Liberty joins SME Recovery Loan Scheme

As announced in March, the government initiative extends the Coronavirus Small-to-Medium Enterprises (SME) Loan Guarantee Scheme to not only cover businesses that were receiving the JobKeeper payment between 4 January 2021 and 28 March 2021, but also those in eligible Local Government Areas impacted by the floods in NSW and Queensland in March.

Under the scheme, which aims to help SMEs “access vital additional funding to get through the impact of coronavirus, recover and invest for the future”, the government guarantees 80 per cent of the loan amount.

Liberty has now joined the lender panel and revised its Liberty Business Care offering to reflect the scheme’s key features, with increased loan limits up to $5 million and loan terms up to 10 years.

The non-bank lender said it would also be enabling SMEs the option to defer repayments for six or 12 months with accrued interest capitalised into the loan. 

According to Liberty, the variable rate loans start from 3.45 per cent p.a.

Existing SME Guarantee Scheme loans and other eligible debts are able to be refinanced under the scheme, Liberty confirmed.

Speaking of its move to join the lender panel, John Mohnacheff, Liberty’s group sales manager, said the lender was committed to supporting businesses through difficult periods and providing brokers with solutions to suit a diverse range of borrowing needs. 

“Liberty was one of the first non-bank lenders to sign up to the initial SME Guarantee Scheme, and we have a proud history of providing tailored solutions to support customers through difficult circumstances,” he said. 

Mr Mohnacheff added that Liberty has established a dedicated business lending department to further support brokers and business partners and highlighted that the lender last month welcomed Leigh Hooley, Bank of Melbourne’s former head of premium banking and business growth and Westpac state manager, as its new business capital group manager. 

“Leigh will help us to continue exploring new ways we can better serve the business community,” Mr Mohnacheff said, adding that the lender’s BDM team will be on hand to help answer broker questions and guide them through the application process.

“As always, service is our top priority – and it’s our goal to make the scheme accessible for those who need it,” he concluded. 

As at the time of writing, there were 12 lenders approved to participate in the SME Recovery Loan Scheme.

These are:

1. ANZ
2. Commonwealth Bank of Australia
3. Get Capital
4. Judo Bank
5. Liberty Finance
6. Moneytech Finance
7. National Australia Bank
8. Regional Australia Bank
9. Social Enterprise Finance Australia
10. Suncorp-Metway
11. Webster Dolilta Finance 
12. Westpac

[Related: Government extends loan scheme to flood-hit SMEs]