Atom bank has completed a £1.6m commercial mortgage refinance through the Growth Guarantee Scheme, enabling a Birmingham-based Best Western hotel to save £145,000 annually.
The Growth Guarantee Scheme – which replaced the Recovery Loan Scheme – supports viable businesses in accessing finance for growth and investment. Atom bank has been an active participant in both schemes.
In this case, the borrower sought to consolidate existing facilities, including a previous Atom loan under the Coronavirus Business Interruption Loan Scheme (CBILS), alongside other high-cost credit.
Atom provided a refinancing package at a rate of 2.65% above the Bank of England base rate, after reducing its initial offer during underwriting.
The refinance also allowed for an additional £600,000 of funding to help the borrower repay other debts and complete refurbishment work on more than 20 hotel rooms.
Atom was able to use a recent broker-led valuation from the quote process, avoiding the need for a new report and saving both time and costs.
Karen McGrath, regional business development manager at Atom bank, said: “This case is a great example of why Atom bank has been such a big supporter, and participant in, schemes like the Growth Guarantee Scheme.
“We are passionate about supporting British businesses, providing them with the funding they need in order to achieve their ambitions.
“Our funding package has saved the borrower a substantial sum, allowing them to complete the refurbishment of the property, and all in a fraction of the time possible with other lenders.”
She added: “It also demonstrates how measures like broker-led valuations are providing tangible financial and time savings to borrowers. Atom bank consistently acts on feedback from brokers to ensure that our service proposition goes above and beyond, allowing us to deliver for our clients.”
Andrea Maddalena, commercial specialist at SFC, added: “This case went from application to completion in a matter of weeks, which could only happen because everyone involved really pulled together.
“The service from Atom bank was outstanding – I’ve worked with Karen on many cases in the past, and can vouch for the benefits of having a strong relationship with quality BDMs.
“My client is saving a significant amount each year because of this package – I know that Atom bank will always go the extra mile to look after my clients.”
