No. Businesses must have a public profile so lenders know who they are lending to.
[/accordion] [accordion title=”Can my business have more than one loan?”]
Yes. After six months of successful repayments, you will be allowed to reapply for another loan. We require that you repay the existing loan in full, so this will need to be accounted for in your funding requirement. This means that you don’t have two separate repayments and it gives your lenders the opportunity to lend to you again, possibly at a lower rate.
[/accordion] [accordion title=”What type of business can borrow?”]
We accept applications from any UK business, including partnerships or limited liability businesses.
To apply for a loan your business must have:
- 2 years of filed accounts
- up-to-date management accounts
- no outstanding County Court Judgements
The interest rates will be set according to the aggregated rate of all accepted bids.
We charge borrowers a fee of 0.1% for every month of the repayment term with a minimum of 2.9% and a maximum of 5.9%. For example, if a business wants to borrow £50k over 48 months, our fee (£2,400 plus VAT at 20%) will be deducted from the initial advance of £50k, leaving the borrower with £47,120 cash but a loan of £50k.
Additional legal charges may apply, depending on the type of security offered for the loan.
When the auction closes, the borrower has 7 days to decide whether to accept the loan, before the offer is revoked. After 48 hours, the interest rate offered begins to take effect.
To see the average rates across our different loan risk categories, please view our stats page
[/accordion] [accordion title=”What are the types of loans are available?”]
The following types of loan are available:
- £25,000 – £250,000
- Unsecured (loans require personal guarantees from directors)
- Secured loans (all applications over £50k must include asset or debenture security)
- From 6 – 60 month terms
- For Limited companies, LLPs and PLCs
Once you have submitted your application, it will take us between 2-5 working days to review it. If your application meets our criteria we will put it live on the site for lenders to bid, otherwise we may ask for additional information. The auction process is currently estimated to take between 7-28 days, depending on the appetite to lend from our lenders.
[/accordion] [accordion title=”Can my business pay back a loan early?”]
Yes. There are no fees for this, other than the interest accrued in the month of early repayment.
[/accordion] [accordion title=”What fees are payable?” ]
Our fee is 5% of the loan amount.
Additional charges may apply to cover administration costs for certain types of security offered.
[/accordion] [accordion title=”Can I change the amount I borrow after applying?”]
At our discretion, we may allow businesses to increase or decrease their funding requests during the application process.
[/accordion] [accordion title=”What happens if I cannot repay a loan?” ]
If at any time you become unsure as to whether you will be able to make a repayment on time to your lenders, you must contact us so that we can work with you, and help you meet your repayment obligations.
If you fail to inform us of the fact that you are likely to miss a payment to any lender, we will contact you after this repayment has been missed to discuss why it has been missed. We will then discuss setting new terms which you may be better able to meet and which the lender agrees to.
In the event that you continue to under perform we will have no choice but to involve a debt collections agency to recover the debt from you.
For more information on your obligations and our debt collection and repayment policy please refer to the Terms and Conditions.
[/accordion] [accordion title=”Does my business have to have assets to qualify for a loan?”]
Whilst it is not necessary for your business to own assets in order to qualify for a loan, many lenders tend to favour those loan applications that offer security against the loan.
We accept three types of security against loans, Personal guarantees, debentures or asset backed guarantees.[/accordion]