Business Finance for UK Businesses

Who We Help

Why Business Finance Is Not One-Size-Fits-All

Business lenders can assess the performance of the business, the purpose of the borrowing and the wider financial position. The appropriate finance can depend on factors including:

• The purpose of the borrowing
• Business turnover and profitability
• Trading history
• Existing borrowing
• Cash flow
• The amount required
• Repayment strategy
• Business assets and security
• The directors' or owners' circumstances where relevant
• The sector and nature of the business
• The proposed use of funds
• Overall affordability

The lender with the most attractive headline terms is not necessarily the lender best suited to the specific business. The structure, lender criteria and overall suitability need to work for the funding requirement.

What Business Finance Lenders Look At

1. Business Performance - Turnover, profitability and the underlying performance of the business may form part of the lender's assessment.
2. Cash Flow - Existing and projected cash flow can be important when assessing affordability and repayment.
3. Trading History - Lenders may consider the length and consistency of the business's trading history.
4. Purpose of the Finance - The reason for borrowing and how the funds will be used can influence the available lending options.
5. Existing Borrowing - Existing facilities and financial commitments may be considered as part of the wider assessment.
6. Security - Depending on the finance required, lenders may consider business or property assets as security.
7. Borrower's Circumstances - Directors' or owners' financial circumstances may be relevant depending on the lender and type of finance.
8. Repayment Strategy - The proposed repayment structure and how the borrowing will be serviced are important considerations.

Related Finance & Sectors

Explore other finance solutions and specialist sectors relevant to your requirements.

Frequently Asked Questions

What is business finance?

Business finance is borrowing used to support a business requirement, which may include working capital, growth, asset purchases, acquisitions or other business purposes, subject to lender criteria.

What types of business finance are available?

The appropriate type of finance depends on the purpose of the borrowing and the circumstances of the business. Options can include business loans, asset finance, invoice finance, commercial mortgages and other forms of business funding.

Can I get finance for a new or growing business?

Some lenders consider newer or growing businesses, although the available options depend on factors such as trading history, business performance, affordability, the purpose of the finance and the lender's criteria.

Can business finance be used for working capital?

Yes, some forms of business finance can be used to support working capital requirements. The appropriate structure depends on the business, the amount required and the intended use of the funds.

Can I use business finance to buy equipment?

Yes, finance can be available for business equipment, machinery, vehicles and other assets, subject to the asset, business circumstances and lender criteria.

Can I use finance to buy a business?

Some lenders offer finance for business acquisitions. The assessment can consider the business being acquired, its performance, the proposed transaction, the borrower's circumstances and how the borrowing will be repaid.

Can I refinance existing business borrowing?

Yes, refinancing may be appropriate where a different funding structure could better suit the business's circumstances. The available options depend on the existing borrowing, business performance and lender criteria.