As featured on Printwear & Promotion
When is the right time to buy new equipment?
Are you looking for ways to diversify your offering and push for business growth? We may have the answer for you.
Even during the current pandemic, investing in new equipment can be a great way to get ahead of your competition. You can grow your business through investment in the latest garment technology whilst preserving cash flow.
That’s where the Coronavirus Business Interruption Loan Scheme (CBILS) comes in
CBILS provides financial support to smaller businesses that have had an impact from coronavirus. The scheme, which has had an extension to 31 March 2021, provides further opportunities for businesses to secure cash flow. It is should also ease stress as the new challenges of 2021 arise.
CBILS will allow you to continue with your growth plans and fulfil your ambitions to buy new equipment. In the meantime you won’t have to pay any interest or potentially even capital for the first 12 months. Many businesses are accessing loans to hang onto their cash. Just in case they need it in this uncertain climate going forward. More benefits include:
- If eligible for CBILS, Directors will not have a requirement to give guarantees for lends of up to £250,000
- If you have already taken out a Bounce Back Loan, you can refinance this with CBILS to release further cash
- Even if you’ve had a CBILS facility already, you can still apply for another before the deadline. SMEs can have up to £5m CBILS, subject to eligibility
- Decisions happen within days with a release of money shortly after confirmation of the acceptance
You could also use this time to take advantage of the current Annual Investment Allowance (AIA) scheme. This has also had an extension throughout 2021 to £1m. The AIA scheme allows you to offset the cost of asset investments (plant, machinery, commercial vehicles etc) against your taxable profits, which could enable you to reduce your corporation tax bill significantly.
If you would like any more information, please contact Rob Greenhalgh, Business Development Director, on 07702 551 383 or via email at robg@pmdbusinessfinance.co.uk
PMD Business Finance has featured a series of articles on Printwear & Promotion. Here is our December addition: https://www.printwearandpromotion.co.uk/why-garment-decorators-should-consider-using-finance/
Legal Disclaimer
The Coronavirus Business Interruption Loan Scheme (CBILS) is managed by the British Business Bank on behalf of, and with the financial backing of the Secretary of State for Business, Energy and Industrial Strategy (BEIS). British Business Bank plc is wholly owned by HM Government and is not authorised or regulated by the Prudential Regulation Authority (PRA) or the Financial Conduct Authority (FCA). Full details on CBILS and the list of participating CBILS lenders can be found on the British Business Bank website at: www.british-business-bank.co.uk/CBILS