Are you looking for a financial solution to give your business a cash injection but lack the security or assets to use many forms of borrowing?
Then an unsecured loan could be the solution for you. There are many financial services providers that offer unsecured loans that might suit your circumstances. We have explored what unsecured loans are available on the market.
The table below gives a quick comparison of the top UK unsecured business loan providers.
| Company | Minimum loan amount | Maximum loan amount |
|---|---|---|
| iwoca | £1,000 | £200,000 |
| Barclays | £1,000 | £100,000 |
| Natwest | £1,000 | £50,000 |
| Lloyds | £1,000 | £50,000 |
| Santander | £2,000 | £25,000 |
| TSB | £1,000 | £100,000 |
| Bank of Ireland | € 1,000 | € 120,000 |
| Bank of Scotland | £1,000 | Not stated |
| Yorkshire Bank | £10,000 | £1.2 million |
| Clydesdale Bank | £25,001 | £1.2 million |
| Funding Circle | £10,000 | £500,000 |
| Royal Bank of Scotland | £1,000 | £50,000 |
| Cooperative Bank | £25,020 | £250,000 |
| Fair Finance | £25,000 | £75,000 |
| Clearfunder | £10,000 | £100,000 |
| Cubefunder | £5,000 | £100,000 |
| Fleximize | £5,000 | Not stated |
| Nucleus Commercial Finance | £25,000 | £150,000 |
| rebuildingsociety com | £25,000 | £300,000 |
| Spotcap | Not stated | £250,000 |
| Startup Loans | Not stated | £25,000 |
| Ultimate Finance | £5,000 | £100,000 |
* The facts and figures included here come from each company’s website and were accurate at the time of writing but may have since changed. Also, please keep in mind these may not be apples to apples comparisons as each provider offers different solutions. This guide should be used as a starting off point for more research on your part.
Below we profile each of the companies’ services and features in a bit more detail.
Note companies are ranked in no particular order and this no way indicates one solution is better than another.
Topics
Featured: iwoca*
Some of the features and benefits of iwoca’s unsecured business loan.
- Unsecured loans from £1,000 to £200,000
- Personal guarantees are required
- Funding can be received within hours
- They base their decisions on your business performance
- Clear and transparent pricing
- Simple application process
- Flexible offering
- Able to repay the loan as soon as you want to
- Allow you to top up your loan when needed
- Interest is charged only for the days you have the money
iwoca offers flexible lending solutions to smaller businesses across Europe. They provide services to smaller businesses as they feel they don’t get the same access to financial support as larger businesses. They utilise technology to assess a business’ potential and risk and don’t rely on just credit scores.
Iwoca’s offers loans from £1,000 to £200,000 on an unsecured basis with repayment terms of up to 1 year. They make the process simple with a quick online application, fast decisions and release funds as quickly as a few hours. The loan is truly flexible as they allow customers to repay early with no penalty as well as allowing customers to increase their loan up to their credit limit at any point.
1. Barclays
Some of the features and benefits of Barclays’ unsecured business loan.
- Loans of £1,000-£100,000
- Fixed interest rates
- Repayment terms of 1 to 10 years
- Flexible borrowing solutions
- Online loan calculator to see what the rates might be
- Funding can be received within 48 hours once the loan is approved
- Existing customers will be given a provisional borrowing limit
- If you have a borrowing limit and you want to borrow under £25,000 you could receive the money within 24 hours
- They will help you fund business opportunities as they arise
- Repayment holidays available
Barclays is a UK financial services provider that offers a wide range of business financial products which include bank accounts, overdrafts, mortgages, cash flow finance and asset finance which are available to businesses who are new or existing customers.
Barclays offer unsecured business loans to all businesses depending on their circumstances. They offer unsecured loans from £1,000 to £100,000 over repayment periods from 1 year to 10 years. The loan offers flexible terms which allow you to select the amount and repayment length on fixed interest rate basis. Funding can be received in as little as 24 hours depending on your loan terms and you may be able to take a repayment holiday.
2. NatWest
Some of the features and benefits of NatWest’s unsecured business loan.
- Loans from £1,000 to £50,000
- Repayment terms up to 10 years
- Fixed interest rates
- A guarantee is needed whether that is a personal, director or members guarantee
- No arrangement fees
- No early repayment charges
- Available to small businesses through to commercial businesses
- Existing customers can check their borrow amount or get a personalised quote online, or contact their Relationship Manager
- Online quote tool for loans below £25,000
- Suitable for a range of businesses
NatWest is part of the RBS Group of businesses that are UK based banking and financial services group. NatWest provides financial services to businesses in England and Wales which include a range of lending products such as credit cards, overdrafts, loans, mortgages, invoice finance and asset finance.
NatWest offers an unsecured loan which requires either a personal, direct or member guarantee. The small business loan offers amounts from £1,000 to £50,000 which can be repaid over 1 to 10 years. The loan is a fixed rate loan that has no arrangement fees or early repayment fees.
3. Lloyds
Some of the features and benefits of Lloyd’s unsecured business loan.
- Unsecured loans available from £1,000 to £50,000
- Choice of fixed and variable rates
- Repayment terms from 1 to 10 years
- Existing customers apply online for loans up to £10,000
- No early repayment fees
- No arrangement fees charged on loans up to £25,000
- Flexible finance option which can be tailored to your needs
- The business management team are available for support
- They approve 9 out of 10 loans
- They offer other complementary services
Lloyds Bank is a well-known banking and financial services provider that offers a range of products to businesses which include lending products for small to large businesses as well as new business start-ups. These products include overdrafts, loans, invoice finance and asset-based finance.
Lloyds Bank offers two loans that can be secured or unsecured loans which are called a Base Rate Loan and Fixed Rate Loan. Both loans offer loans from £1,000 to £50,000 on repayment terms from 1 to 10 years. The Base Rate Loan is a variable rate loan that tracks the Bank of England base rate. The Fixed Rate Loan’s interest rate is a fixed.
4. Santander
Some of the features and benefits of Santander’s unsecured business loan.
- Unsecured loans available from £2,000 to £25,000
- Repayment terms from 1 to 5 years
- Fixed interest rates
- Tailored solution for small business
- No arrangement fees
- Only available to existing customers
- Early repayment fees may apply
- Indicative cost can be viewed using their loan calculator
- Flexible loans available
- They offer a range of other finance solutions
Santander is an internationally renown banking services provider who offers a wide range of business financial services which include lending products such as overdrafts, loans, invoice finance and asset finance.
Santander offers several loan solutions which include the Small Business Loan that requires no security. The Small Business Loan is only available to existing customers and it offers loans from £2,000 to £25,000 with repayment terms over 1 to 5 years. It is a fixed rate loan that is tailored to help small businesses. This loan has no arrangement fee but early repayment charges may apply.
5. TSB
Some of the features and benefits of TSB’s unsecured business loan.
- Unsecured loans available from £1,000 up to £100,000
- Repayment terms between 1 and 25 years
- Fixed and variable interest rates available
- Choice of 2 loans
- Loan products available as secured and unsecured loans
- Repayment holidays may be available
- Arrangement fees may apply
- Flexible offering with a choice of terms available to suit your needs
- The interest rate may be reduced by 1% as part of the Funding for Lending Scheme
- A range of other financial services are available
TSB is a UK based financial services provider that is part of a larger banking group called the Lloyds Banking Group. TSB offers a range of business financial products which including lending products such as loans, overdrafts and mortgages.
TSB offer 2 business loan products on an unsecured basis. The Base Rate Loan is a variable rate loan that is available for loans from £1,000 which are repayable over 1 to 25 years. The Fixed Rate Loan offers a fixed interest rate of loans from £1,000 to £100,000 that are repayable over 1 to 10 years. These loans have an arrangement of up to 1.5% and repayment holidays may be available.
6. Bank of Ireland
Some of the features and benefits of Bank of Ireland’s unsecured business loan.
- Unsecured loans from €1,000 to €120,000
- Competitive interest rates
- Repayments at fixed monthly rates
- Simple online application
- Generally receive an answer within 24 hours
- Flexible repayment terms
- Loans are tailored to suit your needs
- No arrangement fees
- Designed for small to medium enterprises
Bank of Ireland is part of the Bank of Ireland Group who has a diverse range of banking and financial services businesses that dates back to 1783. Bank of Ireland provides business banking services to businesses in Ireland only.
Bank of Ireland has one loan offering that is pitched at small to medium-sized businesses and offers loans from €1,000 to €120,000 with no arrangement fees. This loan is a flexible loan that is tailored to their customers’ needs and their financial position. They offer a competitive loan product that can be applied for online and offers a fast decision within 24 hours.
7. Bank of Scotland
Some of the features and benefits of Bank of Scotland’s unsecured business loan.
- Unsecured loans available from £1,000
- No upper limit for unsecured or secured loans
- Repayment period of up to 25 years
- No arrangement fees for loans under £25,000
- No early repayment costs
- Arrangement fees may apply
- You can fix the loan for periods of one year to the full loan term
- Online quote available
- Offer a range of other financial services
- Experienced provider
Bank of Scotland is one of the businesses that form the Lloyds Banking Group. Bank of Scotland offers a wide range of business banking solutions to businesses of all sizes and they tailor they products by grouping them by business turnover.
Bank of Scotland offers three loans that are available as secured or unsecured loans. The Base Rate Loan starts at £1,000 and has no limit and its repayment terms are from one to 25 years. The Fixed Rate Loan is made up of two loans, the first is for £1,000 to £50,000 and the second for loans over £50,000. The first loan is available for up to 10 and the second loan for up to 25 years.
8. Yorkshire Bank
Some of the features and benefits of Yorkshire Bank’s unsecured business loan.
- Unsecured loans available between £10,000 to £1.2 million
- Offer Online Business Loan and Enterprise Finance Guarantee for businesses who can’t offer security
- Repayment terms from 6 months to 10 years
- Choice of fixed and variable rate loans available
- Online loan offers quick access to cash
- Their online application takes as little as 10 minutes to complete
- Receive an automated decision on completion of the online application
- You don’t need to have a bank account with them
- Experienced lending provider
- Offer a range of other products
Yorkshire Bank is a part of the Clydesdale Bank group. Yorkshire Bank was set up in 1859 and it has a long history of supporting businesses through its business banking and financial products such as loans, overdrafts and credit cards.
Yorkshire Bank offers two unsecured loans which are the Online Business Loan and the Enterprise Finance Guarantee. The Online Business Loan is a fast-online loan that offers fixed interest rates for loans of £10,000 to £150,000 and gives an instant decision. The other loan is the Enterprise Finance Guarantee loan which offers loans with government-backed support to offer security when businesses don’t have the security they need. This loan offers borrowing from £25,001 to £1.2 million for periods up to 10 years.
9. Clydesdale Bank
Some of the features and benefits of Clydesdale Bank’s unsecured business loan.
- Unsecured loans available between £10,000 to £1.2 million
- Repayment terms from 1 to 10 years
- Enterprise Finance Guarantee for businesses who can’t offer security
- Ability to raise funds when your business lacks security
- A business loan backed by the government who guarantee 75% of the loan
- You will be responsible for 100% of the loan
- Offer that tailors the loan to your needs
- Access support from their relationship managers
- Can be used to restructure existing loans
- Experienced lending provider
Clydesdale Bank is part of a banking group in the UK which includes Yorkshire Bank. Clydesdale Bank offers business banking solutions to businesses in Scotland only. Their lending service offers loans, overdrafts and credit cards.
Clydesdale Bank doesn’t offer unsecured business loans except for the Enterprise Finance Guarantee loan which is a loan offered to businesses that lack the security to access standard loan products. The Department of Business, Energy and Industrial Strategy guarantee 75% of the loan but you will remain 100% responsible for the loan. The loan is available to businesses with a turnover of up to £41 million and you can borrow £25,001 to £1.2 million over 1-10 years.
10. Funding Circle
Some of the features and benefits of Funding Circle’s unsecured business loan.
- Unsecured loans from £10,000 to £500,000
- Loan terms of six months to five years
- Fixed interest rate loans
- Rates from 1.9% per year
- Simple application
- Quick decisions which can be received as soon as five hours
- Personalised quote
- Funding received usually within 24 hours
- No early repayment fees
- Available to businesses of all sizes
Funding Circle is a fairly newly established financial services business who brings both investors and borrowers together to create a funding mechanism which allows them to work together. The services they offer are business loans and investment opportunities for investors.
Funding circle offer unsecured loans from £10,000 to £500,000 to business of all sizes on fixed interest rates. They offer repayment terms from six months to five years. Their application is simple and decisions can be delivered fast and funding received as quickly as within 24 hours. They also do not charge early repayment fees when you repay in full and they won’t charge interest on the remaining loan length.
11. Ultimate Finance
Some of the features and benefits of Ultimate Finance’s unsecured business loan.
- Unsecured loans starting from £5,000 to £100,000
- Loans require a personal guarantee
- Loan repayment periods up to 12 months
- Interest rates start from5% per month
- Quick and flexible loan
- Decisions are usually reached within one working day
- Receive the funding within a working day of approval
- Does not charge setup fees
- Does not charge early repayment fees
- To be eligible your business must be a limited company or LLP that has been trading for at least two years
- Online eligibility checker
Ultimate Finance is an established financial services provider who has been delivering its services for 17 years to businesses of all sizes and types. Their services include a variety of lending solutions such as loans, industry financing, supply chain solutions and hire purchase agreements.
Ultimate Finance offers only unsecured loans that are backed by personal guarantees for loans from £5,000 to £100,000 that can be repaid in periods up to 12 months. Their loans are speedy with a simple online application which will give you a loan decision within one working day and after the decision, the money will be transferred within a further working day.
12. Royal Bank of Scotland
Some of the features and benefits of Royal Bank of Scotland’s unsecured business loan.
- Unsecured small business loans from £1,000 to £50,000
- Repayment terms from 1 to 10 years
- Fixed interest rate
- Apply online in 10 minutes if you are an existing customer
- Or they can apply with their Relationship Manager
- Existing customers will receive personalised rates
- No arrangement fees
- No charges for early repayment
- Loans designed by the turnover of the business
- Experienced provider
Royal Bank of Scotland is a renown Scottish bank that has been trading since 1727 when it began in Edinburgh. They are one of the biggest banks in Scotland but also operate across Great Britain and they form part of the RBS Group.
Royal Bank of Scotland has a variety of borrowing options that are tailored to the business size with distinct offerings for business in three financial turnover categories. Their small business loan caters for businesses with a flexible offer that can be unsecured. Loans are offered from £1,000 to £50,000 which can be repaid over one to ten years.
Royal Bank of Scotland website
13. Cooperative Bank
Some of the features and benefits of Cooperative Bank’s unsecured business loan.
- Loans from £25,020 to £250,000
- Loans are considered on an unsecured basis
- Repayable over of 1 to 15 years
- Variable interest rate
- Interest is applied on a monthly
- Flexible repayment terms
- Arrangements fees are applied at 1%
- Decisions are normally given with 7 working days
- Additional fees may apply depending on your circumstances
- An ethical lender
Cooperative Bank is an ethical banking and financial services provider who deliver their services in a fair and equitable way and whose lending policies are customer-led and their ethics influence who they will lend to. Their lending services include overdrafts, loans and credit cards.
Cooperative Bank has a variable rate loan that can be available as an unsecured loan in some circumstances but an application is needed to find out if you can be offered the loan as unsecured. The variable rate loan offers loans of £25,020 to £250,000 that are repayable over 1 to 15 years and interest is applied on a monthly basis.
14. Fair Finance
Some of the features and benefits of Fair Finance’s unsecured business loan.
- Unsecured loans between £25,000 to £75,000
- Personal guarantees may be required on some loans
- Repayment terms from 6 months to 3 years
- Online eligibility checker
- Quick online application
- Interest rates are tailored to business’ circumstances and needs
- Loan decisions are not solely based on credit scores but by real people
- No early repayment fees
- A business that reinvests its profits
- Access to an experienced Relationship Manager
Fair Finance was established in 2005 and is a financial services provider that offers a range of finance products. They offer a fair and transparent service that was designed to help businesses to access affordable finance. They are an ethical business that reinvests its profits.
Fair Finance offers a single loan product that was designed for small businesses and they have a transparent offer that uses online tools to assess your eligibility. They provide fast loans for £25,000 to £75,000 that are repayable over 6 months to 3 years. Some businesses are eligible for unsecured loans and some may require personal guarantees. They may also offer business loans for bad credit depending on circumstances.
15. Clearfunder
Some of the features and benefits of Clearfunder’s unsecured business loan.
- Unsecured loans from £10,000 to £100,000
- Offers competitive rates
- Loans available to a wide variety of businesses and industries
- Flexible loan terms
- Provide fast loans
- Simple terms to understand
- Affordable payments
- Bespoke offering designed to your needs
- Dedicated support is available
- They consider all circumstances
Clearfunder is a small loan business that provides loans to other small to medium sized businesses which they feel that they are able to understand and emphasise with better because they are one themselves. They offer an alternative to traditional banking lending solutions.
Clearfunder only offers loans which they provide to small to medium-sized companies which they consider all circumstances and most industries. Loans range from £10,000 to £100,000 on tailored loan terms which they deliver speedily and affordable. They have created their loans on easy to understand terms and they provide support to help businesses get the right loan for them.
16. Cubefunder
Some of the features and benefits of Cubefunder’s unsecured business loan.
- Unsecured loans starting from £5,000 to £100,000
- Fixed interest rates
- They tailored their loans to the customer
- UK based team of decision makers support applicants
- Don’t charge default fees for late payments
- No early repayment charges
- Loans can be extended with no additional interest charges
- Use a simple online application
- Support small businesses
- Lend to most businesses
Cubefunder is a small financial services provider who only offers loans to small to medium-sized businesses. They established their business to cater for small to medium sized as they found a gap in the market to support smaller businesses with financial support.
Cubefunder have built their loan product in a flexible manner so that they can tailor it to their customer’s needs. They offer loans starting from £5,000 to £100,000 that can be extended at any point with prearrangement. They provide a fair loan service that does not charge early repayment fees or automatically charge late payment fees.
17. Fleximize
Some of the features and benefits of Fleximize’s unsecured business loan.
- Unsecured loans designed for SMEs range from £5,000 to £500,000
- Established businesses can borrow over £500,000
- Repayment terms available up to 48 months
- Loans are tailored to their customers’ needs
- Loans are flexible
- Funding can be released as quickly as 48 hours
- No penalty for early repayment
- They offer top-ups and repayment holidays
- Access to a dedicated relationship manager
- Decisions based on getting to know your business and not just credit scores
Fleximize offers a different type of loan that does not require equity but offers finance based on your revenue at a fixed cost through a percentage of your future revenue until the loan is repaid. The loan amounts are offered as either above or below £500,000 and over £500,000 is only available to established businesses.
Their loans are available as unsecured loans which are available for up to 48 months. Their loans offer flexible terms with the ability to repay the loan early without penalties, top up the loan amount when needed and be able to repayment holidays.
18. Nucleus Commercial Finance
Some of the features and benefits of Nucleus Commercial Finance’s unsecured business loan.
- Unsecured loans from £25,000 to £150,000
- Repayment terms from three months to three years
- Cash Flow Finance loan that is hassle free
- Funding can be received within 24 hours
- Available for a variety of uses
- Online application
- Telephone consultation call
- Flexible payments
- Available to businesses that have been trading for over 3 years
- They offer a range of finance solutions
Nucleus Commercial Finance offers a wide range of business finance products which include property finance, invoice finance, asset-based lending, and specialist finance products. They offer several loans which are Cash Flow Finance, Property Loan and Business Cash Advance.
Their unsecured loan product is called Cash Flow Finance which offers loans from £25,000 to £150,000 that can be repaid over periods from three months to three years. The loan has an online application that is followed up by a telephone consultation and you will need to provide documents to support your application. Once these have been completed you can receive the funding the same day in some cases.
Nucleus Commercial Finance website
19. Rebuildingsociety.com
Some of the features and benefits of rebuildingsociety.com’s unsecured business loan.
- Loans available from £25,000 to £300,000
- Repayment terms of 6 to 60 months
- Unsecured loans are available if a personal guarantee is given
- Straightforward eligibility criteria
- No sector restrictions
- Fast business loans
- Short online application
- Funding received normally within 1-3 weeks
- No early repayment charges
- Based on a community of lenders which you can engage with to reduce your interest rate
- Refinance your existing debts
Rebuildingsociety.com is a peer-to-peer based financial platform that allows lenders and borrowers to communicate better about the loan proposition. The platform enables lenders to invest and get to know the business/es that they are lending to. It allows borrowers to publicise and engage with lenders about their business and why they would want to invest with them as part of the loan.
Unsecured loans are available from £25,000 to £300,000 over repayment terms of 6 to 60 months and they will require you to provide a personal guarantee. Your loan will be posted in the community where lenders can ask questions before offering a loan rate. Borrowers can choose between the loans offered to them.
20. Spotcap
Some of the features and benefits of Spotcap’s unsecured business loan.
- Unsecured loans up to £250,000
- Loans are repayable over one month to two years
- Decisions are normally made in one working day
- Dedicated support team
- Simple loan process
- Online application
- No early repayment fees
- Available to a range of UK businesses
- Borrowers must have been trading for at least three years and have a minimum turnover of £500,000
- Has excellent ratings on TrustPilot
Spotcap is a business financial services provider who offers services in the UK, Europe and Australia. They offer tailored loan solutions to a wide range of businesses. They use a simple online application form to assess your business and they use technology to make the process quicker and they use recent business performance rather than using credit scores, business plans and forecasts to base a decision on.
Spotcap’s loans offer up to £250,000 on repayment terms of one month to two years. To be eligible for the loan your business needs to be in the UK and have been running for over three years, the turnover needs to be at least £500,000 with a proven profitable background.
21. Start Up Loans
Some of the features and benefits of Start Up Loans’ unsecured business loan.
- Unsecured loans for up to £25,000
- Loan repayment periods from one to five years
- The interest rate is fixed at 6% per annum
- Government-backed lending scheme
- Charges no setup fees
- Charges no early repayment fees
- Support is available to complete your application
- Applicants are offered 12 months free mentoring
- They also have a useful resource of guides and templates
- Receive exclusive discounts on business products
Start Up Loans is a loan business that was set up in 2012 to help businesses that are in their infancy and to provide finance at affordable rates and support them through growth. They are a subsidiary of the British Business Bank and they deliver the government’s Start Up Loans programme.
Start Up Loans offer low-interest loans that are provided with dedicated business support to not only fund businesses but to also aid their growth through a dedicated 12-month mentoring programme and resources. Loans are simple and the same regardless of your status and the interest rate is fixed at 6% for loans up to £25,000 that can be repaid over one to five years.
What Is An Unsecured Business Loan?
An unsecured loan helps the borrower carry less risk because they’re not going to lose out on any of their assets if they can’t make the loan repayments.
How Can I Get Unsecured Funding?
Unsecured business loans work for any company, whether they’re a startup or an existing business looking for finance to expand. It can help boost cash flow issues and finance in general.
Getting unsecured funding is a quicker process than most small business loans, and depending on the lender, it may be as quick as a day or two to get the funding. It’s worth noting that they may ask you for a personal guarantee that you will make repayments yourself if the business cannot.
Lenders will often look at your personal credit history and may request access to your finances to see evidence of your income.
How Much Can I Borrow?
Basically the only way to find out is to look at the criteria on the web pages of the lenders above to get a rough idea how much they might lend you and/or speak to a broker such as EJ Finance*, who may be able to advise you.
How To Get An Unsecured Business Loan?
The first alternative is to contact lenders individually and find out what their criteria are, how much they charge, how much you can borrow, etc.
Finally, you can use a business loan broker such as EJ Finance* who can advise on which lender is likely to approve you and even help with the application process such as making sure you have the required documents. Moreover, they may be able to help you find alternatives if they think your business is unlikely to get an unsecured loan.
Are There Any Alternatives To Unsecured Business Loans?
What Happens If You Default On An Unsecured Business Loan?
Basically, you should never take out a loan you can’t reasonably expect to pay back. However, the fact that the loan is unsecured means there is comparatively less recourse a lender can take compared to a secured and/or personally guaranteed loan.
Can I Get A Business Loan Secured Against My House?
Whilst this may be possible, it’s not always the best idea to combine any business venture with your personal assets if you can help it. It’s your livelihood at the end of the day, and if the loan can’t be repaid for any reason, you risk losing your home. That may be a risk worth taking for the business’ success for some, though.
What Are The Main Advantages Of An Unsecured Bank Loan For A Business?
They’re quicker to process – If you’re after money quickly, this type of loan is often a lot easier and faster to attain than secured business loans.
No assets required to risk – Whilst a secured loan can have its benefits, an unsecured option can be great for those not wanting to risk their other assets.
What Are The Disadvantages Of An Unsecured Loan?
Interest rates are higher – Due to no collateral being offered, an unsecured business loan will likely have higher interest rates.
Harder to qualify – With these types of loans, you may find it more difficult to qualify for the loan due to the criteria you need to hit. They may still require a personal guarantee from you to get the loan.
Lower borrowing amounts available – With no collateral attached to the loan, the lenders may only offer so much money to help minimise risk.
What Is Needed For An Unsecured Loan?
- Proof of identity
- Proof of employment status
- Proof of income
- Proof of address
As a business owner, securing finance is important, but it’s important to acknowledge that a loan will often come with fixed monthly payments. You need to ensure that you can meet the repayments by choosing unsecured business finance or secured finance alternatives.
There are plenty of unsecured business loan options out there, so be sure to look at what’s available. For some, using company assets as security might not be possible; instead, unsecured lending may be more appropriate. It’s really up to you and your business needs when borrowing money.
* Please also note we have an affiliate relationship with iwoca. This means they pay us a commission if you apply for and receive funding for a loan via a link from our website. This comes at no cost to you and helps keep this website free. However, we feel it’s important you know. We may also be paid a fee if you visit EJ Finance Loans using the form at the top of this page and use them to take out a loan.