Secured Business Loans
What is a Secured Business Loan?
A secured business loan is one which is backed by an asset, usually a commercial, residential or buy-to-let property.
Why Choose a Secured Business Loan?
A secured loan typically reduces the risk for lenders, so borrowing is often cheaper with lower interest rates and longer repayment terms.
How it Works:
VAT and tax finance allows you to make tax returns more manageable by spreading the costs over a rolling 3 – 12 month period.
Secured Business Loans at a Glance
Eligibility:
Any UK homeowner that is director of a business. Also available to start up and new businesses.
Security:
second legal charge or equitable charge over residential or commercial property.
Loan Amounts:
Loans from £25,000 - £5m
Interest Rates:
From 3.99% per year
Terms:
From 1 - 30 years
Turnaround times:
Between 1 - 4 weeks.
Purpose:
Can be used for any business purpose and for debt consolidation by keeping repayments low. Poor credit history considered.
Does your business need access to capital to grow, expand, or overcome financial challenges? If so, a secured business loan could be the ideal solution. At Elite Business Funding, we offer flexible secured business loans UK that allow you to unlock the capital you need for success. These loans, which are backed by high-value assets, often have lower interest rates, longer repayment terms, and therefore lower monthly repayments compared to unsecured loans.
What is a Secured Business Loan?
A secured business loan is a type of financing where the borrower provides an asset – such as a property – as collateral to back the loan. The asset can be a residential, commercial, or buy-to-let property, with its value determining the amount you can borrow.
As you’ll be offering an asset as collateral, there’s less risk to the lender, which often results in lower interest rates and more flexible terms. This makes secured loans an attractive option for businesses looking to access larger loan amounts or those with a less-than-perfect credit history. A secured loan for business use can provide you with the capital needed to drive growth, make strategic investments, or address cash flow challenges
Why Choose a Secured Business Loan?
Secured loans offer several advantages over unsecured loans, making them a preferred choice for many business owners. Here’s why you might want to consider this type of loan:
- Lower Interest Rates: Since the loan is backed by an asset, there’s less risk to the lender. This means the interest rates are often lower compared to unsecured loans.
- Larger Loan Amounts: Business-secured loans allow you to borrow higher amounts, often up to £5 million, depending on the value of the property used as collateral.
- Longer Repayment Terms: Secured loans offer longer repayment terms, allowing businesses to spread out their repayments and reduce monthly outgoings.
- Access Funding with Poor Credit: If you have a poor credit history or no credit history at all, a secured business loan may be your best option for obtaining financing. As the collateral reduces the risk for lenders, they’re more likely to approve your loan request.
- Ideal for Startups: New businesses with limited trading history may struggle to secure unsecured funding. However, a secured business loan allows them to use property as collateral, making it easier to get approved.
How it Works
At Elite Business Funding, we make obtaining a secured business loan simple and straightforward. The process starts with you submitting an application with details about your business and the asset you wish to use as collateral.
We’ll review your application and arrange a professional valuation of the asset to determine how much we can lend you. If approved, we’ll provide a tailored loan offer that includes the interest rate, repayment terms, and conditions. Once everything is in place, we’ll release the funds, allowing you to invest in your business or manage cash flow.
Elite Business Funding is a leading provider of secured business loans UK, offering flexible financing solutions to companies of all sizes. Get in touch with us today to learn how our secured loans can provide your business with the necessary funding to succeed.
Secured Business Finance Calculator
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