Recovery Loan Scheme (RLS)

Picking up where CBILS and BBLS left off, the RLS will be vital in bridging the gap and will help smooth future cash flows for businesses as the economy opens up. 

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Government backed scheme for your business

RLS is a new government loan scheme that will replace the now closed Coronavirus Business Interruption Loan Scheme (CBILS) and Bounce Back Loan Scheme (BBLS). Download datasheet.

Key Facts

Available between 6 April and 31 December 2021

£25,001 and £10 million per business as term loan or overdraft

£1,000 and £10 million as invoice finance or asset finance

Provides favourable terms, APR capped at 14.99%

No PG up to £250k

No turnover limit for applications

Bridging the gap

Affordability - what lenders look for

Or give us a call on 020 696 9700 now!

Repaying the loan

The borrower will always be responsible for repaying the loan. The government will only repay the loan if the business cannot - up to 80%. The repayments for RLS start from month one. 

The decision to lend is at the lenders discretion. Our view, at, is that lenders will only lend to businesses that have recently shown affordability to support the loan.


Maximum 25% of turnover

Loans in the scheme are limited to a maximum of 25% of 2019 turnover or £10m, whichever is lower. 

Revenue from 'trading activities'

At least 50% of revenue must be from ‘trading activities’ this excludes rental income.

For UK-based businesses

Be UK-based in its business activity, with an annual turnover of no more than £45m.

Don't apply straight to the RLS

The business applies for finance, the lender will then  decide whether they qualify for RLS or a business-as-usual loan.


Once lenders have been approved by The British Business Bank you'll be able to apply for RLS funding directly from within the Capitalise platform. 

Please be aware that some lenders may request additional information but this list is the minimum we need to be able to determine which lenders are
most appropriate:

• Loan amount, purpose, and term
• A short paragraph on the business background and how it has been impacted by Covid-19
• Last 2 full sets of filed accounts
• Last 12 months bank statements (PDF format & no older than 7 days)
• Shareholder & directors details - name, DOB and home address
• Up to date management accounts
• Current debt position of existing loans, facilities etc

You could use a Recovery Loan for the following business loan products: 

  • Term loans
  • Overdraft
  • Asset finance
  • Invoice finance.

With a Recovery Loan, term loans and asset finance facilities are available for up to six years. Business overdrafts and invoice finance are available on term lengths for up to three years.

Yes, a Recovery Loan can sit alongside existing government-supported facilities without the need to refinance - if below the maximum facility limit. Anything borrowed under CBILS or CLBILS will count towards a business’ maximum amount.

Yes, subject to meeting the scheme eligibility requirements and provided they do not borrow more than what the business is entitled to.

Eligibility is very similar to CBILS.

Provided other criteria are met, RLS is open to:

  • sole traders;
  • corporations;
  • limited partnerships;
  • limited liability partnerships;
  • co-operatives and community benefit societies; and
  • any other legal entity carrying out business activity in the UK with business activity operating through a business account.