Applying for a Bounce bank loan was incredibly easy and easy
The Bounce Bank Loan (BBLS) app is now available for small businesses, but is it easy to apply for this potentially business savings loan?
“I never thought we would have to take out a business loan, but unfortunately the time has come – income has ceased and cash reserves will eventually run out. Uncertainty means we need the money now to cover the worst case scenario – and after all of that, I’m not leaving anything to chance, ”says Jonathan Ratcliffe of the trade offices agency Offices.co.uk
The BBLS loan is designed to be super simple. The government covers the interest for the first 12 months, then the rate is set at 2.5% – the loan term is 6 years / 72 months. You can borrow up to 25% of your turnover in fiscal year 2019 (April 1st 2019 – 31st March 2020) – but you can estimate it if you don’t know.
“The process was a bit confusing – I started on Gov.uk but then got referred to british-business-bank.co.uk who presented me with a webpage error. I refreshed this page, and it seemed to work, it wasn’t the best start and in the phishing world I thought this was a weird web address to send to! What isn’t clear is that the loans may well be guaranteed by the government, but they are administered by large-scale banks. You’d better go straight to your bank to start the lending process, “says Ratcliffe
To apply for the Bounce Back loan, you must be:
- A British company affected by the coronavirus
- You have not requested any other loan from another Covid-19 device
- Your business did not experience financial difficulties before the crisis
“Once we started the process with Santander (our bank) things were very simple – the only research I had to do was calculate our turnover in the previous year – and enter about 5 pieces of information such as company number, address, turnover, bank / account details and of course how much we had to borrow – honestly that was really very easy, ”adds Jonathan Ratcliffe
“The Bounce Bank loan is great from our perspective. The process is extremely simple, prepayments are accepted so hopefully things aren’t too bad and you can pay off the loan sooner. What worries me is that things are dragging on and we’re chomping on the loan – but we have no choice. My advice is to go straight to your merchant bank! “.