CBILS For Sole Traders 2021 [Coronavirus Business Interruption Loan Scheme]

In this article we are going to discuss CBILS for sole traders, what the eligibility criteria is and how to apply.

Note: CBILS is now Closed

If you are struggling to access the ‘Coronavirus Business Interruption Loan Scheme’ via your main bank, then you can still apply with one of the other approved lenders. However if you are a sole trader and not a limited company, then not all lenders are accepting sole trader applications.

However providing you meet the eligibility criteria set out below, then as a sole trader business you can still apply for a government backed CBILS loan.

Eligibility Criteria For a Sole Trader CBILS Loan Application

Most of the eligibility criteria is set by the British Business Bank for approved lenders in the scheme. However each lender will also have its own application criteria, you will need to check your specific circumstances before making an application.

Criteria set by the BBB:

  • UK-based business
  • Certify that you have been adversely impacted by COVID-19
  • Annual turnover under £45 million, 50% must be UK business activity
  • Existing Bounce Back Loan will need to be refinanced with the CBILS
  • Is for business purposes only (working capital, growth/expansion or debt refinance)

Likely additional criteria (varies by lender)

  • Turnover above £200,000 (prior to Covid19)
  • Homeowner
  • Minimum 2 years trading history
  • Provide Financial Accounts and Management Information

The current deadline for CBILS applications is 31st March 2021.

Apply For A Sole Trader CBILS Loan Today

Our experienced commercial finance brokers can help find you CBILS approved lender, whether you are a sole trader, limited company or partnership.

We do not charge any broker fees for CBILS applications. We. may receive payment(s) or other benefit from the finance provider if you decide to enter into an agreement with them.

Fill in the form below and we will be in touch straight away. Alternatively you can call us on 0161 5469128.

Sole Trader CBILS FAQ’s

Which Banks & Lenders Are Not Accepting Sole Trader CBILS Applications?

At the time of publishing this article on 1st February 2021, the following approved CBILS lenders were not accepting Sole Trader applications:

Market Finance
Nucleus Commercial Finance

Can a Sole Trader Get A CBILS Loan?

Yes a sole trader can apply for a CBILS loan, provided they meet the eligibility criteria as set out above in the article. You will likely need to of been trading for over a year and have a turnover of at least £200,000 per annum. Cbils loans start from £50,001 and you would need to repay any Bounce Back Loan you have received.

Can A Sole Trader Apply For A Government Backed Loan?

There are two government backed loan schemes available Bounce Back Loan Scheme (BBLS) and the Coronavirus Business Interruption Loan Scheme (CBILS).

Sole traders can apply for either options BBLS up to £50,000 and CBILs from £50,001 up to £5,000,000.

For more information about CBILS Loans, check our our article CBILS FAQ: Frequently Asked Questions 2021 [Coronavirus Business Interruption Loan Scheme]