Best Unsecured Business Loans in the UK
All lenders presented on our UK section are approved by the FCA to be such.
Loan Types: B2B Business LendingAvailability: UK and USASecurities: UnsecuredLoan amount: UK – £1,000 to £40,000; US – $2000 to $100,000Interest: US – 1 to 13.5% fees for the first two months, 1% thereafter; UK – 68% representative APR, 2%-11% fees for the first month, 4% thereafterOverall Rating: Mediocre 2.4 / 5.0 About Kabbage Kabbage has been expanding out of Atlanta, Georgia since 2009, lending money primarily to web merchants. They were an early American lender to take the loan application process
Loan Types: P2P Lending Availability: UK Securities: Unsecured Loan amount: £1,000 – £25,000 Interest: 7.2% to 16.7% Overall Rating: Experienced 4.1 / 5.0 About Zopa Founded way back in 2005, Zopa was ostensibly the UK’s first P2P lender. Today, the company is among the world’s largest. Based in London, Zopa is backed by Benchmark and Wellington Partners. It is that rarest of P2P lenders: a company available to people without lots of money, that doesn’t have sky-high rates and dubious
Loan Types: Small B2B Loans Availability: UK Securities: Unsecured Loan amount: £1,000 – £50,000 Interest: 4% – 14%, 1 month – 6 months Overall Rating: Quick! 3.9 / 5.0 About iWoca Originally geared toward small web merchants, iWoca has expanded its lending platform to meet the needs of nearly all UK businesses. Since its founding in 2012, iWoca has become established in the UK ecommerce market. iWoca balances convenience, security, and service, quickly gaining ground in a growing financial market. Sole
Loan Types: Merchant Cash Advance Availability: UK (Accepting Payments By Card) Securities: Against Invoices Loan amount: £2,500 – £300,000 Interest: Not Fixed, High Overall Rating: Helpful 3.7 / 5.0 About Liberis Liberis is a strong lender with a simple business model. They quickly approve and finance business operations for many reasons. Businesses pay them back by giving them a portion of daily credit card sales. On days where they make less, they contribute is less, until the balance is paid. Businesses
How do we rank
These are the three pillars of reviewing business lenders in the UK
We review companies based on the following criteria
The reason that small businesses apply for a loan with a non-bank lender is that they can receive a quick response time and be approved instantly.
Alternative financing, is to us, a completely different kind of beast than bank loans. We expect a much higher level of flexibility from an alternative lender in the UK than a bank. Unsecured business loans is a good example of that.
A big portion of the grading we do is a result of one attribute – industry authority. We look for big and established lenders who have proved over time that they can stand up to their promises and have kept their customers happy over time.
Our Website’s Categories
|BAD CREDIT LOAN|
|Rejected by banks? There is still hope. View our list of most flexible lenders –Bad Credit Loans|
|P2P LENDING FOR BUSINESSES|
|Peer to Peer Lenders can offer excellent terms for healthy businesses.- Peer to Peer Lenders|
|INVOICE & CASH ADVANCE|
|Traditional type of financing + Technology = The quickest and easiest way of securing funding –Business Cash Advance|
|FAQ: Understand how online lenders operate, and which type of businesses they apply to on the – Business Loan FAQ|
Small businesses in the UK are struggling to get financing and there are constant government attempt to boost financing options which are readily available for SME owners. Like everywhere in the world like in the USA or Australia, small businesses need not only access to funds as supplied by banks, they also often require quick and efficient funding. That is what we would like to refer to as “alternative funding” or “alternative financing”. The UK business loan companies appearing on our website are not only another source that can get you funds – they operate in a completely different way than banks!.
YES, the fundamental of lending and borrowing are always relative to the RISK of defaulting. It’s not like alternative lenders in the UK are looking to get their loan repayment defaulted. Not at all. With that being said, small business loans in the UK by business loan companies are far more agile, flexible, and immediate than a bank loan. Whereas most traditional lender will require securities and collateral in order to facilitate a loan, UK online business lenders as the ones we have reviewed and recommended don’t.
What separates the traditional lenders like banks than new “online” lenders in the UK is simply put, technology and innovation. While the same basic principles of risk apply, the efficiency is much higher with the “new wave lenders”. They can harness the power of technology to look into a merchant’s statistics through APIs, and they can harness the power of smart algorithm to assess whether a loan will be garnished successfully by the borrower.
ARE UK ONLINE LENDERS DEFINITELY BETTER THAN BANKS FOR SMALL BUSINESS
The answer is yes and no. To each business are different needs. Alternative lenders in the UK will probably be able to provide the business funding quicker than banks would, but at the cost of a higher interest rate. Whereas many banks charge early repayment fees for a loan, online lenders normally don’t. There are significant differences between the two but none is better than the other per se.