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Unsecured Business Loans

Do you need a loan to grow your Small or Medium Size Enterprise and are based in the South West? If so, our Unsecured Business Loans could help you.

What are Unsecured Business Loans?

Unsecured Business Loans are flexible medium-term finance solutions for businesses that need capital upfront, usually for larger purchases or cashflow needs. This type of finance does not require the borrower to offer tangible security. Typically, the Borrower can access funding for a range of purposes, and repayments are made within an agreed timeframe.

The term of the loan is agreed upon from the outset so the borrower knows how long they will be repaying the loan.

Our decisions are made by people, not computers, which means that we lend by looking at the bigger picture.

Our business managers provide support and guidance throughout the application process, and for the duration of the loan, to give our customers the best chance for success.

How does Unsecured Lending differ from Secured Lending?

The main differentiator between Secured and Unsecured Lending is security.

Secured Business Loans require the borrower to provide tangible security against collateral, like a charge over a property, whereas unsecured loans do not require a charge over a property. However, unsupported Personal Guarantees are typically required as well as a debenture from the company, which will typically rank behind existing charge holders. Unsecured Lending does not require security, the loan process is usually faster for Unsecured Lending.

How are Unsecured Business Loans Repaid?

 Repayment terms are usually up to 60 months and are agreed upon with the Borrower at the outset. This ensures the loan is repaid within a fixed timeframe allowing the borrower to plan and budget. Early repayment of the loan is often available, but some lenders may charge a penalty. 

What are Personal Guarantees and Debentures?

Personal Guarantees are provided by the Borrower so that in the instance that the business cannot repay the loan, the Borrower will become personally liable for the repayment of the loan.

Loans can be settled in full or by way of an arrangement to repay the loan over an agreed period of time. The Borrowers’ principal private residence is excluded from Personal Guarantees given to SWIG Finance. Debentures are a charge against floating assets of a limited company. A debenture gives the lender some rights over these assets and also the ability to step in and run the company if necessary. Debentures given to SWIG Finance will rank behind existing charge holders.

The debenture will be registered at Companies House.

What can Unsecured Lending be used for?

SWIG Finance provides Unsecured funding for a range of purposes, including cashflow, recruitment – covering new starters’ salaries for a few months, operations, purchase of new equipment and machinery and research and product development. 

What are the benefits of SWIG Finance Unsecured Business Loans?

  1. Offers a medium-term finance solution
  2. No tangible assets are required as security
  3. Borrow £25,001 up to £250,000
  4. Repayment terms up to 60 months
  5. We can lend by looking at the bigger picture – what is the business planning to do, who is behind it as well as what the business has done
  6. An assigned local business manager to support your loan application – they will spend time talking to the business owner to really understand what their plans are and how they hope to achieve them.
  7. Ongoing relationship support for the duration of the loan – our Business Managers are there to talk to if the business owner needs some help and guidance

We have Start Up Loans for businesses trading less than 3 years 

Is my business eligible for a business loan?

The CBILS Scheme closed with effect from 31 March 2021. Learn more here.

Business Loan characteristics

Security
- Fixed & floating debenture taken (ranking behind existing charge holders, if appropriate)
- Unsupported personal guarantees are typically required for business loans

Information required to apply for a business loan:

– Last 2 years' full accounts (if available)
– Most recent management accounts 
– Cashflow forecast for a minimum of 12 months
– Last 6 months business bank statements
– Credit Report for all directors

Amount & Term

£25,001 – £250,000 repayable up to 60 months

Interest Charge

Charged at 12% ABR

Fees Arrangement

Fee of 5% charged at outset

“We chose to work with SWIG Finance because, unlike other lenders, at SWIG you can talk to a person. Ultimately, SWIG Finance were able to support our business by looking at the bigger picture – something which other lenders are not willing to do.”

Customer Testimonial, SME Business Owner

What funding sources are available?

SWIG Finance offers Business Loans to small businesses through its own ethically sourced capital and lends through a sustainable lending framework.

#SWIG Finance is also an accredited delivery partner for the British Business Banks Growth Guarantee Scheme, which means we will lend where tangible security isn’t available. For business acquisitions, SWIG Finance can explore a finance package that combines more than one loan product, where this is in the best interest of the customer

For businesses that have been trading for under three years, SWIG Finance also offers Start Up Loans through the government-backed Start-Up Loans Scheme. Loans range from £500 up to £25,000. These are personal loans for business use.

How to apply for an unsecured business loan​?

To apply for a Business Loan, you will need to complete our online application form.

Information we will need to assess your loan request:

  • Last 2 years’ full accounts (if available)
  • Most recent management accounts
  • Cashflow forecast for a minimum of 12 months
  • Last 6 months business bank statements
  • Credit Report for all directors

Apply now to take the next step in securing the funding your business needs.

Our Application Process

We assess each business on its own merit. To apply, please complete our online enquiry form below. Initial enquiries welcomed to establish suitability. Once we have received all the information we need to consider your application, the decision will be made as soon as possible.

Apply Now

If you’re ready to take the next steps, apply now!

Tips & How-To Guides

Here you will find practical tips and how-to guides.

Got a question?

Give us a call today and we will answer any question you may have.

Is my Business eligible for a Business Loan​?

Business Loan characteristics

✓ Loan value from £25,001 – £250,000
✓ Finance for working capital or growth (e.g. equipment)
✓ Tangible security is not required
We are an accredited Growth Guarantee Scheme lender
Terms & Conditions Apply

Apply now to take the next step in securing the funding your business needs.

Do you need to borrow less than £25k?

We have Start Up Loans available for businesses that have been trading for less than 3 years.

Apply for a business loan now

Please complete the below enquiry form and a member of the team will be in touch.

Should you wish to apply for a loan then please complete the following questions:

Here at SWIG Finance Limited we take your privacy seriously and will only use your personal information to administer your application and to provide the products and services you have requested from us. Please tick the box below to indicate your consent to us processing your data in accordance with our privacy policy.

Business Loans Dorset

Growing Nursery Receives Further Funding

Case Study, Start-UpsSME

Dorset-based Twynham House Nursery School has received further growth funding of £200k through SWIG Finance. The business began trading in 2021 at the start of the COVID pandemic and, despite a challenging start, has gone from strength to strength. SWIG Finance first supported Twynham House in its early stages with a CBILS-backed loan. The latest cash injection will help establish a second new nursery site.

 

Read More