<Business loans

Compare secured business loans

Secured business loans could let you borrow against your companies assets, giving your business the capital it needs.

5 results found, sorted by affiliated products first. How we order our comparisons. Commission earned affects the table's sort order.
Sort
Think Business Loans Business Loan
Loan amount
£50,000 to £1,000,000
Representative APR
6.36% APR
Loan term
12 months to 120 months
“Rated 5* “excellent” on Trust pilot. Our experts will compare multiple business finance products across 100s of lenders to find the option that is right for you. 75% of our customers receive an offer.
Think carefully before securing debts against your business assets. Your assets may be repossessed if you do not keep up repayments on any debt secured on it.
Think Business Loans is a credit broker and not a lender. Minimum turnover is £200,000 with 1 year trading.
Representative Example: The representative rate is 6.36% APR (fixed) so if you borrow £100,000 over 60 months at a rate of 6.36% p.a. (fixed) you will repay £116,504.71 in total.
EJ Finance Business Loan
Loan amount
£10,000 to £5,000,000
Representative APR
6.99% APR
Loan term
1 month to 60 months
Application-to-offer within 24 hours. To be contacted within 3 minutes of applying. Access to over 200+ lenders, covering all sectors.
Think carefully before securing debts against your business assets. Your assets may be repossessed if you do not keep up repayments on any debt secured on it.
Representative Example: The representative rate is 6.99% APR (fixed) so if you borrow £100,000 over 60 months at a rate of 7.39% p.a. (fixed) you will repay £119,234.85 in total.
Funding Options Business Loans
Loan amount
£100,000+
Representative APR
3.5% APR
Loan term
1 month to 120 months
Funding Options is a Credit Broker and not a Lender. Their APR starts from 2.75% and has an average of 6.03%. They can help you prepare and submit your Coronavirus Business Interruption Loan Scheme application through multiple CBILS accredited Lenders.
Think carefully before securing debts against your business assets. Your assets may be repossessed if you do not keep up repayments on any debt secured on it.
Minimum Turnover is £60,000 with 12 months minimum trading.
Representative Example: The representative rate is 3.5% APR (variable) so if you borrow £300,000 over 240 months at a rate of 3.5% p.a. (variable) you will repay £417,571 in total.
Fluidly Business Loan
Loan amount
£15,000 to £500,000
Representative APR
7.9% APR
Loan term
6 months to 60 months
View funding solutions available to you in under 30 seconds. Fluidly's 5* rated specialists will support you in applying to the best products for you.
Think carefully before securing debts against your business assets. Your assets may be repossessed if you do not keep up repayments on any debt secured on it.
Fluidly is a credit broker not a lender. Minimum 2 year of trading and £100k turnover pa.
Representative Example: The representative rate is 7.9% APR (fixed) so if you borrow £100,000 over 24 months at a rate of 4.00% p.a. (fixed) you will repay £104,219.84 in total.
Funding Circle Business Loan
Loan amount
£10,000 to £500,000
Representative APR
11.79% APR
Loan term
24 months to 72 months
To be eligible to apply you need to be based in the UK and have been trading for 2 years. Funding Circle also offers the Government's Recovery Loan Scheme. A key aim of the Recovery Loan Scheme is to improve the terms on offer to businesses.
Think carefully before securing debts against your business assets. Your assets may be repossessed if you do not keep up repayments on any debt secured on it.
If Funding Circle can offer you a business loan for the same amount on similar or better terms, without requiring the guarantee provided by the scheme, they will do so. The rate you will get will vary based on your circumstances.
Representative Example: The representative rate is 11.79% APR (fixed) so if you borrow £100,000 over 72 months at a rate of 9.4% p.a. (fixed) you will repay £137,779 in total.

Last updated: 17 February, 2021

What is a secured business loan?

A secured business loans uses a businesses assets, such as residential or commercial property, to borrow money for a company.

It's a way to get access finance to fund business projects, or everyday business expenses.

Here is how secured and unsecured loans work

How do secured business loans work?

Secured business loans work just like any other loan. You borrow the sum your business needs and pay it back over a set period of time, at a set interest rate.

Understand the different types of secured business financing

There are several types of secured business loans, including:

  • Asset backed finance

  • Secured business bank loans

  • Peer to peer loans

Here is more on how the different business finance types work

How to get the right secured business loan

Here's what you need to know to get the secured business loan that's right for your business:

  • What business assets you can use: You need to detail what you are using as collateral when you apply for a loan, and its value.

  • How much your business needs to borrow: Try not to borrow more than you need. How much you can borrow depends on the value of the asset you choose to use and your business finances.

  • How long you need to pay back the loan: Secured company loans last from just a few months up to 5 or 10 years and you can choose how long when you apply.

Some lenders offer loans without you having to use your business assets to back up your application, so check if an unsecured business loan could better suit your needs.

How much do secured business loans coast?

The cost a secured business loan depends on:

  • How much you need to borrow

  • How long you need to pay back the loan

  • The asset you are using during your application

Other more specialist types of secured business lending, for example asset finance, work slightly differently.

What are the pros and cons of secured business loans?

Pros
  • May be able to borrow more
  • Longer loan terms available
  • Sometimes cheaper but not always
Cons
  • Puts your business assets at risk
  • Can take longer to get a loan
  • Need a suitable asset to apply

Secured loan illustration

Here is an example of how much a secured business loan could cost and the repayments your business would need to make:

  • You choose to borrow £100,000 using your business machinery as collateral

  • You choose a loan term of 10 years

  • Your application is accepted and your interest rate is 30% APR

  • Your monthly repayments would be £2,383.33

  • The total amount repayable would be £285,999.60

Does my business qualify for a secured business loan?

Your business will have to meet the lending criteria to qualify for a secured commercial loan, which may include:

  • Your minimum business annual turnover

  • Your trading history

  • Your type of business

Before you apply, check your business meets all the criteria to avoid having your application turned down.

How to compare secured business loans?

Once you have a shortlist of loans that meet your needs, and your business will qualify for, you are ready to look for the cheapest deal.

You can use our comparison to check the latest secured business loan rates.

Secured business loans FAQs

This depends on the lender and type of finance you choose. Most secured business loans let you use a wide range of assets to support your application.

It depends on your business assets and finances, with the lenders in this comparison offering loans up to £1,000,000.

This depends on the lender, as some ask directors to give a personal guarantee to support the loan application.

It is the interest rate lenders must give to at least 51% of businesses who apply for these loans.

About our loans comparison

Our comparison tables include providers we have commercial arrangements with. The number of listings in our tables can vary depending on the terms of those arrangements, as well as other market developments. They are all from lenders regulated by the Financial Conduct Authority (FCA). Here is more information about How our website works.

We have commercial agreements with some of the companies in this comparison and get paid commission if we help you take out one of their products or services. Find out more here.

You do not pay any extra and the deal you get is not affected.