Need a Short Term Business Loan?

Whether it is to help with the cash flow or to pay for expansion costs, a short-term loan can provide the ideal solution for your business. In order to be eligible for a short-term business loan, you will need to have been running your business and actively trading for a minimum of 18 months, as well as earn a turn-over of at least £80,000 on a yearly basis.

A short-term business loan is a loan you take out to finance your business. The loan term can last anywhere from 3 months to a year, by which time you will need to have the full balance paid off. You can usually get loans of between £1,000 and £1million.

The yearly interest rate can vary widely depending on the lender and your type of business, but it can range anywhere from 5% to 10% – most providers charge interest on the higher end of the scale.

You can apply for a business loan in your own name – providing you are the registered owner of the company or the director of the limited company you are borrowing the loan to fund.

Repayments tend to be higher compared to borrowing the same amount over a longer term, and interest rates are usually charged at a higher rate.

Lenders may also charge a fee if you pay off your loan before the end of your loan term as the lender is losing out on the interest you would usually have paid for the remainder of the term.