To find a secured loan that suits your business you need to know:

  1. 1.

    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.

  2. 2.

    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.

  3. 3.

    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.

Understand the different types of finance

There are several types of secured business loans, including:

  • Asset backed finance

  • Secured business bank loans

  • Peer to peer loans

Check your business qualifies

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.

Look for the cheapest loan

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

Q

What assets can I use to secure a loan?

A

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.

Q

How much could my business borrow?

A

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

Q

Do I have to give a personal guarantee?

A

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

Q

What does representative APR mean?

A

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