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Compare Small Business Loans

Loans for businesses of every size and industry, from top UK lenders including:

12 providers
    • Funding Options logo
      Broker

      Funding Options

      • Rated excellent on Trustpilot, Funding Options have helped almost 13,000 businesses secure over £700m in funding
      • Access up to 120 lenders via a single application in minutes
      • Get instant funding decisions and, for some, pre-approved offers in seconds. Loans from £5k to £1M
      • Minimum annual turnover
        No minimum
      • Available amounts
        £1,000 - £15,000,000
      • UK Available terms
        No min/max terms
      See Deal
    • 7 more from Funding Options
    • Funding Circle logo

      Funding Circle

      • Short & long term business loans from £10,000 to £500,000 at fixed rates
      • Apply online in minutes, get a decision in as little as 1 hour and funds typically within 48 hours
      • UK-based support team - rated 'Excellent' on TrustPilot
      • Minimum annual turnover
        £25,000
      • Available amounts
        £10,000 - £500,000
      • UK Available terms
        6 months - 6 years
      See Deal
    • 2 more from Funding Circle
    • iwoca logo

      iwoca

      • Flexible finance for small businesses from £1,000 to £500,000
      • No long term commitments and flexible repayments to fit your business
      • Apply online in minutes for a quick decision (some may take up to 24 hours)
      • Minimum annual turnover
        £10,000
      • Available amounts
        £1,000 - £500,000
      • UK Available terms
        0 months - 2 years
      See Deal
    • 2 more from iwoca
  • Portman Asset Finance logo
    Broker

    Portman Finance Group

    • Loans for any business purpose, from cashflow to new equipment, vehicles or expansion
    • Term business loans, recovery loans, short-term and flexible funding, asset finance, vehicle finance
    • Dedicated account managers to guide you, understand your business and find solutions tailored to your needs
    • Minimum annual turnover
      £100,000
    • Available amounts
      £10,000 - £2,000,000
    • UK Available terms
      3 months - 6 years
    See Deal
  • Tide logo
    Broker

    Tide Business Loan

    • This product is regulated only if the business is a sole trader or partnership, and has requested to borrow less than £25,000
    • Business loans can be used by businesses to manage their cash flow, expand or purchase new assets
    • There is often no requirement for any assets to be used as security.
    • Minimum annual turnover
      £60,000
    • Available amounts
      £1,000 - £500,000
    • UK Available terms
      6 months - 6 years
    See Deal
    • Barclays logo

      Barclays

      • Flexible borrowing for your business - unsecured (up to £100,000) and secured loans available
      • Fixed interest rates available on all loans, plus variable interest rates for loans over £25,000
      • Subject to application, financial circumstances and borrowing history. Eligibility criteria applies
      • Minimum annual turnover
        No minimum
      • Available amounts
        £1,000 - £100,000
      • UK Available terms
        12 months - 25 years
      See Deal
    • 2 more from Barclays
  • YouLend logo

    YouLend Cash Advance

    Credit/debit card sales required
    • Optimise your cash flow and make repayments in line with your sales
    • No interest rate is charged, just a one-time fixed fee
    • Minimum annual turnover
      £36,000
    • Available amounts
      £3,000 - £1,000,000
    • UK Available terms
      1 - 18 months
    See Deal
  • 365 Business Finance logo

    365 Business Finance Merchant Cash Advance

    Credit/debit card sales required
    • Pay back via a small % of future card sales
    • No security or business plans required
    • One all-inclusive cost. No admin fees, APRs or extras
    • Minimum annual turnover
      £120,000
    • Available amounts
      £10,000 - £400,000
    • UK Available terms
      4 - 18 months
    See Deal
    • Swoop Funding logo
      Broker

      Swoop Funding

      • Simple, secure and speedy search of 1,000 funding providers without affecting your credit rating
      • Free access to every type of finance including the Recovery Loan Scheme
      • Online management allows you to find funding opportunities and track applications
      • Minimum annual turnover
        £40,000
      • Available amounts
        £5,000 - £50,000,000
      • UK Available terms
        3 months - 10 years
      See Deal
    • 6 more from Swoop Funding
    • Funding Xchange logo
      Broker

      Funding Xchange

      • Funding Xchange can compare multiple lenders from one simple funding request
      • Get instant and personalised loan offers in just 3 minutes
      • Easily compare terms available and the search won’t affect your credit rating
      • Minimum annual turnover
        £10,000
      • Available amounts
        £1,000 - £1,000,000
      • UK Available terms
        1 month - 6 years
      See Deal
    • 5 more from Funding Xchange
    • MyCashline logo

      MyCashline

      • Unsecured loans from £5,000 to £100,000 with no early repayment fees
      • Apply in minutes and you could receive the loan for your business on the same day
      • mycashline helps small businesses grow by giving them access to flexible small business
      • Minimum annual turnover
        £120,000
      • Available amounts
        £5,000 - £100,000
      • UK Available terms
        1 month - 2 years
      See Deal
    • 2 more from MyCashline
    • Capify logo

      Capify

      • All credit profiles considered. Capify may be able to help when other lenders may not
      • Loans available for any business purpose
      • Funding in as little as 24 hours. No lengthy paperwork or business plans to submit
      • Minimum annual turnover
        No minimum
      • Available amounts
        £5,000 - £500,000
      • UK Available terms
        3 - 12 months
      See Deal
    • 3 more from Capify

Our comparison service features a selection of providers from whom we receive commission. This table is initially ordered according to our commercial arrangements. Use the sorting options at the top of the comparison table to order by other criteria.

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What is a business loan?

A business loan is a form of finance that can be used to help support and expand your organisation.

As with personal loans, you borrow a sum of money, and pay it back, with interest.

One of the most important differences between personal loans and business loans is that with a personal loan, you will be personally liable for repaying the amount you have borrowed.

With a business loan, as long as the appropriate company structure is in place, that responsibility falls to the business instead. This will not be the case, however, if you are a sole trader, or you have secured your business loan with a personal guarantee.

You can also typically borrow more through a business loan, while the interest payments on your business loan may be tax deductible unlike payments on a personal loan.

Types of business loan

Secured business loans

Secured business loans require that you put down an asset such as property as security. Secured loans often come with lower interest rates than unsecured loans as they represent less risk for the lender. They may also give you access to a larger loan amount over a longer term. However, secured loans come with the added risk that you could lose your assets if you miss the payments.

Compare secured business loans

Unsecured business loans

Unsecured business loans are a type of finance that does not require security. These types of loans tend to have higher interest rates because there is a greater risk of the lender losing money if you can't pay off what you owe. Unsecured business loans also require a good financial history and credit rating as evidence that the business will be able to repay the loan.

Compare unsecured business loans

Government loans

There may be government-backed business loans you can access. Examples include the Recovery Loan Scheme, introduced to help with the financial stresses caused by the Covid-19 pandemic, which has now been extended. What schemes are available can vary depending on government policy and changing economic circumstances across the country. So it can be useful to regularly check the Department for Business, Energy & Industrial Strategy's search tool for guidance on the business loan schemes available in your region.

Start up business loans

The Start Up Loan Scheme is a government-backed fund that currently offers personal loans of up to £25,000 to UK businesses owners that have been fully trading for less than 36 months or those looking to start a business. You can apply for free, and there are no early repayment charges. If your application is successful, you'll also get up to 12 months of free mentoring. Government Start Up Loans have a fixed annual interest rate of 6% and must be repaid over a period of one to five years.

Compare start up business loans

Small business loans

Small business loans are for start ups and small businesses to access funding. They can be used for a variety of purposes from hiring new staff to managing cash flow. As with all loans, small business loans are repaid over an agreed time period with interest. Large business loans tend to be cheaper than small business loans because there is less perceived risk with lending to a bigger company.

Compare small business loans

Small Business Loans FAQs

I have a small business, can I get a loan?

Yes, there are several types of small business loans available to business owners. They will, however, offer different rates, loan amounts and terms depending on the type of loan you choose as well as your business’s size, financial history and the provider. It’s important, therefore, to compare small business loans carefully to ensure you find one that’s just right for you.

Question heading?

What types of small business loans are there?

  • Bank loans: Some high street banks and challenger banks (the banks that have emerged since the financial crisis that may operate with fewer branches than traditional banks) will offer loans to small businesses. Banks will want to check your business credit report and your personal credit history before considering you for loan, so take this into account. Banks are often cautious about lending to small businesses, so it has become more difficult to secure lending from a bank – especially if you have a very small business without a significant trading history.
  • Peer-to-peer lending: This has become a very popular source of funding for small businesses. Peer to peer lending involves a larger number of individual investors lending small amounts that total the amount the business owner needs as a loan. The loans are usually arranged and handled by online platforms. Interest rates can be reasonable and terms are often flexible.
  • Invoice financing: For a business loan that can help to stabilise cashflow, some small businesses opt for invoice financing. This involves borrowing against the value of unpaid invoices. This type of business loan can sometimes be available to businesses with poor credit history.
  • Cash advance: Small businesses that take payments through a card machine could be eligible for a merchant cash advance small business loan. This involves borrowing cash on a short-term basis before automatically repaying it as a percentage of payments taken through the card machine.

Above are just some of the small business loan options available and you need to be aware that each loan provider will have a set of criteria against which they will make lending decisions. Before applying for a loan, it’s wise to ensure you meet the lending criteria.

What else do I need to consider before taking out a small business loan?

The type of small business loan you want is one decision to make, but you’ll also need to consider how much you need to borrow, over what period you need the money and how much you can afford to repay each month. It’s also important to think about the way you would like to repay the money. Once you have established all of these variables, you can start comparing small business loans to find the cheapest deal.

How much do small business loans cost?

This varies enormously between the types of loan, loan amount, interest rate and provider. You’ll need to take all of these factors into account when comparing small business loans. Check whether your loan carries extra charges such as arrangement fees and early repayment fees as these can sometimes make a loan more expensive, even if the interest rate seems reasonable.

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