Many businesses are reliant on business loans when they have an idea or concept that will help improve and develop their business. If you’re looking for a business loan, then look no further, we can help you. In most cases, business loans are sought so that the business can pay for equipment, vehicles, machinery, materials, stock and a whole host of other items that they simply wouldn’t otherwise be able to do. Whatever you need the money for, we provide quick, easy access to business finance and funding.
‘Business loans’ is a fairly broad term and covers a range of ways your business can secure the funding it needs, we will help your business get the money you need at the most affordable business rate we can. We exist to help UK businesses and the UK economy thrive. The country wins when you do.
How does this type of funding work?
All loans are subject to status. If you have a good track-record of paying loans back, then you will benefit from being able to secure loans with a lower interest rate. If on the other hand, you have a poor credit history this doesn’t mean you can’t get a loan, it just means that your available interest rates might be slightly higher. Having said that, when a business secures a new business loan they can improve their credit rating by sticking to the repayments and making the repayments on time. Responsible lenders can quickly improve their credit score and this makes it more likely that you will be able to get loans at even better rates in the future. This means that you can borrow more money for less.
The term ‘secured?’
A secured loan is a loan that is guaranteed by your company or personal assets that are provided as insurance should you be unable to repay a loan. If you are unable to pay, the assets you offered will be collected instead of physical money.
What is an unsecured loan?
An unsecured loan is a loan that is given on the goodwill that the loan will be repaid. This means the loan therefore doesn’t require you to offer any of your company assets as insurance against a potential default.
Commercial loan rates
Business loan interest rates can be affected by many things. The rate of inflation always directly effects the cost of borrowing money as does your previous credit history, the amount you need to borrow, and the length of time the loan is in place for.