GK Coffee Group Limited
AIB Group (UK) plc
Region: South East
Programme: Coronavirus Business Interruption Loan Scheme
Uncertain what trading would look like once its stores reopened after the COVID-19 shutdown, and having invested heavily in a new point of sale system, Starbucks franchise GK Coffee Group Limited applied to the Coronavirus Business Interruption Loan Scheme (CBILS) for a loan that would provide vital financial security.
Read what the business had to say in this CBILS case study.
British Business Bank: Can you tell us what your company does?
Bhopinder Singh Gill, director of GK Coffee Group Limited: My business owns and operates Starbucks coffee shops, and has since 2013. We have stores in Hornchurch, Epping, Sittingbourne, Chatham Dockside, Deal, Harlow, llford and Lewisham. It’s a community spirited franchise that supports local charities and is keen to be part of the community.
The coronavirus has affected a huge number of businesses across the UK. What problems were you facing as a result of the outbreak and what made you apply for CBILS support?
I applied for the CBILS finance due to the uncertainty my business faced in terms of its future levels of trade once the stores were able to reopen. Our landlords had already invoiced the rent quarter for June and the payment was due at the end of that month. I’d also invested around £70,000 in a new EPOS system, and so cashflow was incredibly tight. The CBILS loan would offer security in the form of additional capital.
How long did the application process take? Did you need any support?
For me, the process of getting the CBILS loan took approximately eight weeks. My bank manager supported me in completing the application.
CBILS has offered my business vital security in the form of additional cashflow. It’s really provided a safety net.
Bhopinder Singh Gill, director of GK Coffee Group Limited
What advice would you give to other businesses that are applying for a CBILS loan?
Simple: use a bank that can support you throughout the entire process.
How has the CBILS loan helped your business to weather the outbreak? And what might have happened if you hadn’t received it?
CBILS has offered my business vital security in the form of additional cashflow. It’s really provided a safety net. If the level of trade in our stores had been low once they reopened, I might not have been in a position to pay my creditors and would have had to invest more of my personal funds into the company.