The chancellor has announced a “simple, quick, easy solution for those in need of smaller loans.” Businesses can apply from lenders using a two-page standard form with no forward-looking business viability tests or eligibility criteria.
Businesses can apply for a minimum of £2,000 up to a maximum of £50,000, or 25% of business turnover, with the government paying the interest for the first 12 months.
The scheme will open from 9am 4th May 2020, and according to the Chancellor most loans will be paid within 24 hours of approval. Businesses will be able to access the loans through the existing network of accredited lenders.