AFP, a specialist capital provider to UK businesses operating in the agriculture sector, has been approved to issue loans under the Coronavirus Business Interruption Loan Scheme (CBILS) to offset cashflow disruption.
The Government-backed loan scheme, which is delivered through British Bank accredited lenders, is designed to help tackle cashflow issues experienced by SMEs during the Covid-19 outbreak.
This will see lenders offer credit facilities of up to £5 million to food and farming businesses across the country for up to 6 years, with the Government set to pay interest for borrowers over the first 12 months.
With the funds providing a ‘much-needed’ boost to income for inputs, machinery and livestock due to lost or deferred revenue streams, AFP chief operating officer Steve Shore said: “We are delighted to be able to bring this important service to agriculture…during these unprecedented times.
“While agriculture has largely continued as normal in order to bring food to our supermarket shelves, the industry faces the same challenges to revenues and cashflow as any other sector as a result of the knock-on effects of the Covid-19 outbreak.”
Full details on eligibility and how to make an application can be found here.