header
Inspiring Our Youth
To Realise Their Potential
Back to Search Results

SME Recovery Loan Scheme

Program Closes: Ongoing Run By: Australian Government Treasury Further Information: https://treasury.gov.au/coronavirus/sme-recovery-loan-scheme

The SME Recovery Loan Scheme is designed to support the economic recovery, and to provide continued assistance to SMEs that are dealing with the economic impacts of the coronavirus crisis. The Scheme is enhancing lenders’ ability to provide cheaper credit, allowing many otherwise viable SMEs to access vital additional funding to get through the impact of Coronavirus, recover and invest for the future. 

Participating lenders are offering guaranteed loans on the following terms under the SME Recovery Loan Scheme:

  • The Government guarantee will be 80% of the loan amount.
  • Lenders are allowed to offer borrowers a repayment holiday of up to 24 months.
  • Loans can be used for a broad range of business purposes, including to support investment. Loans may be used to refinance any pre-existing debt of an eligible borrower, including those from the SME Guarantee Scheme.
  • Borrowers can access up to $5 million in total, in addition to the Phase 1 and Phase 2 loan limits.
  • Loans are for terms of up to 10 years, with an optional repayment holiday period.
  • Loans can be either unsecured or secured (excluding residential property).
  • The interest rate on loans will be determined by lenders, but will be capped at around 7.5 per cent, with some flexibility for interest rates on variable rate loans to increase if market interest rates rise over time.

On 25 August 2021, the Government announced that in recognition of the continued economic impacts of the coronavirus, the current requirements for SME’s to have received JobKeeper during the March quarter of 2021 or to have been a flood affected business in order to be eligible under the SME Recovery Loan Scheme will be removed.

Last Updated: 27th of August 2021
Search Grants & Funding
Share This Page With Someone
Stay Informed
Subscribe to one or more of our regular email subscriptions, to be kept up to date on news and funding opportunities for the region
Choose Your Subscription(s)
Contact Us
Phone02 6771 0700
Emailrdani@rdani.org.au
Opening Hours 9.00am to 5.00pm Monday to Friday
(Except Public Holidays)
Address 143 Marsh Street
Armidale NSW 2350
Postal Address PO Box 72
Armidale NSW 2350
Find Us in Google Maps or Apple Maps
© Copyright 2021 Regional Development Australia - Northern Inland
An Australian Government Initiative