Often, the first question businesses needing additional capital ask us is "how much can I borrow?" We work with a range of lenders offering business loans from £1,000 to £20,000,000. Whether you need to borrow a small amount over a short-term period or longer, we can help.
You might ask yourself, "are business loans short term?" The simple answer is that they can be. The business bank loans we compare in this guide feature a variety of repayment terms. Some lenders even offer flexible repayment options, allowing you to repay the loan early without additional fees. Others feature fixed terms of months and years to suit your needs, allowing you to choose the term that best suits your business.
In this guide, we cover how much your business can borrow from a selection of lenders we work with.
Loan amount: Up to £25,000 and over £25,000
Interest rates: from 11.7% and tailored
Fixed and variable rate offers
Flexible repayment options
Tailored interest rates available
One of the most widely known and established banks on this list, Lloyds Bank offers a choice of fixed and variable interest rate business loans, with rates depending on how much you borrow:
Small Business Loans up to £25,000
11.7% APR (Base Rate) Variable
12.7% APR Fixed Rate
Larger Business Loans above £25,000
Through their small business loans, Lloyds Bank offers the option of secured loans and unsecured loans, offering the option to receive funds within 48 hours of being accepted. With a simple approach to small business loans and the option to tailor large business commercial financing, Lloyds business loans can cover the needs of practically any business.
Loan amount: from £1,000 to £500,000
Interest rates: from 2% per month
No early repayment fees
Loan "top-up" option
Iwoca is a popular lender for many businesses thanks to their flexible loans, available from £1,000 to £500,000. Iwoca offers loans to a wide range of business types from sole traders to limited liability partnerships. While they offer repayment terms of up to 24 months, iwoca won't charge fees for early repayment. However, if you discover that you need to borrow more, iwoca offers a loan top-up function.
These features make iwoca one of the most flexible business loan providers. With competitive interest rates starting at 2% a month and flexible repayment terms, iwoca might be the ideal lender for your business.
Loan amount: £10,000 to £500,000
Interest rates: from 7.9% per year
Apply online in 10 minutes
Decision in as little as 1 hour
No fees to settle early
If your business is just starting out or doesn't meet the financial stability criteria of traditional lenders, Funding Circle may be the ideal option. As an alternative lender providing peer-to-peer business loans, Funding Circle offers loans from £10,000 to £500,000, with repayment terms of between 6 months and 6 years. Funding Circle's commitment to providing quick and simple loans means you could have the capital your business needs within just 5 hours.
Loan amount: from £2,000 to £25,000 and £25,000+
Interest rates: from 9.6% APR and tailored
Tailored loan amounts
Fixed interest rate available
Contactable online, by phone or in branch
Metro Bank is a high street bank known for taking a fresh and innovative approach to commercial financing. They offer two business bank loan products depending on how much you want to borrow:
Loan amounts of £2,000 to £25,000 at a fixed rate of 9.6% with repayment terms of 1 to 5 years
Loan amounts over £25,000 at a tailored interest rate with repayment terms of 1 to 5 years.
For loans over £25,000, the more you borrow, the lower the interest rate you'll be charged. This makes Metro Bank an ideal choice for businesses looking to borrow larger sums.
Loan amount: from £5,000 and £500,000
Interest rates: from 0.9% per month
Funding in as little as 24 hours
Repay early, repay less
First-class customer support
Fleximize specialises in providing secured and unsecured loans of up to £500,000 to limited companies, with the amount your business can borrow depending on your average monthly revenue. Fleximize will only lend businesses with a monthly turnover of at least £5,000 a maximum of two months of revenue. If you meet these criteria, you're in luck. Fleximize lives up to its name as one of the most flexible providers of short-term loans, allowing your business to choose from repayment terms of between 12 and 48 months.
With a quick turnaround on loan decisions of 24 hours and the option to top up loans or take repayment holidays, Fleximize is a great option for businesses looking for a flexible loan.
Want to learn more about how much your business could borrow, including how to get a business loan? Our comparison service is designed to help you compare the loans available to your business based on the information you provide us with. Once you've found the right loan for your business, just click to apply, and you'll navigate to a step-by-step application process.
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