- Who it's for
- UK Ltd companies, PLCs and LLPs in their first one to two years of trading
- Typical amounts
- £5,000 up to around £100,000, rising as trading history builds
- Typical terms
- 3 months to 3 years
- Minimum turnover
- £100,000 a year to use Lending Box; most lenders also want 6–12+ months of trading
- Security
- Almost always unsecured with a personal guarantee; secured options need an asset to offer
Indicative only. Subject to lender assessment and approval.
Who it's for
- Companies that have been trading for at least a few months, with bank statements showing real income, even if accounts haven't been filed yet.
- Businesses that already meet the £100,000 annual turnover threshold despite being newly formed, for example a spin-off from an established trading history or a fast-growing start-up.
- Directors with a strong personal credit history and, ideally, relevant experience in the sector, which some lenders weigh when trading history is thin.
- Companies that can offer some form of security or a confident personal guarantee to offset limited trading history.
How it works
- 1You tell us how long the company has been trading, its turnover so far, and what the finance is for.
- 2We check whether you currently meet our £100,000 turnover threshold and look honestly at which lenders, if any, are realistic given your trading history.
- 3Where options exist, we gather bank statements and any available accounts, since lenders will rely heavily on these in the absence of a long track record.
- 4A specialist talks you through what's genuinely available, which may be a smaller amount or shorter term than a more established company could access — and tells you plainly if nothing suitable exists yet.
Being realistic about what's available
It wouldn't be honest to suggest every new company can access business finance easily — most can't, at least not straight away. Lenders are, understandably, cautious about businesses with little or no track record, because there's less data to assess affordability and risk. Being clear about this upfront saves wasted time and unnecessary credit searches.
- If your company turns over less than £100,000 a year, we currently can't help as a broker — this isn't a reflection on your business, just our own minimum criteria.
- If turnover is there but trading history is under six months, options will likely be limited to a small number of specialist lenders, if any exist for your situation at all.
- The honest picture may be that waiting a few more months, while keeping clean bank statements, meaningfully improves your options.
What can help in the meantime
There are things worth doing even before approaching a broker or lender, which can improve your position over time.
- Keep the business bank account separate from personal finances and ensure all trading income passes through it visibly.
- File any accounts and Companies House confirmation statements on time, even in year one.
- Build relationships with a small number of regular customers or contracts, which gives future lenders something concrete to assess.
- Keep personal credit clean, since almost all finance for new companies relies on a director's personal guarantee and credit history.
- Consider whether a start-up-specific grant or scheme, rather than commercial lending, might suit your stage better — these sit outside what a commercial broker arranges.
Alternatives to a traditional business loan
Depending on your situation, a conventional business loan may not be the first or only option worth exploring.
- Asset finance, where the new equipment itself provides the lender's security, can sometimes be more accessible than an unsecured loan for a new company.
- Invoice finance can work once you have paying business customers, as it's assessed partly on their credit quality rather than your own trading history.
- Director's own investment, family and friends funding, or equity investment from outside the business are common routes for very early-stage companies, separate from commercial debt finance.
- Government-backed start-up loan schemes exist outside the commercial broker market and are worth researching directly if you're pre-revenue or very early stage.
How a broker helps
Even where options are limited, a broker can save a new company from applying to lenders that were never going to say yes, and from unnecessary credit searches in the process. As a whole of market broker, we'll tell you plainly whether anything realistic exists right now, what would change that, and which lenders — if any — are worth approaching given your turnover and trading history.
Our service is free to your business. We're paid a commission or finder's fee by the lender if finance completes; see our Broker Terms for details.
Eligibility
- A UK limited company, PLC or LLP (we can't help sole traders or partnerships).
- Annual turnover of at least £100,000 to use Lending Box.
- Most lenders also expect at least 6–12 months of trading history; a small number may consider less with strong compensating factors.
- A business bank account showing genuine trading income.
- Directors willing to give a personal guarantee, in almost all cases for new companies.
Documents you'll need
- All available business bank statements, however short the trading history.
- Any filed accounts or management accounts prepared so far.
- A simple business plan or forecast, particularly useful when historical trading data is limited.
- Evidence of contracts, orders or recurring customers, if available, to support projected income.
- Photo ID and proof of address for directors.
Advantages
- Some lenders do consider newer companies, especially where turnover is already strong or directors have relevant sector experience.
- Smaller, shorter-term facilities can help bridge a specific early gap without committing to long-term debt.
- Building a record of on-time repayments early can make it easier to access larger facilities as the business matures.
- A broker can quickly confirm whether any realistic lender exists, saving time compared with approaching lenders directly.
Things to weigh up
- The market for new companies is genuinely narrow — this is worth knowing before you spend time pulling documents together.
- Amounts tend to be smaller and costs higher, reflecting the lender's limited ability to assess trading history.
- A personal guarantee is almost always required, meaning directors take on personal liability from day one.
- If turnover is below £100,000 or trading history is very short, there may currently be no suitable option through Lending Box at all.
Worked example (illustrative)
A new digital marketing agency has been trading for eight months and already turns over around £130,000 a year, with several retainer clients paying monthly. The director has a clean personal credit history.
A specialist lender, focused on recent bank statement data rather than a long trading record, considers a loan of £15,000 over 18 months, with a personal guarantee.
Using the business loan calculator below, £15,000 over 18 months at an illustrative 20% a year works out at roughly £980 a month. The real rate, and whether any lender would offer this at all, depends entirely on the lender's own assessment.
Business loan calculator
Monthly repayment
£2,307.25
- Total repayment
- £55,373.91
- Total interest
- £5,373.91
Representative example: borrowing £50,000 over 24 months at 10% a year would cost £2,307.25 a month, £55,373.91 in total, including £5,373.91 interest.
Illustrative only. Your actual rate depends on your circumstances. Indicative only. Subject to lender assessment and approval.
Frequently asked questions
Related guides
Related funding
Lending Box helps UK businesses access business finance, working directly with businesses and their trusted advisers. We are a credit broker and do not provide loans ourselves. All finance and quotes are subject to status and income. Applicants must be aged 18 or over, and terms and conditions apply. Guarantees and indemnities may be required. Lending Box can introduce applicants to a number of providers based on each applicant's circumstances and creditworthiness. We can also make insurance introductions. Lending Box will receive a commission or finder's fee for arranging such finance and insurance introductions. Broker Terms