Bobbin Bicycles
BICYCLE COMPANY
London
"Tom at Bobbin Bicycles used his business loan to sell directly to customers via their website, cutting out the distributors he’d previously relied on."
How to get a business loan
Find out how to get a business loan or get started now with our simple application
Apply as a limited company without affecting your credit score
Apply online in 7 minutes
Decision in as little as 1 hour
Borrow £10,000 to £500,000
Rates from 6.9% per year
No fees to settle early
Funding Circle has worked with the British Business Bank since 2013, supporting thousands of businesses as one of the largest providers of Government-backed loans including through the Growth Guarantee Scheme.
How to get a business loan: step-by-step
Do you want to take your business to the next level with a fast, affordable business loan? Follow these steps to prepare your application and boost your chances of being approved. We’ll take you through the key considerations when applying, and walk you through how to get a business loan, step by step.
Preparing to apply for a business loan
Before you apply for a business loan, taking a moment to get your plans and documents in order will give you the best chance of being approved.
Your credit report will be checked when you apply for business finance, so get a copy of your report and make sure it’s accurate and up to date. We use reports from Experian and TransUnion.
The most favourable loan terms are generally reserved for loan applicants who have a good credit score, so it may be worth exploring how you can improve yours before you apply. If you’d like to learn more, we’ve put together some simple tips for improving your credit score here.
If you have outstanding business debts that can be settled, doing so before you apply could help your application. Healthy cash flow is also beneficial, so consider calling in any due payments too. Here is more information on how to consolidate business debt before you start your loan application.
Depending on your circumstances, we may review your latest financial accounts as part of your application, so again make sure they are accurate. If it’s been over 2 years since you last filed your business accounts, we may require you to file fresh accounts.
On these accounts, you’ll be asked to show a detailed Profit & Loss statement, and you’ll also need to provide your balance sheet.
Be prepared to provide a clear explanation of what the funds will be used for. If it’s for a broad purpose like extra working capital, provide detail on how this will benefit your business. You might also want to borrow to consolidate existing business debts, and you can find more information on how to consolidate business debt here.
Make sure you assess how much money you need and what you can afford to repay. This will not only show your credibility during the assessment process, but will help you respond to any offers with confidence. To help you with this, you can check out our business loan calculator here, which provides a rough breakdown of how much your monthly repayments could cost for the amount you want to borrow.
When comparing business finance options, think how much time will be needed to manage each product as well as interest rates and fees. For example, variable rate products will need more monitoring than fixed rate ones, and some lenders may ask for annual reports or check ins. This will take time away from other revenue creating activities.
“Our fixed-term loans are a great option for small business owners as they are flexible, easy to apply for, and you stay in control. Unlike secured business loans, you won’t have to wait while your business assets are valued, or seek permission if you want to sell those assets in the future.”
– Lisa Jacobs, Chief Executive Officer
A Funding Circle small business loan can be much more affordable than a business overdraft or credit card.
Applying is quick and easy
1
Check if you qualify in 30 seconds
See if you’re eligible without affecting your credit score
2
Apply online in 7 minutes
Complete our simple form with your details, and we’ll only ask for supporting documents if we need them
3
Get approved in as little as 1 hour
If approved, you’ll receive no-obligation offer with your personalised rate
4
Get your funds in a couple of days
Once you accept your offer we'll deposit the money into your account - typically within 48 hours
Here to help if you need us
Contact our UK-based team if you have any questions
Making a loan application
As we value your time, we’ve streamlined our loan application process to be fast, efficient, and finished in the time it takes to drink a cup of tea.
Unlike some other lenders, in our application process there are:
- No in-person interviews
- No business plans
- No financial forecasts
We’ll ask for details about your business such as turnover and number of employees, as well as the name, address and date of birth for your key shareholders, so it’s worth having these on hand.
Depending on your application, we may ask for the following documents:
Business bank statements for up to the last 6 months
They must show:
- The Account name and (where possible) the registered address. These must match the business you create the loan application for.
- The sort code and account number.
- All daily transactions.
Latest full unabbreviated accounts
This must include:
- Profit and loss
- Detailed profit and loss
- Balance sheet information
Our dedicated UK-based team is on hand to answer your questions 9am to 6pm, Monday to Thursday, and 9am to 4.30pm Friday (excluding public holidays). You can call them on 0800 048 8726, and they’ll keep you updated throughout the process.
"We’re not just customer service professionals, we’re small business experts with years of experience working with business owners, like you. Unlike other lenders, SMEs are our sole focus, so you get our undivided attention. Whatever a customer’s query – big or small – we're here to help."
- Matt Barton, Head of Sales
Check your eligibility in 30 seconds with our online form without affecting your credit score.
Getting a decision on your business loan
Once you’ve completed your application, you could receive a decision and a personalised offer in as little as 1 hour. If you accept your offer, your loan will be paid straight into your bank account in a matter of days.
We know a quick decision is one of the most important factors for business owners, so we’ve invested in our team and technology to give you a fast, fair, and accurate decision. Our Credit Assessment team have decades of experience at top financial institutions, and they’re supported by cutting edge technology and over 10 years of data from lending exclusively to SMEs.
We look at a wide variety of factors when we assess your application, including your credit score, bank transactions and trading history. We’ll judge what you can afford to repay based on how your business has done up to now, so you’re not dependent on future growth to repay the loan. You may get a higher or lower offer depending on what we think you can afford. We want to say yes to as many businesses as possible, and if you have a poor credit history you may still get approved, but at a higher interest rate.
You’ll receive an email outlining your offer. It will include your approved loan amount, term, interest rate and monthly repayments. One of our Account Managers will also call you to discuss the offer and answer any questions you have.
Your offer email will include instructions of what to do next. You will need to log in to accept the loan terms and send a copy of an ID document and proof of address. The loan contract will be sent by email and can be signed electronically.
If a personal guarantee is required or there are any offer conditions, these will also need to be completed and returned.
Once these documents are completed, your loan will be paid into your bank account in as little as 24 hours.