Small business lender Iwoca has reached out specifically to accountants as it believes they can play a key role in helping businesses access the finance they need during Covid-19.
Iwoca, which has been accredited to deliver the coronavirus business interruption loan scheme (CBILS), revealed that it designed its CBILS process with accountants in mind.
This is due to the vital role they play in supporting small- and medium-sized enterprises (SME), particularly during the turbulent economic environment, Iwoca said.
Accountants are needed to provide cashflow forecasts, financial statements and assistance to help SMEs with their CBILS applications, the lender added.
“Accountancy leaders at a recent Iwoca event expressed frustration when supporting their SME clients through CBILS applications with larger lenders, alluding to delays in response times, getting stuck in call centre queues and banks not understanding the needs of businesses,” Iwoca said.
“These difficulties are more salient for smaller companies, who do not benefit from close ongoing relationships with their bank like larger enterprises do.”
In response to this, Iwoca has designed its CBILS portal with accountants in mind.
It will give accountants a dedicated relationship manager to give them regular updates and a quick decision on applications.
Iwoca has predicted it will triple the number of accountant referrals and deliver 10 times more lending through this channel compared to before the pandemic.
“The impact of Covid-19 means that small businesses need more financial support than ever to survive the crisis and rebuild their business,” said Colin Goldstein, commercial growth director of Iwoca.
“CBILS loans are a key part of the solution, and accountants are a key adviser and line of support for businesses applying for CBILS.
“Iwoca has worked with more than 1,000 accountants nationwide to help them secure the right finance solutions for their clients, and we’re now investing heavily to provide the support accountants need in securing CBILS loans for clients, in particular, small businesses who are struggling to get the support they need from the high street banks.”