The deadline for starting an application for a government-backed loan has been extended to January 31st 2021, but lender appetite is diminishing. What should you do and who do you turn to when you need working capital and the bank says no?
UK businesses have used government-backed loan schemes to survive these most gruelling of months. And with the latest lockdown adding to to the pain, the second wave will push those in perilous situations over the edge. If you’re one of the hundreds of thousands of business owners temporarily closed again you’re probably exploring your options.
Government-backed schemes have naturally been the first port of call for business owners. More than £50bn has been approved in Coronavirus Business Interruption Loans (CBILS) and Bounce Back Loans (BBLS), with more than 1.3 million struggling businesses utilising them. But banks are restricting access to them due to fears of fraud and future
The boss of JD Wetherspoon today lambasted the regulatory regime governing coronavirus as “a complete muddle” as the pub chain reported a 28 per cent slump in like-for-like sales in the first quarter.
Tim Martin, the founder and chairman, said that the “constantly changing national and local regulations, combined with geographical areas moving from one tier to another in the different jurisdictions, are baffling and confusing”.
Wetherspoon has 871 pubs, of which 756 — in England, Northern Ireland and the Republic of Ireland — are closed. It has 64 in Scotland that are subject to a tiered regulatory scheme and 51 in Wales that have just reopened after a two-week “firebreak”.
“The entire regulatory situation is a complete muddle,” said Mr Martin, 65.
Wetherspoons, which was founded by Mr Martin in 1979, sells cheap ales, breakfasts, lunches and dinners. At its flotation in 1992 it had 44 pubs. Today it
Celisa Calacal has been hired as a reporter at The Beacon covering economics and civic engagement in Kansas City and across Kansas and Missouri.
She is particularly interested in issues related to housing, labor/workers’ rights, the economic impacts of COVID-19, and government accountability. The Beacon is a nonprofit, online news organization focusing on in-depth journalism.
Before joining The Beacon, she worked for KCUR, the NPR station in Kansas City. Her work has also appeared in Salon, The Nation, TruthDig, and The American Prospect. Celisa graduated with a degree in journalism from Ithaca College in 2018.
She was born and raised in the San Fernando Valley in Southern California.