Unbelievably, it’s now May. It’s light just after 5am, and getting dark around 9.30pm. We went into this ‘lockdown’ phase on the 23 March – 6 weeks ago, and at last there is the possibility of some financial support for the tens of thousands of businesses that so far have slipped through the net…..or at least we hope so.

We are, of course, talking about the ‘Bounce Back Loan’. If it says what it does on the tin, then that’s a great start.

-Loans from £2k to £50k (or 25% of turnover, which ever is the lower)
-Unsecured – no personal guarantee for Limited Company applicants (Sole Traders and Partnerships will always be securing loans)
-Interest rates fixed below 2.5% (at the recommendation of the Government) – nothing in the first year
-No early repayment penalties
-No capital repayments for 12 months
-No interest payments for 12 months
-No arrangement fees
-6 year term
-Quick access to funds

Who is eligible to apply?

-Be a UK based business impacted by COVID-19

So who does that include?
-All limited companies – that means all companies from ‘one-man bands’ to larger companies – not forgetting that your turnover, if less than £200k, will restrict the amount you can borrow to 25% of turnover.
-If you are an Associate in a dental practice trading through a limited company, you qualify.
-Sole traders and Partnerships – that means if you are a subbie, working for another business, then you qualify, even though your profits maybe greater than £50k (at which point you are not eligible for the £2.5k monthly grant)
-so, does that cover everyone?

But who’s not eligible?

Anyone who’s already applied for a BBL
so that means if you apply and get rejected you can’t go again.
Anyone who’s applied for a CBIL
unless you have applied for a CBIL and the amount you apply for is the same as it would be under a BBL – you can then ask the lender to switch you to BBL. You can’t, for example, have £100k application under CBIL and then ask for, £50k to be switched to BBL
Maybe others?
is it too good to be true?
it throws the net far and wide, and cleverly, hands the credit requirement over to the High Street Lender. Smart move Rishi.


I’m aware that some of you have already applied and ‘the money is in the post’. It would be really helpful if you could let me know that a) you were successful or not (so I guess you need to wait until the cash hits your bank and b) if unsuccessful, the reasons why.

I look forward to hearing from you.

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