In quite an extraordinary development, companies are now receiving letters from their banks demanding payment of the Bounce Back Loan within 14 days. Click on the image to show the letter.
In this letter they claim that directors breached the terms of the BBL loans application by making misrepresentations. This, Lloyds and Bank of Scotland claim is grounds to issue a full repayment demand as attached. What will you do if your bank sends this letter to your company? If you cannot repay it the bank may have to issue a winding up petition after giving you 21 days notice. We do not know the specific mis representations that were made but we are talking to people that made some pretty over optimistic projections, so that might be reason. Especially given that the bank has time to see the current and past turnover now.
More importantly within 14 days the banks have said they can simply close your company or business bank account!!
So, if you KNOW that you cannot service the bounce back loan(or CBILS) you should take professional advice today from experts like us. We’ve been helping companies online for twenty years. We are company debt counsellors, turnaround experts and insolvency practitioners.