Requirements for Covid 19 relief loans for businesses
This might be useful for BFS clients. The terms are good and rate is 3.3% floating interest only. These are essentially unsecured as well.
Questions for all COVID-19 Relief Loans:
- What activity level do you anticipate to operate at over the next six months (i.e. full shut down or reduced capacity)?
- What are the main impacts on your activities?
- Complete or partial closure of your premises?
- Specialized staff / employees required?
- Access to premises: common workspace (number of employees) or remote work possible?
- What are the key carrying costs for the next 6 months? (Examples : rent, insurance, electricity, salaries, financial fees, etc.)
- With a working capital loan and/or postponement (and support from other lenders) does this cover your cash needs for the next six months?
Some things to consider:
- Cash and availability on your current bank line of credit?
- Do you have other sources of funding available?
- What are your agreements with key suppliers (and customers) on payment terms / support for the next six months?
- Have you undertaken discussions / negotiations with third parties?
- Do you have line-of-sight to required raw materials for the next six months?
- Availability or access to raw material?
- ID plus Equifax and bank statements
- Operating Lender Credit Facilities Agreements
- Org. Chart Showing Beneficial Ownership
- Org. Chart Showing Management
- Most-recent three years of year-end financial statements
- Most-recent interim Y-o-Y comparable financial statements (if Year-end accountant-prepared statements are more than 3 months old)
- Aged receivables and payables listings at year-end and interim period (if applicable)
- Projections and forecasts:
- 6-month detailed cash flow
- 6 to 18 months additional forecasts