Whether you are only just considering turning your amazing idea into a start-up business, or have already begun the process, the reality is that you may need to raise some external finance to take your venture to the next level.

The loan application process can be daunting, and without guidance or support, it can be difficult to navigate.

Mark Thayre


Luckily, SWIG Finance has a team of friendly, professional Start Up Loan advisors. One of our experts, Mark Thayre, shares his top tips to give you the best chance of success with your application;

Get realistic with Test Trading. Carrying out test trading prior to your application will help inform your plans. Does your product fit well within its marketplace, is there a demand for it? Are customers willing to pay the right price for it? These questions form part of critical market research which will be instrumental in your application and the businesses plans going forward.

Have a good rationale for the loan and how the funding will benefit your business. Being able to articulate how funding will help your business grow is an important aspect of the loan application process. Take time to really consider how your loan will help your business grow and how the borrowing will be serviced. This will demonstrate to a lender that you understand your business, the market that it operates in and that you understand how growth impacts your finances.

Don’t be afraid to adapt. If the ongoing COVID-19 pandemic has taught us anything, it is that businesses need to have an element of agility to survive. If there are restrictions in place that are stopping you from selling your product, can you look to create other or complementary income streams? Can you distribute your product through another channel? Do not be afraid to pivot your business to ensure its continued trading.

Make a Plan B. We want Plan A to work out as much as you do but as we know, even the best laid plans sometimes go awry. Having a Plan B will give you that extra safety net in case things don’t go to according to Plan A. By creating this additional scenario, you are evidencing that you have considered the risks and will be able to repay your debts no matter what.

Get your ducks in a row. Demonstrate a good cash flow and affordability to help evidence your ability to manage your finances responsibly and reflect stability. You should produce a cash flow forecast which should be kept as straight-forward as possible. To make your business attractive to lenders, keeping your cost structures simple will go a long way to validating your loan affordability. You will also need to examine your Personal Credit Report. Your loan application is likely to be subject to a personal credit check. Your personal credit score indicates your creditworthiness and the higher the score, the higher your chances of success are. Be well-prepared by checking your credit score in advance.

Get professional support to help you present a strong case for funding. Professional support could make all the difference to securing funding. At SWIG Finance, we have a team of dedicated Business Managers who offer support and guidance throughout the loan application process. Our advisers work closely with applicants to prepare their business plan and cashflow forecast to give you the best chance of success. As well as this, successful applicants are provided with post- loan support and access to further funding if required.

SWIG Finance is an official delivery partner for Start Up Loans UK. Contact us on info@swigfinance.co.uk today for more information on how we can help you realise your startup goals and help secure funding for your business venture.

To find out more, or to begin the Startup Loan Application process, click here.

Finance is subject to status. Terms and conditions apply. SWIG Finance Ltd is authorized and regulated by the Financial Conduct Authority, licence number 730724.