CBILS Variable Rate Loan

Product features

• Apply to borrow between £50,001 and £5 million
• Repayment period is between 3 months and 6 years
• Interest is charged on a monthly basis
• For CBILS variable rate loans, you will not have to pay any arrangement fees or interest charges for the first 12 months.
• After the first 12 months, you will be liable for any interest or fees. You will remain liable for repayment of 100% of the borrowing.

• Loans may be offered on an unsecured or secured basis (there may be additional valuation and/or legal fees where security is required).
• The interest rate is based on the prevailing Bank of England base rate, plus the appropriate interest margin which will be determined by the financial status of your business
• Asset purchases must be in the name of the borrower / business (not director / shareholder)
• We do not lend for residential property development / investment, pension funds or to businesses domiciled outside of the UK.

The amount you’re requesting must be within at least one of the following thresholds. As part of your application, you will be asked to tell us which threshold your proposed borrowing is within, and you'll be required to provide any documentation you have to evidence this:

• Double the annual wages bill of the business (including social charges as well as the cost of personnel working on the business’ site but formally in the payroll of subcontractors) for 2019, or the last year available. If the business was established on or after 1 January 2019, the business will need to provide an estimated annual wage bill for the first year of its operation;
• 25% of the turnover of the business in 2019; or
• the cash flow needs of the business from the moment the facility is granted for the coming 18 months (or for the coming 12 months, if the business has more than 250 employees). The business cash flow plan may include both working capital and investment costs.

Paying back the loan

In order to complete a full early settlement, we require a letter signed in accordance with the account mandate to be emailed to relationshipsupport@co-operativebank.co.uk or to be posted in for the attention of Relationship Support to:

Relationship Support

3rd Floor Balloon Street

Manchester

M60 4EP

For partial early settlements you can make a transfer to your loan account via online banking at any time, over the phone via the telephony team on 03457 213 213 (Call charges) or by sending a letter signed in accordance with the account mandate to be emailed to relationshipsupport@co-operativebank.co.uk. Alternatively you can post this for the attention of Relationship Support to the above address.

If you have a Relationship Manager please email the above instruction to them in the first instance.

You can also overpay your loan by setting up a regular standing order for additional payments.

For each of these options, there is no early repayment fee however if security is to be released we would charge a £50 release fee for each item of security.