Four more lenders join new RLS
Four more lenders have been authorised to deliver the new iteration of the Recovery Loan Scheme (RLS), although no peer-to-peer lenders have been added so far.
Tower Leasing, Shire Leasing, UKSE and Let’s Do Business Finance have all been approved by the British Business Bank to distribute funds under the RLS.
This brings the total number of approved RLS lenders to 16.
All RLS-approved lenders are able to deliver up to £2m in business loans, or £1m for businesses in Northern Ireland. The government will underwrite 70 per cent of each loan, and fees will be capped at 14.99 per cent.
Read more: Two more lenders join new RLS
UKSE has stated that it will offer government-backed loans up to the value of £250,000 to “eligible businesses across our normal operating areas”.
Meanwhile, Shire Leasing is advertising asset finance loans of between £15,000 and £200,000 with no personal guarantee or director guarantee required; alongside term loans of between £25,001 and £50,000 with no personal guarantees.
Read more: Eight lenders join new RLS, but still no P2Ps
Let’s Do Business Finance will offer funding of between £25,001 and £150,000, but only to businesses based in Sussex, Surrey, Kent, Essex, Suffolk, Norfolk, Cambridgeshire and Hertfordshire. Personal guarantees will be required for these loans, but Let’s Do Business Finance has stated that no other forms of personal security will be requested.
Tower Leasing has not yet clarified the size and terms of its RLS loans.
The new RLS was launched at the beginning of August 2022 and is set to run for two years. It is designed to help businesses recover from the impact of the Covid-19 pandemic and to cope with the rising cost of living.
To date, 16 lenders have been invited to take part in the scheme, with no P2P lenders included thus far.
Read more: Ulster Bank added to new RLS