One of the consequences of processing more than 1.6 million government backed loan scheme applications is that banks and alternative lenders have been limited in how much “business as usual funding” they could support. This is especially so for those type of deals such as MBOs or some private equity backed deals that were ineligible for CBILS or CLBILS funding.
A common misconception about CBILS is that businesses backed by Private Equity investors do not qualify. From our experience funding existing customers with CBILS loans – and more recently new borrowers – we are able to support PE backed businesses in several ways, summarised in this blog
“Alternative lending isn’t looking so alternative anymore,” reckons law firm Vinson & Elkins, which services the private equity sector. This is particularly true when it comes to private equity firms raising debt capital. Alternative – also known as direct – lending is the fastest growing asset class in this space.
Today we have launched a new £100 million funding programme for private equity backed UK businesses.