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Reply To: Hi, my business is over 9 years old and due to lock down it lost hundreds of thousands in cancelled sales and income. We had recently changed our business model & services which had been working. Last year we were the situation where a director had a personal default listed against them. This has been paid in full but at the time as a result the bank unknown to us put the business on a credit watch. As a result they took 5 weeks to let us know that they would not even assess a loan application for the business. After advice a complaint was laid and as a result they have given a loan application but have stated they still expect to decline any application. Without a loan we will be unable to pay our accounts that were due during lockdown & be unable to get any more parts to complete work that is booked which will cease our business. How can we make our best case for a loan application and what other options are open to us? I’m a mother of 4 young children & with the business being the only source of income I’m terrified for my family

Hi there,
The only thing that I would add to this is the importance of regular conversations with your bank regarding your intent, any risks or considerations and your opportunities. I talk to the bank at least once a month. The benefit has been considerable.
I would also look to ensure that you have a high functioning board. The boards role is clear and this situation should have been raised ahead of its realisation. A great board really makes a difference.
Adam