Secured and unsecured loans
Secured facilities use assets as collateral. Unsecured loans may not require specific asset security but can still involve personal guarantees.
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Moneykind business finance guide
Considering a business loan? Start with the numbers.
Business loans can support working capital, expansion, stock or other commercial needs. Borrowing should be assessed against expected cash flow and the total repayment obligation, not just the monthly instalment.
Explore your finance options →What to know about business borrowing
What lenders may ask for
Common requests include accounts, bank statements, forecasts, existing borrowing details, trading history and an explanation of the loan purpose.
Compare borrowing offers
Look at the total amount repayable, interest basis, fees, repayment frequency, early repayment terms and security obligations.
Working capital vs investment
Short-term cash flow needs may require different funding from long-term investment in premises or equipment.
Personal guarantees
A personal guarantee can expose the guarantor to personal liability if the business cannot meet its obligations.
Before you apply: Finance availability, pricing and terms depend on your circumstances and the provider. Consider independent legal, tax or regulated financial advice where appropriate. Moneykind introduces enquirers to third-party professionals; it does not itself make lending decisions.
How to prepare for an enquiry
Explain what you need
Set out the purpose of the funding, the amount sought, your timescale and how the borrowing will be repaid.
Gather the key information
Depending on the facility, a professional may ask for accounts, bank statements, forecasts, property or asset details and existing borrowing information.
Compare the full commitment
Ask about the total cost, fees, security, guarantees, repayment schedule, early exit terms and what happens if circumstances change.
Understand the introduction
Moneykind helps connect you with a relevant third-party professional. The professional will explain their services, charges and any applicable regulatory status.
Frequently asked questions
Can I borrow with a short trading history?
Some lenders consider newer businesses, but eligibility, pricing and documentation can differ.
Does an unsecured business loan mean no personal risk?
Not necessarily. A personal guarantee may be required even if no specific business asset is charged.
Will a business loan affect my credit record?
Credit checks and reporting depend on the lender, borrower type and any guarantor arrangements.
More business finance guides
Ready to explore your options?
Tell Moneykind what you're looking for and we can help with an introduction to a relevant professional.
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