Thursday, 31 March 2022

What is unsecured business finance?

There are now over 40 lenders willing to lend unsecured small business loans in the UK. Whilst the majority of these will require a personal guarantee (PG) from directors, some do not. The difficulty being they all have different criteria, different application processes and different sectors they prefer lending to. A complex and time consuming task for business owners. Our experts save you time by guiding you through these processes and they will work quickly to understand the business and financial requirements of the applicant, introducing only those lenders who can meet those needs and who are most likely to accept the unsecured business loan application.

The benefits of arranging Unsecured Business Finance are (subject to status):

Whilst lenders like to see 1 years’ worth of trading, providers can offer unsecured loans to start ups
Borrowers do not always need to be homeowners
Options may be available to those with an adverse credit history
Funds can be made available within a matter of hours
Personal loans can be used by sole traders and directors to put money into their firm.

Typical outcomes would be lenders do not take a legal charge over any specific asset. The lender does, however, seek a personal guarantee from the borrower.

Merchant cash advances means you raise finance based on your credit card turnover. Your proven average monthly turnover is typically the amount you can receive a merchant advance loan for.

Please talk to us about any financing needs you have for your business; we will be delighted to arrange a meeting with a local finance expert.

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