Business Loans
Capital to invest, expand, strengthen cash flow or move your next business plan forward.
Business loans can provide a defined amount of funding for anything from growth and new premises to stock, recruitment, technology and working capital.
The right loan starts with what the funding needs to achieve.
Loan structure, term, security and repayment profile can all vary. We look at your business, the purpose of the borrowing and how the facility will be repaid.
What can a business loan be used for?
Business borrowing can support both immediate requirements and longer-term plans. The key is matching the structure of the finance to what the investment is expected to achieve.
Expansion
Invest in growth, additional locations, increased capacity or new revenue streams.
Equipment
Purchase machinery, tools, systems or other equipment needed by the business.
Stock & Inventory
Increase stock levels or fund purchases ahead of expected future sales.
Recruitment
Cover recruitment, new salaries or payroll costs as the business grows.
Technology
Invest in software, infrastructure, systems and digital transformation.
Tax & Other Costs
Manage significant business expenditure without exhausting day-to-day liquidity.
Different ways to structure business borrowing
The most appropriate type of loan depends on whether you need a single amount, shorter-term working capital or ongoing access to funding.
Term Loans
Borrow a defined amount and repay the loan over an agreed period.
This is a conventional business borrowing structure and can be useful where the required amount and purpose are known from the outset.
Working Capital Loans
Shorter-term funding designed to support the day-to-day financial requirements of a business.
This may help manage timing differences between business expenditure and incoming revenue or cover immediate operational costs.
Lines of Credit
Access funding up to an agreed facility limit and draw capital when the business needs it.
Rather than borrowing the full facility immediately, a line of credit can provide more flexible access to funds for changing business requirements.
Secured or unsecured?
Business loans do not all rely on the same security. The most appropriate route will depend on the amount, business profile, available assets and lender criteria.
Secured Business Loans
Borrowing supported by an asset or other acceptable security. Providing security may allow lenders to consider different loan amounts, terms or pricing.
Unsecured Business Loans
Funding assessed primarily against the strength, trading performance and credit profile of the business rather than specific asset security.
From funding requirement to facility
A clear purpose and repayment strategy make it easier to identify the right structure and approach suitable lenders.
Understand the Requirement
Establish how much is required, why and when.
Review the Business
Consider turnover, profitability, cash flow and trading history.
Structure the Loan
Consider term, repayment, security and facility type.
Funding Completes
Complete lender requirements and move through to drawdown.
What does a lender look at?
Business lending is rarely assessed on one number alone. Lenders will usually build a picture of the business and its ability to support the proposed borrowing.
Trading History
How long the business has operated and how performance has developed.
Turnover
The scale and consistency of revenue generated by the business.
Profitability
The underlying financial performance and ability to service new borrowing.
Cash Flow
How money moves into and out of the business.
Purpose of Borrowing
Why the funding is required and what it is expected to achieve.
Credit Profile
The credit history of the business and, where relevant, its directors.
Start with the business objective
Rather than choosing a product first, it is often more useful to begin with what the business actually needs the funding to do.
I want to invest in growth
A structured term loan may provide a defined facility for a defined investment.
Consider a Term LoanI need short-term liquidity
Working capital borrowing may help cover a temporary mismatch between income and expenditure.
Consider Working CapitalMy requirements change month to month
A revolving facility or line of credit may provide greater flexibility than a single lump sum.
Consider a Line of CreditI want to refinance existing commitments
New borrowing may sometimes be used to restructure existing business debt.
Consider RefinancingFunding for businesses across different sectors
Loan availability will depend on the individual business, but borrowing requirements exist across a wide range of industries and trading structures.
Have a borrowing requirement in mind?
Tell us a little about the business, how much you need and what the funding is for.
Speak to an Advisor
Have a funding requirement you’d like to discuss? Speak directly with one of our commercial finance advisors.
We aim to respond to enquiries
within 2 working hours.
Have a funding requirement you’d like to discuss? Speak directly with one of our commercial finance advisors.
Book a quick, no-obligation consultation with one of our commercial finance specialists — we’ll help you find the most suitable solution for your business.