Bounce Back Loans: how will you use yours?

The announcement of simple bounce back loans is the next best thing to a grant. While some will need them to cover existing costs and worry about repaying next year when business picks up again, for others it is an opportunity for investment.

Even though you won’t have to do a business plan to apply you should still do one for yourself to ensure that you can afford to repay it in 12 months time. That’s why I’m only planning a small loan and to use most of it for things I would have bought anyway.

For instance, my second book ‘Growing by Numbers: how to scale up your business with confidence’ was due to be published in May. Whilst the launch will now be online I still intend to have an offline launch later in the year. This is pencilled in for my birthday in November when I’ll be speaking at the rescheduled Accountex event at London’s Excel (assuming that it isn’t still in use as a Nightingale overflow hospital). I will need marketing materials for both the online and offline launch so it makes sense to use a loan to pay for these now as I’ll save the costs later. This has the advantage of getting cash out to another small business earlier than planned.

But there will be some extra spending too. I can accelerate the success of my coaching and accountancy businesses if I invest in additional marketing and a particular bit of software now. The repayments next year should be covered by additional sales now and later.

Rather selfishly, if the economy has shrunk 23%, we don’t need to be the absolute top but just in the top 77% that survive. Investment in marketing and efficiency now will help us to be in that 77%.

What will you use your BBL for?