What are the five steps to my business loans application being accepted?
Worldwide’s independent commercial finance advisers will help you every step of the way when you’re applying for business loans.
The first step is to discuss with you what you want to achieve and what your circumstances are. We will appoint you a dedicated commercial broker who will assist you from start to finish.
All initial meetings are free of charge and obligation.
Step two: Once we have discussed your business loans proposal, your dedicated independent commercial broker will research every lender in the entire marketplace to find the best business loans solution for you.
Step three: When your broker has identified a potential business loans solution for you, they will discuss this with you, and if the terms of the loan are acceptable, they will gain an agreement in principle from the lender.
Step four: When it comes to putting your proposal to a lender, your broker will help with gathering the information you need for all business loans applications.
Our brokers’ experience means they know exactly what lenders want to see, giving your business loans proposal the best chance for success.
Your broker will guide you through the whole business loans process – from initial application to completion.
They will help you avoid some common pitfalls when applying for business loans, such as borrowing in a tax inefficient way or applying in a manner that a lender is not familiar with or simply doesn’t appreciate.
Our expertise and experience will give your business loans application every possible chance of success by presenting as the lender would like to see it.
If business loans are not the best solution for your circumstances we will explore all the other commercial finance options you have available to you.
Step Five: Use our contact form today to speak to your dedicated and independent commercial finance adviser.
Our Fee Guarantee: You won’t pay any fees unless we can help you.
Will my business be eligible to apply for business loans?
Business loans are available to most new and existing businesses provided you have the following:
The security a lender requires; a business that a lender will regard as able to meet the loan repayments (which they call being able to ‘service’ a loan); and a good credit history.
If you are a small or medium sized business, i.e. if you have turnover of under £25million, you may be eligible for the Enterprise Finance Guarantee Scheme (EFGS). This is a government scheme which offers a government guarantee for 75% of a loan from approved lenders, including many high street banks and building societies.
I have had some credit problems in the past; will this affect my ability to apply for business loans and can Worldwide help me?
It will still be possible for you to apply for a business loan, but it is likely to make it more difficult. However, Worldwide will aim to find a solution for you, regardless of this.
If you have any adverse credit history, for example if you have any CCJs against your name or have defaulted on any loan payments, lenders will be cautious when you apply for business loans or any kind of finance, especially in the current financial climate.
There are specialist adverse lenders but this type of funding will be more expensive. Your independent commercial finance adviser can hep you put your application together to give you the best possible chance to succeed when applying for business loans in this situation.
What are the costs associated with business loans?
There are a range of costs associated with business loans, including the following:
- Legal fees
- Your lender’s legal fees
- Valuation fees
- Survey fees
- The lender’s arrangement fee.
- Accountant’s fees, if you need a business projection for example
- Broker’s fees
By using an independent commercial finance broker you will be able to keep costs to a minimum. Your Worldwide broker will make sure that all costs are made transparent to you.
What are the differences between secured and unsecured business loans?
Secured business loans are secured against an asset that you own, usually property. This means that if you fail to keep up repayments on your loan, your property is likely to be at risk of repossession.
Unsecured loans, in contrast, do not take any of your assets as security and they are usually for smaller amounts.
How much can be borrowed with business loans?
How much you can borrow will depend on a number of factors: your ability to run and manage your business, how much security you have to offer; the size of your business and its ability to meet the loan repayments; your own credit history.
Your independent broker will tell you how much you are likely to be able to borrow.
Is it more difficult to obtain business loans for a new business?
Yes, it is likely to be more difficult, because there will not be a trading history for the business that the lender can take into account, so you will have to rely on a business projection plan. We would recommend you get an accountant’s help with this and we will assist the accountant in the application.
However, bear in mind that every assessment for this kind of finance is individual and takes into account lots of different factors. Your independent commercial finance adviser can help you position your application to find the best deal.
Remember: you won’t pay any fees unless we can help you.
Call your FT award winning independent commercial finance adviser in confidence now on 0800 0112825 or complete the contact form and your dedicated adviser will contact you to see how we can help.
