Small businesses in Warwickshire to get support after £1million loan approved

Small businesses in Warwickshire will now be able to get support after a £1million loan was approved.

The government-backed Coronavirus Business Interruption Loan Scheme is available for companies to apply for a loan from approved lenders.

Among the approved lenders is the Coventry and Warwickshire Reinvestment Trust (CWRT).

The trust supports businesses and individuals looking to start up or existing businesses who need finances to grow.

However, the current pandemic and resultant temporary closure of many businesses means that demand is expected to exceed available lending, with additional financial backing now needed to help the scheme.

To help address this Warwickshire County Council has approved a loan of £1million to the CWRT.

The scheme is backed by a partial guarantee from the government, but borrowers remain liable for 100 per cent of the debt.

It is expected that Warwickshire County Council’s loan will enable CWRT to fill in some of the gaps in lending from banks.

Mark Ryder, strategic director for communities at Warwickshire County Council, said: “Small businesses, and the employment opportunities that they offer locally, will play a key role in the economic recovery when we can return to more normal times; we trust that loans from the CWRT will help them to stay solvent through these difficult circumstances."

Sheridan Sulskis, executive director of the Coventry and Warwickshire Reinvestment Trust, said: “People and businesses are at the heart of everything we do at CWRT.

"This increase in funding will assist CWRT in delivering responsible, affordable lending to those who would otherwise struggle to obtain funding from mainstream lenders.

"We are delighted to be working with Warwickshire County Council to support businesses in Warwickshire with accessing finance to survive through this pandemic.”

Louise Bennett, chief executive of the Coventry and Warwickshire Chamber of Commerce, said: "This is very welcome news.

"Every survey undertaken by the British Chambers of Commerce since the Coronavirus outbreak has found that cashflow is the number one issue for firms.

"Anything that can get more cash out to businesses quickly will mean more firms are able to survive this crisis and I have always found CWRT responsive, supportive and empathetic with local businesses seeking support at this time and I have brokered many businesses on to them for finance."

For more information go to: https://www.cwrt.uk.com/cbils