1pm gets go-ahead to expand CBILS lending
Specialist finance provider 1pm has received accreditation from British Business Bank to expand its lending under the UK government's Coronavirus Business Interruption Loan Scheme (CBILS), it announced on Wednesday, to support credit-worthy UK businesses.
The AIM-traded firm had announced on 5 May that the British Business Bank approved its subsidiary 1pm Finance UK as an accredited lender under CBILS.
It said that accreditation enabled it to expand its range of lending products to viable businesses across the UK that were impacted by the Covid-19 pandemic, to include CBILS leases and loans.
CBILS lending benefits from a government-backed guarantee for the repayments due from borrowers.
Originally set to end on 30 September, the UK government recently announced that the CBILS scheme would remain open for applications until 30 November.
Since its launch, CBILS lending had become an “important part” of the group's business loan and lease proposition, the board said, with the initial lending allocation almost fully used.
As such, the group sought and was approved for a “significant uplift” in its allocation.
That, 1pm said, would enable the firm to continue promoting and deploying the CBILS product through to the scheme's extended closure date.
“CBILS has provided a potential lifeline to many viable UK businesses in these difficult economic times and its extension is welcomed by the group,” said chief financial officer James Roberts.
“Since becoming an accredited lender we have seen significant appetite amongst our various introductory channels to deploy funds through the scheme.
“With this increased allocation, subject to our continued robust and rigorous underwriting checks, we are pleased to be in a position to help yet more UK small to medium enterprises.”
At 0915 GMT, shares in 1pm were flat at 16.75p.