Government help for Businesses during the Coronavirus crisis
During the recent weeks businesses across the UK have ground to a halt, with many shutting their doors, and many others transferring solely to home working. However these businesses are dealing with the Coronavirus, the Government has been setting out measures to try and help with loans, deferrals and job retention schemes.
Government Grants and Loans
The first thing of note is that the some of these measures are Government loans, while others are grants. The obvious difference being that loans are required to be paid back at some point in the future. The Government’s own website gives advice on all of the schemes ranging from the Coronavirus Job Retention Scheme (furloughing), deferral of VAT payments, business rates relief and business support grants. They also provide a gateway to apply for the Coronavirus Business Interruption Loan Scheme (CBILS), the Coronavirus Future Fund and the Coronavirus Bounce Back Loan. If you are a business owner and need help navigating any of these loans and are unsure what you may or may not be eligible for it would be prudent to speak to your accountant and discuss the options.
Short-term Cashflow Support
The promise of help from the above mentioned Government loans and grants is a sign that the powers that be are taking this seriously and are looking to help. However, it will not ease the short term pain or solve the immediate problems many businesses and individuals will likely face.
Edinburgh Asset Finance has many years of experience providing short-term cashflow solutions. We use personally owned assets to secure a loan, allowing the individual to raise capital very quickly and discreetly. This approach has absolutely no impact on their credit rating. This solution can be set up within hours of enquiry, and as such is often used in situations to bridge a gap in cashflow. All this can be done using a range of assets including but not exclusively; watches, vehicles, artwork and whisky collections.
Since the coronavirus “lockdown”, we have been helping many business owners, directors, and individuals who have had a short-term cashflow requirement. They know government help is coming, but as with setting up any large Government loan scheme, this is not going to happen overnight. In the mean time they still have ongoing costs that need covered.
Unfortunately we only see the strain on businesses growing in the coming months. Coming out of lockdown is going to incur its own costs. Many businesses will need to buy stock. They may also need to fork out to introduce measures allowing for social distancing along with other likely expenses.
Discreet, Professional Business Support
We are hopeful that the various Government Loan schemes can be implemented quickly. Businesses and individuals both need a clearer picture of where they stand, and when help in the form of capital may likely arrive. This will allow planning to see how we might all be able to manage the next 6-12 months.
In the meantime if you have a short term requirement for capital, and would use a personally owned asset to secure a loan then please feel free to get in touch and discuss how we might be able to help.