Businesses can borrow between £10,000 and £2,000,000. Any investment plans that require funding can be accelerated using a finance product that protects an individual’s Principal Private Residence. Repayment periods are up to 6 years. The loan can be used for any legitimate business purpose including: equipment, vehicles, cashflow, stock, refurbishments, technology and marketing. 

The Recovery Loan Scheme was launched on 6th April 2021 and Phase 1 was closed to further applications from midnight on 30th June 2022. However, the UK Government launched Phase 2 of the scheme from 1st September 2022 and initially plans to run the facility until 2024.

The government backs 70% of a Recovery Loan which means they carry some of the risk should a business default on the loan. As a result, more businesses can access finance and rates can be more competitive. However the actual rate a business is offered can still vary based on individual credit history and trading circumstances. Traditional business loans offer an alternative and in some circumstances may be more suitable. Asset Finance: Hire Purchase or Lease Finance, typically carries a lower risk for the lender because the asset itself acts as security and can be reclaimed by a lender if the borrower defaults on the loan. Typically this means that rates can be lower, particularly for high value assets.

Your Portman Account Manager can discuss options with you, depending on your intended purchase, but ultimately the choice as to what’s right for your business is yours.

You can pay your Recovery Loan off at any time. Your lender can provide you with a settlement fee, which you can then pay directly to them. That’s it.

Portman acts as an approved broker for Recovery Loans and not a lender, check your paperwork to find out who your lender is.