Michaelia Cash (WA, Liberal Party, Deputy Leader of the Government in the Senate) Share this | Hansard source

SMEs that are dealing with the economic impacts of the coronavirus and have a turnover of less than $250 million will now be able to access loans of up to $5 million over a term of up to 10 years. Other key features of the SME Recovery Loan Scheme include that the government will guarantee 80 per cent of the loan amount; that lenders are allowed to offer borrowers a repayment holiday of up to 24 months; that loans can be used for a broad range of business purposes, including to support investment—if you can invest in yourself, we want to back you—that loans may be used to refinance any pre-existing debt of an eligible borrower, including those from the SME guarantee scheme; and that loans can also be unsecured or secured. Again, what we're doing is that the expanding scheme will enable lenders to continue supporting Australian businesses when we know they need it the most.