mr Sunak and his Treasury officials have been in talks with participating lenders, which include the high-street banks.
Although all the big banks have stated that they will not force small business borrowers using the CBILS to put up personal guarantees
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The 5:30 A.M. Call: COVID-19's Global Impact, U.S. Airlines and More (4/01/2020)
by Joe De Sena • • 0 Comments
Joe De Sena’s free-flowing morning briefing breaks down a variety of global topics, from the U.S. stock market to schools in Japan.
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Nearly 1m businesses on brink of collapse, warn accountants
by Timothy Adler • • 0 Comments
Originally written by Timothy Adler on Small Business
UPDATED: More than 800,000 businesses are within weeks of going bust because they can’t get the coronavirus business interruption loan.
Nearly one-fifth of small and medium-sized businesses are unlikely to get the cash they need to survive another month despite promises of unprecedented government support, according to the BBC Today programme.
Many firms have told the BBC that they can’t get the emergency loans or that the money will take weeks to come through.
With bank branches shut, thousands of struggling firms can’t get through by phone or when they do, they are being told they are not eligible.
>See also: How to get the government’s £10,000 cash grant for small businesses
Banks told the BBC they are following government rules on SME lending that firms only qualify the emergency loans if they cannot borrow in a normal commercial way or by taking out a loan against property.
Small business owners have contacted Small Business, saying they are being pushed towards standard commercial loans when they have rung up about the CBIL and that without a CBIL many businesses face collapse.
While grants are promised for the hardest-hit sectors such as retail, leisure and hospitality the group suffering from a
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How do I make someone redundant? – small business redundancy guide
by Mike Tremeer • • 0 Comments
Originally written by Mike Tremeer on Small Business
The Covid-19 pandemic is having far-reaching consequences for businesses across the globe. Many have found that demand for their goods and services has fallen away drastically while others are prevented from operating due to government lockdowns. Other employers have been forced to consider redundancies in order to cut staff costs, but any small business based in the UK should give thought to other measures available before proceeding with redundancy as a last resort.
Coronavirus Job Retention Scheme
The newly announced Coronavirus Job Retention Scheme provides vital and unprecedented support to business to help pay their staff wages during the current crisis. The scheme offers employers reimbursements of up to 80 per cent of “furloughed workers” wage costs capped at £2,500 per month, in addition to other costs to employers. Furloughed workers are those who have no work to do, and they must not carry out any work while they are furloughed.
One of the key elements of the scheme is that it applies to those who would otherwise have been “laid-off”. For most employers the alternative to placing an employee on the furlough scheme would be to make their role redundant, and indeed the guidance from