Small Business Loans from £5k – £200k


little business loans BirminghamLittle business loans offer fast and affordable finance to small business for almost any purpose, our small business loans offer a short-term loan from are available from £5000 to £200,000.

A small business loan is a perfect way to get a quick cash injection into your business. Whether it be for new stock, to see you through tough times, or to invest in your business , take a look at the following to consider if a small business loan might be the right next step for you. 

Due to our business loans being unsecured there is no need for security on your assets or home. If you’re looking for a small amount of money over a short-term business loans can provide an answer.

A form of business financing that is designed to assist small businesses, this type of finance enables businesses to fund their daily operations costs. Lender or high street banks usually request this type of loan be secured against business assets.

What is a Small Business Loans?

A small business loan offer business owners that are looking to grow and develop their businesses a low-cost way to finance its development. Loans of this type can be used for almost any business purpose, such as boosting working collateral for cash flow, purchasing equipment, recruiting staff.

Some business loans are designed for the short term. These types of loans have agreements between 12 months and 2 years. The important thing is to see these  business loans for what they are a type of funding designed for a specific business purpose. Loan periods typically run for between three months and two years. Loan amounts could be anything between £1,000 to tens of thousands but will depend on the financial health of the company and the loan provider’s attitude.

The good thing about this type of business loans is that they are typically easier to access than more conventional alternatives. Lenders may be more willing to lend to you if you only want a small amount and if you do not have the kind of credit history others may require.

Size Matters: Finding Little Business Loans

As small businesses look for new ways to secure finance, alternative providers of little business loans are gaining ground. These can offer a faster and more accessible way for businesses to access relatively small amounts of money which the banks might not be willing to provide. The internet has become the main source in finding business loans. Our business loans are easy to find regardless if you are in Birmingham or a town in Scotland, as we are accessible to everyone on the internet.

Short Term Capital  

Capital can be crucial to the lifeblood of any small business, but over the course of the last decade it has become harder to secure. Banks are more reluctant to lend and have become much stricter in their agreements even for the short term!

Where they are turning their backs, smaller organisations are stepping up to provide affordable finance to small businesses for just about any purpose from buying new equipment to providing an injection of capital.

This can be crucial. Every year, poor cash flow sends hundreds of otherwise profitable businesses over the edge. Issues such as late payments, or a series of large expenses, can push businesses which might otherwise have been in a good position into trouble. In these instances, a small injection of capital can be a life saver.

Nationwide Finance Loans

As a nationwide business loans provider we offer corporate finance to the whole of the UK. Our nationwide finance services covers England, Scotland, Wales and Northern Ireland. We understand most SME’s in the UK need a helping hand to get started or their first foot on the ladder. Finance is arranged within 48 hours of an enquiry being placed on to our portal. Alternative instant business loan from PDQ Funding the UK’s leading nationwide business cash advance company.

Choosing a Small Business Loans

This is an environment which can vary considerably so you need to tread carefully. Providers will differ in the cost of their rates and hidden costs. Charges such as administration and application fees can push the costs higher than you might expect. Equally, if a lender allows you to pay the loan off earlier without a penalty, you may be able to reduce the cost.

Most providers will require you to have a business account. This makes it easier for them to clearly separate your personal and business-related finance. Others may be more relaxed but the checks may take longer if it’s harder for them to see your business income.

Most of all, you need a clear idea of what you want this loan to achieve. All too often, small business owners go for a loan just to keep their head above water. If this is the case, you’re simply kicking the can down the road and digging yourself into a deeper hole.

If you’re using a short-term business loan to cover a capital shortfall, you need to be confident that you will be able to repay it within the loan period. For example, you may be waiting to be paid for a major project but need capital to cover the gap.

Our team offers support and help with business that are looking for funding, saving you the time consuming task that is required to find the right deal for you and your business. People that require funding for example business loans for women, can speak to a real human at the other end of the telephone.

We assist you all the way though your journey to secure unsecured loans for your business growth.

Can I get a small business loan with bad credit?

Having bad credit does not stop you gaining a small business loan, if your credit rating is not the best, a number of lenders have tailored their products to suit specific needs.

If you are a business owner that is currently undergoing some financial difficulties, you may well be wondering whether or not you are able to access business funds with a poor credit history. The plain and simple answer is ‘yes’, you most likely will still be able to apply for these types of loans with bad credit, due to the fact that it is a form of unsecured funding.

You can apply online for a business loan via our online application process. You will need to complete a quick online application to provide some basic information about yourself and about your business. So, with unsecured funding, it turns out that small business loans can still work out for individuals that are looking to make improvements to their business venture or get it out of a spot of financial trouble.

Interest rates are higher if you have a poor credit score as lenders class you as a higher risk. Repayments may also be required to be repaid over a shorter period, this is due to keep costs to a minimum and a higher APR.

One of the fastest ways to improve your credit rating or business credit rating is to access your full business credit report. Regardless of your credit history, finding the right product for you is your mission, even if you have a less than perfect credit score.

Small business loans for start-ups

A small business loan for start ups are government-backed personal loan available to individuals looking to start or grow a business in the UK. The small business loan for new business is unsecured, so there’s no need to put forward any assets or guarantors to support an application.

Government backed funding is available for start ups again this it regardless of the type of business you maybe running. The government lenders will require business plans to have sight if your venture is viable or not. The loan amount, interest rates are dependent on your personal credit score and your business needs.

All owners or partners in a business can individually apply for up to £25,000 each, with a maximum of £100,000 available per business. Start up loans can be used for any type of business use, they offer a sound financial footing to kick start a venture. Repayment terms of up-to five years, this allows lower monthly repayments so your business is not starved of cash from the onset.

Applying for a small start up loan you will be required from formulate a business plan, this allows the lender to see what you texted to achieve, in reality is your way of showing the financial services industry what you can do. Business plans also show the legal structure and which applicants are involved, demonstrating their roles within the venture.

Choosing a Short-Term Business Loan

Little business loans come in various forms. The most common is an unsecured small business loan. These work in the same way as conventional loans but have a shorter term. Invoice finance allows you to borrow against your unpaid invoices. Business lines of credit provide a fixed amount of additional funds when you need them. Asset finance allows you to borrow against equipment and infrastructure. Sadly this option is not available to B2C customers.

All these options have a number of advantages compared to conventional loans. A shorter loan term should mean lower interest payments and will have less of an impact on you ongoing finances. They are generally easier to set up and you have access to capital much more quickly, which can be useful if you’re working to a tight deadline.

However, as always, much depends on the provider you use, their costs and terms. You should take time to shop around to find the best deal and find out what  business loans are available. The market is growing, and this can be a good thing. There’s plenty of choice and if you spend time to research the market you can get a better deal.

So, in a world in which capital is more difficult to find and competition is everything, a business loan can be crucial. It can come to your rescue when times are tough and can help you innovate to stay ahead of the competition.

What are the rates and fees for business loans?

Rates and fees for a small business loan vary significantly depending on the lender and type of funding product they offer. Rates in 2021 can also be affected by activities such as your business sector, credit history of directors, and trading history.

Interest rates are usually fixed, some types of loans are variable, this means that is can go up or down at any time during the package of the loan. Lenders will issue you with a schedule, this covers all the fees, charges and repayment conditions, this is issued at the outset of the loan, this allows you to have a clear visibility of how much it will cost. A fixed interest rate is possibly the best option to choose for any loan term over two years.

Should you or the business default on a small business loan, your credit rating may be negatively impacted. This means that in the future you may struggle to secure credit.

Competitive interest rates and flexible repayment schedule, make our range of loans offers peace of mind for all business owners. These short-term business loans are only suitable if the business has been trading for more than six months.

These type of loans are regulated by the Financial Conduct Authority.

Business Interruption Loan Scheme

The business interruption loan scheme was introduced by the UK Government in response to the Covid-19 pandemic, the scheme is a part of a wider package of government support for UK businesses and employees.

On the 17th December, the HM Government has announced that the Coronavirus Business Interruption Loan Scheme (CBILS) will be extended until 31 March 2021. Under the scheme, personal guarantees of any form will not be taken for facilities below £250,000. For facilities above £250,000, personal guarantees may still be required, at a lender’s discretion for the interruption loan scheme CBILS.

This type of business funding is government backed with a low interest rate. The coronavirus business interruption loan is over seen by the British business Bank.

What can the Small Business Loan be used for.

1. Expansion

If your small business is doing well, there maybe a need to move to a bigger premise or expand your workforce . Expansion comes at a cost and you may not have the required working capital to cover this exercise. A business loan can help with expansion, that is just one benefit they offer.

2. Purchase Equipment

You might be thinking about ways you can improve your business’s daily operations for performance and productivity. Loans allow you to finance the specialist equipment that you need in order to do this.

3. Purchase More Stock

As your small business grows, you need more high-quality stock of goods , or the need to deliver a better and more professional service to generate revenue. Raising funds to do this can be challenging, which is why a loan can be useful.

4. Training For Staff

A small business needs to be competitive in order to grow as an industry leader. Training and developing your small workforce is a good investment and will undoubtedly bring better results for your business in the long term.

5. Advertising

Promotion and marketing are essential for small businesses to gain recognition and successfully progress. It can be difficult to source new customers and clients, but a business loan effectively allows you to invest in the advertising required to achieve this.

Advantages of a Small Business Loan

There are a number of reasons why an entrepreneur will clearly see the advantages of small business loans.

  • Little business loan is not repayable on demand and so available for the term of the loan. Generally six to twenty four months.
  • Small business Loans can be tied to the lifetime of the equipment or other assets you’re borrowing the money to pay for.
  • At the beginning of of the loan you may be able to negotiate a repayment holiday. This means that you only pay interest for a certain amount of time while repayments on the capital are frozen.
  • While you must pay interest on your loan. You do not have to give the lender a percentage of your profits or a share in your company.
  • Interest rates may be fixed so you will know the level of repayments throughout the term of the business loan.
  • Arrangement fee’s may be payable at the start of the loan but not throughout its life. If it is an on-demand loan, an annual renewal fee may be payable.

Disadvantages of a Small Business Loan?

There are a number of disadvantages to consider when taking out a small business loan.

  • The cost of borrowing – While small business loans have low-interest rates, the cost of which still needs repaying as well as the original loan amount.
  • Higher rates for low credit scores, the cost of borrowing will be higher, as you pose a greater risk to the lender.
  • Not all business will meet the criteria laid out by the banks.

Business Loans Alternatives

So what are my options and what are the alternatives in regards to small business loans? Simple answer with one of our Business Loan Alternatives this product is available to any business that accepts payments of £5,000 or more in card payments each month. The business finance solution is free from personal guarantee or security. It allows future card receipts to be advanced in a lump sum amount. This is then repaid back at a percentage or each sale.

If no sales are made then their is no repayment due! This littler business loan alternative allows funding up-to £200,000 and a repayment period to a maximum term time of 18 months.

Is my business eligible for a small business loan?

In 2021 the number of small business in the uk has reached over 6 million. limited company directors as well as sole traders have been reluctant to apply for funding in the due to the fear of rejected. Due to the expansion of the alternative lenders in the UK, access to finance is available to limited companies and sole traders. Our missions is to assist and help as many businesses as we can get the funding they need. The following basic eligibility requirements are need to proceed:

  • Your business is officially registered in the UK
  • The business has been trading for a minimum of 6-months
  • A minimum monthly turnover of £5,000
  • The business owner is over the age of 18

Apply for a small business loan

It is so easy and quick to apply for a small business loan, simply follow the following application process and grow your business.  A business loan can be put in place within 5 working days, and the funding placed with your bank account. Any UK based business can apply, let us send a quotation with details about business loans available.

Step 1:

Click to apply for a quick quote. You will be redirected to a page where we will ask for more information about your business, including:

  • The name of your business
  • The number of years you have been trading
  • Your average monthly turnover
  • The amount you are wanting to borrow

Step 2:

The next step involves disclosing your personal details, please be ready to tell us:

  • Your title, first name and surname
  • Position in the business
  • Registered office address if registered in England and Wales
  • Limited company registration number
  • Contact details

Step 3:

Carefully read through the terms and conditions and click ‘get my quote’. From here your application gets reviewed by one of our approved business finance suppliers, who will help find the best lender for your dentist loan.

Step 4:

Please expect a call and email from one of our dedicated account managers to discuss your loan agreement.

Step 5:

Carefully read through the agreement and sign the relevant documentation ready to return to PDQ Funding. From there you will be able to access the funds in your account in just 24 hours.

Frequently Asked Questions

How to get a small business loan?

To get a small business loan simply go on to our website and check your businesses eligibility and criteria, once you have done this simply complete the online enquiry, once complete a business development manager will talk you though your small business loan application.

What kind of credit score do you need to get a small business loan?

If you or your business does not have a great credit score, do not worry, most lenders look at affordability to repay the loan, this means credit scores are not the most important factor, they ability to make repayments of the loan are.

Is it hard to get approved for a small business loan?

Getting a small business loan is not a hard task, lenders look at credit ratings of directors and affordability, both these factors are responsible to show the lender you are not a risk.