Unsecured Business Loans
Unsecured business loans offer greater flexibility for small and growing businesses that want to access finance without offering an asset, such as property or collateral, as security for the loan.
An unsecured business loan is a type of finance that does not require the borrower to provide security. Because the loan is ‘unsecured’, businesses aren’t at risk of losing valuable business equipment, property or land when they choose this funding route.
Unsecured business loans offer a straightforward funding solution for UK businesses. You could borrow up to £500,000 without having to secure the loan against important company assets.
Did you know: Unlike a secured business loan, which requires you to offer tangible assets as security against the loan, unsecured business loans can be accessed quickly and repaid over a short or medium term.
A business loan without security provides a flexible source of funding for businesses that lack assets or do not want to secure them against a loan. You can access finance often within a couple of hours – and simply pay it back within an agreed timeframe.
What is an unsecured business loan?
We offer a range of unsecured business loan options designed to support businesses of all sizes. Whether you're launching a startup or looking to grow your existing business, we have flexible finance solutions to suit your needs:
Our unsecured loan options provide fast and flexible funding without the need for collateral, making it easier for businesses to access the capital they need.
To compare what loans or facilities we have available for your business, please click get started and tell us more about you and your business.
The duration of an asset finance agreement is flexible, depending on factors such as the asset’s lifespan, the business’s repayment preferences, and the lender’s terms.
This flexibility ensures businesses can choose a repayment period that aligns with their financial strategy and operational needs.
Unsecured business loans provide businesses with upfront capital without the need for collateral. Unlike secured loans, these do not require assets such as property or equipment to be used as security.
With an unsecured business loan, you receive a lump sum from the lender and repay it through fixed monthly instalments at a pre-agreed interest rate. The repayment period can vary depending on the lender and the amount borrowed. Since there is no security involved, interest rates tend to be higher than those of secured loans.
There are various unsecured business loan options available in the UK, offering flexible terms to suit different business needs. These loans are ideal for businesses looking for quick access to funds without the risk of tying up valuable assets.
The key distinction between secured and unsecured business loans lies in collateral.
Secured vs. Unsecured Business Loans for Small Businesses
Smaller businesses often have fewer assets available, making unsecured loans a more common option. However, if a business owns assets such as property, it may still be eligible for a secured business loan.
Before choosing a secured loan, it’s important to assess your cash flow and understand the risks involved. If your business struggles with repayments, you could lose the asset used as collateral.
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