An unsecured loan is provided by a lender without the need for property or other tangible assets as security. Typically, this type of business funding comes as a cash lump sum, with loan amounts ranging from £2,000 to £250,000 depending on your situation and eligibility. From determining the right finance product for you through to exploring the lenders market and even your loan application, it pays to have an expert on your side when seeking business loans. While secured loans are still a worthwhile solution in many situations, unsecured business finance will satisfy your needs in a wider array of circumstances. If your business doesn’t have assets or needs money fast, this is the route to take.

  • We require information and documents such as business bank accounts and business financial reports, but this can be minimal depending on how much you require and what your status is.
  • Any property or asset used as security may be repossessed or forfeited if you do not keep up repayments on any debt secured on it.
  • It’s a popular component of the small business finance mix, providing flexibility and convenience.
  • When they do, the decision is usually based on the personal credit score of the business and/or the business credit score.
  • They will give you advice on the options that are available, and they will work hard to ensure you get a funding solution that meets your needs.

And about the documentation part, I must say it was not at all complex and was easily doable. Act now and take advantage of the pre-approved facility and lightning speed customer service. At Hero FinCorp, we believe in providing prompt services and building strong & lasting relationships. Hero FinCorp is the best-in-class provider of financing solutions for SME’s.

Choosing Between Banks and Online Lenders

Since there is no collateral required, the risk factor remains high for the bank or NBFC. Unsecured business loans are very similar to an unsecured personal loan. If your business needs a cash boost you can apply for a business loan and then repay the amount plus interest over a set period, whether that’s a few months or several years. An unsecured loan isn’t secured on any of your business’ assets, but some unsecured loans still ask for a personal guarantee from you as the business owner, so always read the details carefully.


From there, we will work out a suitable repayment plan that suits your immediate and long-term interests. Most traditional finance providers are less likely to offer favourable terms on unsecured loans and some high street banks refuse to offer them at all. But do not lose hope, there are a variety of lenders on the market that are able to offer unsecured loans of up to £200,000 – including us.

Q: How long does it take to get approved for a small business loan?

Instead, you only repay through a small percentage of your future credit and debit card sales. Accordingly, your repayments fluctuate with your customer sales, so if you have a quiet month, your repayments will automatically decrease. Today’s landscape of business is changing faster than ever before.