HSBC UK said that it has extended financial support for businesses dealing with the prevailing COVID-19 outbreak by implementing three new measures.
The new measures include preferential financial solutions to help businesses engaged in the supply and making of ventilators.
The bank will help ventilator suppliers and manufacturers with preferential pricing, extended repayment terms on loans, and also accelerated approval times to support the high demand at hospitals across the UK.
Additionally, HSBC UK will cancel the £100 fee for small business loans with immediate effect.
HSBC UK launches Coronavirus Business Interruption Loan Scheme
The other step taken by the bank is the launch of the Coronavirus Business Interruption Loan Scheme (CBILS), which can be availed by existing customers who have a group turnover of up to £45m. The bank said that government guarantee will help in granting bank loans to viable businesses that have a sound borrowing proposal but do not have enough security.
One of the benefits to be provided by the bank is removal of loan arrangement fee or loan prepayment fee if a company chooses to repay early. The bank will also offer an interest free period of 12 months while there will be no need of capital repayment during the period of 12 months starting from drawdown.
Incorporated entities can avail loans in the range of £10,000 and £5m, while sole traders and partnerships can get loans ranging from £25,001 and £5m. The loan can be repaid over any period up to six years, said the bank.
HSBC UK commercial banking head Amanda Murphy said: “We are committed to supporting UK businesses through these challenging times, and will continue to launch new measures to alleviate some of the pressures that our customers are facing.
“Otherwise healthy businesses are suffering from disruptions to their supply chain, decreased demand for goods or services and strains on their cash flow. We want to assure our customers that we are here to support them through this unprecedented time.”
Earlier this week, the bank rolled out new measures to help its business customers who trade internationally to cope up with the challenges posed by the spread of COVID-19.
