Looking to grow your business in 2025? Whether you’re expanding operations, buying stock, or managing cash flow, a business loan could be the key to your next step.
This guide explains how to get a business loan in the UK, even if you’ve been declined before or have less than perfect credit.
Types of Business Loans Available in the UK
There are several types of loans depending on your business needs:
- Unsecured Business Loans – No assets required. Based on your revenue and trading history.
- Secured Business Loans – Backed by property, equipment, or invoices.
- Working Capital Loans – For short-term cash flow needs.
- Asset Finance – Use business vehicles or machinery as leverage.
- Start-up Loans – Government-backed or private funding for new businesses.
- Merchant Cash Advance – Repay based on a percentage of card takings.
What Do Lenders Look For?
Lenders will typically assess:
- Your monthly revenue or turnover
- Time trading (usually 6+ months preferred)
- Credit profile – personal or business
- Outstanding debt obligations
- The loan amount and what it’s for
You don’t need to tick every box. That’s where brokers like us come in to match you with the right lender for your situation.
Can You Get a Business Loan With Bad Credit?
Yes. Some lenders specialise in funding businesses with:
- Poor credit history
- Missed payments or CCJs
- No collateral
Rates may be slightly higher, but you can still get approved, especially if your business shows healthy revenue or strong growth potential.
Secured vs. Unsecured Loans: What’s Right for You?
| Feature | Secured Loan | Unsecured Loan |
|---|---|---|
| Requires collateral | ✅ Yes | ❌ No |
| Speed of funding | ⏳ Slower | ⚡ Faster |
| Credit requirement | Medium | Varies (can be flexible) |
| Loan size potential | £100k+ often achievable | Up to £500k in some cases |
If you don’t want to risk business or personal assets, an unsecured loan might be the better fit.
How to Speed Up Your Application
To improve your chances and speed things up, have this info ready:
- Last 3–6 months of business bank statements
- Annual accounts or management figures
- Clear reason for borrowing (equipment, cash flow, stock)
- Company registration & contact info
Why Use a Broker Like Essex Capital Finance?
Trying to find the right lender yourself can be time-consuming and frustrating. At Essex Capital Finance, we:
- Work with over 100 UK lenders
- Offer same-day approvals in many cases
- Understand what lenders are really looking for
- Don’t charge you for applying
- Handle everything for you
Final Tips Before You Apply
- Only borrow what you can comfortably repay
- Make sure you understand the terms (interest, repayment, early exit fees)
- Ask about flexibility such as payment holidays or overpayments
✅ Check Your Eligibility in 60 Seconds
Not sure where to start? Let us do the hard work for you.
We’ll match your business with suitable lenders fast, simple and with no obligation.
