What is a CBILS Loan?

By Business Helpline

06 Dec 2022

The CBILS (Coronavirus Business Interruption Loan Scheme) was a government scheme designed to provide financial support during the Coronavirus pandemic to small and medium-sized businesses. It was announced in March 2020.

The Cbils loan scheme paid out a massive £26.39bn up to May 2021. There were 251,342 applications for the loan, of which 109,877 were accepted.

CBILS LOAN TERMS

The Cbils loans were designed for SMEs with a turnover of less than £45m. They provided finance of between £50,001 and £5m which included term loans, overdrafts, invoice, and asset finance.

In order for a business to apply for a Cbils loan, a business had to have been able to self-certify it had been negatively affected by the impact of Covid-19 to be eligible. However, public-sector bodies, state-funded primary and secondary schools, banks, insurers, and reinsurers weren’t allowed to apply.

There were over 90 accredited lenders for the Cbils loan and there was only a personal guarantee required for borrowing amounts of over £250,000.

The Cbils loan had to be paid over a period of 3 years for overdrafts and invoice finance facilities. And up to 6 years, for loans and asset finance facilities.

There was an option to extend these loans with some lenders to 10 years.

IS CBILS LAON THE SAME AS BOUNCE BACK LOAN?
The Cbils loan was part of the same Government package as the Bounce Back Loan, alongside the Coronavirus Large Business Interruption Loan Scheme (CLBILS). However, the Cbils loan was a different scheme.

Whereas the Bounce Back Loan Scheme loaned up to £50,000 the Cbils loan scheme loaned from £50,001 up to £250,000.

ARE CBILS LOANS STILL AVAILABLE?

No the loans closed for applications in March 2021. They were essentially a loan package available to support businesses struggling with the impact of the Covid-19 pandemic.

CAN YOU HAVE MORE THAN ONE CBILS LOAN?

Businesses were only allowed to apply for one Cbils loan and they weren’t allowed to apply if they had an existing Bounce Back Loan or CLBILS.

CBILS INTEREST RATES

The Government guaranteed 80% of the finance to lenders and paid interest and any fees for the first 12 months of the loan.

After this period the loans were charged at 3.49% over the Bank of England base rate for loans up to and including 3 years.

For loans over the period of 3 years, they were charged at 3.99% over the Bank of England base rate.

CAN I REPAY MY CBILS LOAN EARLY?

Yes, there is the option for early repayment and there is no early repayment fee. This is a great option to save you money on interest payments.

WHAT HAPPENS IF I CAN’T REPAY MY CBILS LOAN?

If you can’t pay back a Cbils loan this often denotes greater problems within a business so you may need to look at alternative options.

Businesses are held liable for Cbil loans throughout unless the company enters a liquidation.

If you can’t pay back your Cbils loan we offer confidential, expert advice to company directors. We’ll talk through your individual circumstances and help you find the best solution for you and your business.

You can contact Business Helpline by email at [email protected] or call us on 0800 088 2142.

Our highly trained experts have over 60 years experience and have helped thousands of company directors just like you. 

Latest news

1

Construction begins on new Civil Service office building in Talbot Gateway Alan McBride Muse Will Town Defence Infrastructure Organisation Jennifer Chard Defence Business Services Cllr Lynn Williams Blackpool Council Garry Bowker Vinci

Construction begins on new Civil Service office building in Talbot Gateway

20 May 2025

2

Skiddle raises over £750,000 for charities Skiddle cheque presentation to Alder Hey Hospital

Skiddle raises over £750,000 for charities

20 May 2025

3

Former Victorian Hotel approved for residential conversion The site

Former Victorian Hotel approved for residential conversion

19 May 2025

4

REVOLUTION PARK: Work starts on Darwen’s new home of advanced manufacturing Oliver Webber, Tracy Clavell-Bate and Tim Webber from Barnfield Group with Cllr Phil Riley, second from right, Leader of Blackburn with Darwen Council

REVOLUTION PARK: Work starts on Darwen’s new home of advanced manufacturing

19 May 2025

5

Two Cuckoo Gins named winners in The Gin Guide Awards 2025 Mark Long

Two Cuckoo Gins named winners in The Gin Guide Awards 2025

19 May 2025

Background image for hub sign up block

LBV Hub

Leverage Lancashire Business View platforms

Post your news
Post your events
Post your offers
Build your network
Improve your SEO
Gain coverage in the magazine
Sign-up
Events
LBV122 May/June Launch Event
121 Lancashire Business View Magazine Launch
Networking
21 May 2025

LBV122 May/June Launch Event

Lancaster and Morecambe College, Lancaster, LA1 2TY

08:30 - 10:30

Sub36 Networking
Networking
11 Jun 2025

Sub36 Networking

British Jewellery School, Scorton, PR3 1BA

15:00 - 17:00

Lancashire Net Zero Carbon Conference
Net Zero Carbon Social 1200pxtrident 2
Networking
18 Jun 2025

Lancashire Net Zero Carbon Conference

Crow Wood Hotel & Spa Resort, Burnley, BB12 0RT

08:30 - 13:00

Lancashire Built Environment Conference 2025
BEC 315 X 315 Px
Networking
25 Sep 2025

Lancashire Built Environment Conference 2025

Blackpool Football Club, Blackpool, FY1 6HX

08:30 - 13:00

CMI Level 5 Project Management Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Project Management Course

Preston Campus, Preston, PR1 2HE

08:00 - 17:00

CMI Level 5 Management and Leadership Course
UCLanAerialCampus.jpg.jpg
LBV Hub Seminars
21 Feb 2025 - 21 Feb 2026

CMI Level 5 Management and Leadership Course

Preston Campus, Preston , PR1 2HE

09:00 - 17:00

RISE - The Academy for Female Leaders and Managers
WENDY BOWERS RISE Illustrstion copy.jpg.jpg
LBV Hub Seminars
02 Apr 2025 - 08 Oct 2025

RISE - The Academy for Female Leaders and Managers

East Lancashire Chamber of Commerce, Clayton le Moors, BB5 5JR

09:00 - 15:30

Amber River True Bearing quarterly investment seminar
LBV Hub Seminars
22 May 2025 - 22 May 2025

Amber River True Bearing quarterly investment seminar

Cottons Hotel & Spa , Knutsford, WA16 0SU

16:00 - 18:00

The Business Network Central & East Lancashire
LBV Hub Networking
22 May 2025 - 22 May 2025

The Business Network Central & East Lancashire

Mytton Fold, Langho, BB6 8AB

11:30 - 14:15

Preston Freelancer Meet-Up: May
Freelancer Meet-Up May.png.png
LBV Hub Networking
22 May 2025 - 22 May 2025

Preston Freelancer Meet-Up: May

society1, Coworking Space, Preston, PR1 3LT

10:00 - 11:30

Liverpool Business Expo 2025
https---cdn.evbuc.com-images-881365363-4862066883-1-original.20241023-085714.jpeg.jpg
LBV Hub Awards
23 May 2025 - 23 May 2025

Liverpool Business Expo 2025

Aintree Racecourse , Liverpool , L9 5AS

09:00 - 15:00

Advantage: AI – A Workshop for Business Leaders – May 29
Artboard 15.png.png
LBV Hub Seminars
29 May 2025 - 29 May 2025

Advantage: AI – A Workshop for Business Leaders – May 29

Door4 Office, Burnley Wharf, Manchester Road, Burnley, BB11 1JG

09:00 - 11:00

Advertise with us

Reaching 50,000 members, our print, digital and event platforms offer a fantastic way to raise your business profile and help you grow.

Find out more LBV122 Online Graphic
Subscribe now

Weekly news bulletin