Business loans in the UK

Loans can be critical for small enterprises. Within the UK, there is a range of major providers specialising in all types of business loans. This list aims to break down those providers, showing their benefits and providing quick links to their products and services. You can also find a list of grants for UK businesses here. (Note: Always seek financial advice before applying for or procuring any loan, particularly if you’re a startup, debt is not necessarily always a good thing!)

Related: Small business grants

List of business loans

Barclays

Overview: Barclays offer a range of lending solutions for startups and small businesses. Whether you’re looking to invest in equipment or source cash flow finance, you can check out their solutions below.

Loan Options: Overdrafts, Loans £1,000-25,000,Loans £25,000+,Cash Flow Finance and Commercial Mortgages.

Useful: You can access the Barclays loan calculator to determine the cost for your business. You can get help with building your application here.

 

Royal Bank of Scotland Business

Overview: Royal Bank of Scotland provides suitable financial assistance to small and large-scale businesses. It offers an exclusive option of promoting the businesses concerned with farming. Loans are furnished without any product fees and early repayment charges.

Loan Options: Small Business Loan, Fixed Rate Business Loan, Agricultural Lending, Community Business Loan, Business overdrafts

Useful: Loans are convenient to utilise as there is no excessive payment required to apply for one. The loan can be transacted in a short amount of time. If you’re interested in applying for any of the loans mentioned above.

 

Santander

Overview: Santander Bank offers fixed-rate business loans to help you turn your business ideas into reality. If you’re looking to introduce new equipment to your business or are about to start a potential project, fixed business loans offered by Santander Bank can be a good option to help satisfy your needs.

Loan Options: Fixed Rate Business loans

Useful: You can apply for a loan if you have an account in the Santander Bank, or on the basis of your current business account. The loan calculator will help you calculate your monthly repayments.

You can apply for a fixed business loan here. Visit the terms and conditions page to verify your eligibility to apply for a loan.

 

HSBC Business Loans

Overview: The HSBC offers funding options to assist your business in carrying out long-term projects. A loan is granted with suitable repayment options. HSBC works promptly to deliver funds in a short time frame. If you need a loan immediately, they can transfer funds as soon as your application gets approved.

Loan Options: Small business loans

Useful: HSBC provides business loans along with negotiable repayment options. You can select your repayment schedule per your ease. The bank also offers to open a loan at a reduced fee. The application procedure is simple, and you can apply using different methods.

 

Funding Circle Business Loans

Overview: These loans are generated by the UK Government as an easy solution to finance small businesses through the Funding Circle. The loans are provided in a short time frame.

Loan Options: Funding Circle

Useful: Funding Circle assists in calculating repayments by entering the time period for which you would like to take a loan. There are no early repayment fees required to apply. Also, you don’t have to pay extra fees or interest on loans. You can fill the online form to apply.

 

Lloyds Bank Business Loans

Overview: The bank approves almost 80% of its loans to young entrepreneurs that want to grow their business. They work closely with businesses to offer the best possible rates and terms.

Loan Options: Commercialised Fixed Loan, SME Fixed Rate Loan, Base Rate loan and Fixed Rate Loan.

 

British Business Bank

Overview:  British Business Bank loans are intended to fill the gap where lenders are less willing to finance new startups. They combine free first-class mentoring with low-cost loans, both pre-startup and once the business is up and running.

Loan options: Startup loans and small business loans.

Useful: These loans can be especially helpful for people looking to grow their business but need mentoring to maximise the impact of its business.

 

Startup loans partners (Government Scheme)

 

Virgin Startups

Overview: Virgin Startups helps bright individuals get funding and find a good mentor. It’s a non-profit founded by Richard Branson to support the UK entrepreneurs.

Useful: These loans target UK residents that are over 18 and wish to start or expand their business. Virgin places particular emphasis on mentoring individuals throughout their business model. If you want to apply, scroll down and fill in your name and email address here.

 

NWES

Overview: Like many other loan providers NWES is a government-funded loan service. It’s mainly designed for people over 18 that want to initiate a new business or grow their existing company.

Loan Options: Startup loans

Useful: You can borrow between £1000 to £10,000, with a fix interest rate of 6% (APR 6.2%). There is no loan arrangement fee, and there’s a fixed term of 5 years. Identification, address verification and credit card checks are required. If you wish to know more about their loan schemes, you can fill in the enquiry form on the following link.

 

Business in focus

Overview: Starting a business can be challenging, particularly if you need to raise a lot of money. This loan is ideal for individuals looking to set up a new venture or are already trading for 12 months.

Loan Options: Growth Support for VAT registered Businesses and startup business Loans.

Useful: Business in Focus financial advisors will be there to assist you throughout the loan application. The average loan sanctioned is around £4000, with a fix interest rate of 6%. You can fill out the application here.

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