Apply for the Government’s Recovery Loan Scheme

We provide specialist small business finance including loans under the Government’s Recovery Loan Scheme (RLS).

  • Borrow £25,001 to £350,000
  • Rates of 8.6% - 12.1% p.a.
  • Terms from 2 to 6 years
  • No early settlement fees
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British Business Bank

Funding Circle is accredited by the Government-owned British Business Bank to provide business loans of £25,001 to £350,000 under the Recovery Loan Scheme (RLS). .

What is the Recovery Loan Scheme (RLS)?

The Recovery Loan Scheme (RLS) launched on 6 April 2021 to help UK businesses access finance as they recover and grow following the Covid-19 pandemic. The scheme aims to help businesses affected by coronavirus and can be used for business purposes, such as managing cash flow, investment and growth.

A key aim of the scheme is to improve the terms on offer to businesses. If we can offer you a Funding Circle business loan for the same amount on better terms, without requiring the guarantee provided by the scheme, we will do so.

Businesses who have taken out a Coronavirus Business Interruption Loan Scheme (CBILS), Coronavirus Large Business Interruption Loan Scheme (CLBILS) or Bounce Back Loan Scheme (BBLS) facility are able to access the new scheme. The scheme will run until 31 December 2021, subject to review.

It is important to note that if you are approved for a Recovery loan, you will be liable to pay the RLS interest payments and fees from the outset. The guarantee is to the lender and not to the business.

Am I eligible for a Recovery loan?

To receive a loan from Funding Circle under the Government’s Recovery Loan Scheme (RLS), you’ll need to meet the following criteria:

  • Business has been impacted by coronavirus
  • Minimum of 2 years’ trading history
  • Must be a limited company or limited liability partnership (LLP)
  • Business is trading in the UK
  • Loan is for business purposes (i.e. working capital or investment, and to support trading in the UK)

To help as many businesses as possible, we’ll look at a business' performance over a longer period of time to ascertain whether it has a viable business proposition regardless of the impact of Covid-19.


You could apply for a recovery loan to:
  • Access cash flow
  • Grow your business
  • Purchase equipment
  • Pay a one-off cost
  • Help with payroll
  • Invest in marketing

Check your eligibility in 30 seconds with our online form without affecting your credit score.

How to apply for a Recovery loan

It’s quick and easy to apply for small business finance online and our support team are on hand if you have any questions.

  1. Check if you qualify in 30 seconds

    See if you’re eligible without affecting your credit score.

  2. Apply online in 10 minutes

    Tell us about you and your business with our simple application.

  3. Get your decision

    If approved, you’ll receive a no-obligation, personalised quote.

  4. Your loan is funded

    Once you accept, we run some final checks to process your loan and deposit the money straight into your account.

Apply now

Here to help if you need us

Our UK-based team are here to help throughout your loan.

0800 048 2467

Need help? Call us.


Brilliant service and every step is made to be as easy and straight forward as possible.
Mel, March 2021
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Frequently asked questions

You can apply for the Recovery Loan Scheme (RLS) using our simple online form. We’ll then assess your application and confirm whether we can offer you a Recovery Loan or a small business loan.

If your business has been affected by the coronavirus pandemic and you’re looking for extra funding, the Recovery Loan Scheme (RLS) could be a good option for you.

At Funding Circle we offer Recovery Loans from £25,001 to £350,000. If you’d like to borrow more, the scheme goes up to £10 million.

Yes you can get a Recovery loan if you have a Government scheme loan already, and there is no requirement to refinance any existing Government debt such as a Bounce Back loan.

The maximum you can borrow is 25% of your annual turnover, and this cap includes any outstanding debt under the CBILS, CLBILS or RLS schemes. However, Bounce Back loans are not included in this limit.

The amount your Recovery Loan will cost will depend on the amount of money you want to borrow, your interest rate and your loan term. We charge a one-off completion fee when you take out your loan, and your interest rate will be calculated based on a number of factors, including your credit score and financials for business lending.

There’s also no fee if you want to settle the loan early. All our loans are fixed rate, so you’ll know exactly how much you’ll need to repay each month and what the cost of borrowing is.

If you’ve been refused credit in the past, whether that’s through a previous Government coronavirus loan scheme or a traditional business loan, you may still be able to apply for the Recovery Loan Scheme (RLS). If you meet the eligibility criteria, your provider will review your application and make decisions on a case-by-case basis. Providers are required to undertake their own credit assessments and therefore decisions may vary depending on the provider.

The Recovery Loan Scheme (RLS) doesn’t require personal guarantees on loans up to £250,000. If you wish to borrow more than this, you will be required to provide a personal guarantee.

The Recovery Loan Scheme (RLS) aims to improve the terms on offer to businesses. If we can offer you a Funding Circle business loan for the same amount on similar or better terms without requiring the guarantee provided by the scheme, we will do so. It's important to note that if you are approved for a Recovery loan, the business is required to pay interest and fees from the outset.

The Recovery Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & Industrial Strategy. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. Visit the British Business Bank website.

118,000 businesses have financed their goals by borrowing £13.1 billion through Funding Circle.

£13.1 billion
Lent to businesses

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Recovery Loan Scheme

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Working with British Business Bank

The Recovery Loan Scheme is managed by the British Business Bank on behalf of, and with the financial backing of, the Secretary of State for Business, Energy & Industrial Strategy. British Business Bank plc is a development bank wholly owned by HM Government. It is not authorised or regulated by the PRA or the FCA. Follow the link for more information.

We’re here to help

Contact our team if you have any questions.

0800 048 2467

Need help? Call us.