Start‑up funding: can new UK businesses obtain UK Business Loans through UK Business Loans?

Short answer: Yes — many UK start‑ups can access business loans, but eligibility depends on factors such as trading history, business model, director credit, collateral and the type of product you need. UK Business Loans does not lend directly; we match new businesses to the right lenders and brokers so you receive quick, no‑obligation quotes. Start your free eligibility check now: Get a free eligibility check.

Quick answer: yes — but it depends

Many new UK businesses can obtain business finance, but how and from whom varies. Some lenders and specialist brokers will consider start‑ups with limited trading history; others require 12–24 months or proven revenues. The product you choose (asset finance, invoice finance, startup loan, or merchant finance) determines typical eligibility and timescales.

UK Business Loans acts as a fast introducer: you complete a short enquiry and we match your business to lenders or brokers who best fit your needs. The enquiry is an information form, not a loan application — lenders contact you directly with quotes if they can help. Free Eligibility Check.

Which start‑ups can get business loans?

Trading history and lending thresholds

Lenders differ. Typical patterns:

• 0–3 months trading: fewer lenders will underwrite. Options often include director‑guaranteed facilities, asset finance (if you can provide collateral), or specialist start‑up lenders.
• 3–12 months: more options open up, including some unsecured loans and merchant advances if you have card sales.
• 12+ months: mainstream small business loans and many asset/invoice finance providers will consider applications.

Business structure

Limited companies and LLPs are commonly acceptable. (We do not handle sole trader‑only propositions here.) Lenders want a clear ownership and control structure, and an understanding of who will sign guarantees.

Credit, directors and collateral

Director credit scores matter — many start‑up facilities require personal guarantees or director underwriting. Collateral or demonstrable revenue can significantly improve terms and access.

Revenue, profitability & sector

Some lenders will consider projected revenues and contracts, others need historical turnover. Certain sectors (e.g., restaurants, construction, e‑commerce) have specialist lenders who understand seasonal or project income.

Example: A tech start‑up with limited trading but confirmed investor backing may access convertible notes or bridge loans through specialist brokers even if traditional lenders decline.

Get Quote Now — it only takes a couple of minutes to tell us about your business and funding need.

Types of finance available to start‑ups

Start‑ups have several realistic options. Below is an overview of the most common routes and when they’re useful.

Loan type	Typical use	Trading history often required	Time to decision
Startup business loans (unsecured or secured)	Working capital, fit‑out	Some accept 0–12 months	Days to weeks
Director‑guaranteed loans / personal guarantee	Where security is limited	Often 0+ months	Days to weeks
Asset / equipment finance	Buy machinery, vehicles, IT	0+ months (asset as security)	24–72 hours to a week
Invoice finance / merchant cash advance	Unlock invoices or card receipts	Requires invoice or card sales history	Hours to days
Peer‑to‑peer / marketplace finance	Quick small business loans	Often 6+ months	Days
Seed / equity finance	Growth capital (not a loan)	N/A	Weeks to months

Government schemes such as the Start Up Loans Company may also be relevant — they operate separately and have their own eligibility criteria. If you’re unsure which product fits, we can match your business to specialists who will explain the options. Start your free enquiry.

What lenders and brokers will ask for (quick checklist)

• Brief business overview and use of funds
• Projected cashflow and basic business plan (especially for zero‑history start‑ups)
• 3–6 months business bank statements (if available)
• Director ID and proof of address
• Company accounts or management accounts (if available)
• Contracts, purchase orders or investor term sheets — evidence of future revenue
• Details of assets that could be used as security

If you have limited documents, a clear, credible plan and supporting evidence (e.g., signed contracts) will help brokers present your case to lenders.

How UK Business Loans helps start‑ups (our matching process)

Our process is designed to save you time and find lenders/brokers who understand start‑up needs:

1. Complete a short online enquiry (about 2 minutes). This is not a loan application — it’s information to match you.
2. We review your details and match you to suitable lenders and brokers in our panel.
3. Selected partners contact you with a free eligibility check and indicative quotes.
4. You compare options and choose who to proceed with — the lender/broker then completes the application and any checks.

Benefits: faster responses, specialist matches for your sector, and no charge to you for the introduction. Free Eligibility Check.

Common start‑up scenarios & realistic outcomes

Here are a few realistic examples of how start‑ups typically access finance:

New café or restaurant (opening / fit‑out)

Trading 3–6 months or pre‑opening with a strong plan: lenders may offer asset finance for equipment and a short‑term business loan for fit‑out. Directors often provide guarantees. Time to funding: 1–6 weeks depending on documentation.

E‑commerce start‑up with growing card takings

If you have regular card sales, merchant cash advances or revenue‑based finance can provide rapid access to working capital with minimal trading history. Expect quick decisions (often within days).

Manufacturing start‑up buying machinery

Asset finance is commonly used — the equipment itself acts as security which reduces lender risk and can mean access with limited trading history.

In every scenario, UK Business Loans will match you to partners who specialise in your sector and likely product, helping you avoid unsuitable approaches that waste time.

Costs, rates and what to watch for

Costs vary widely. Key points to compare:

• Interest rate vs total cost (APR) — compare the full repayment figure, not just headline rates.
• Upfront arrangement fees, broker fees and ongoing charges.
• Early repayment charges and default penalties.
• Whether a director personal guarantee or security is required (this affects personal risk).

We do not set or control rates — lenders and brokers provide specific pricing. Use the quotes you receive to compare total cost, repayment profile and contract terms. Get Quote Now.

Frequently asked questions

Can I apply with zero trading history?

Yes — some lenders and specialist brokers will consider zero or very limited trading history, but expect higher costs or requirements such as personal guarantees, investor backing or security.

Will enquiring affect my credit score?

Submitting an enquiry on our form does not affect your credit score. Lenders may run credit checks if you proceed to an application.

Do you lend directly to start‑ups?

No. UK Business Loans introduces and matches you to lenders and brokers who provide finance. Our role is to simplify the search and get you fast, relevant quotes.

How fast will I get quotes?

Often within hours during business hours for an initial eligibility response; full offers depend on documentation and can take days to weeks.

What if I have poor credit?

Poor credit doesn’t always mean no options. Some specialist lenders will consider your full business case, but terms may be different. Honest disclosure helps us match you to the right partners.

Is there a fee to use UK Business Loans?

No — our service is free for business owners to submit an enquiry. Lenders or brokers may charge fees once you accept an offer, which they will disclose.

Next steps — start your free eligibility check

Ready to see what’s possible? Complete our short enquiry — it takes around 2 minutes and is not an application. Provide a few business details and the amount you’re seeking (we typically arrange loans from £10,000 upwards) and we’ll match you to the most suitable lenders and brokers.

Start your Free Eligibility Check — no obligation, secure and confidential.

Related resources & internal links

• How UK Business Loans works
• Asset finance
• Invoice finance
• Construction business loans
• Learn more about general business loans

Important: UK Business Loans does not lend money. The enquiry form is information only — it helps us match you to lenders and brokers who will contact you with eligibility checks and quotes. We do not guarantee approval and we do not provide regulated financial advice.

1. Can start‑ups with no trading history get a business loan in the UK?
Yes — some specialist lenders and brokers will consider zero or very limited trading history, often alongside higher fees, personal guarantees, security or investor backing, and UK Business Loans can match you to those partners.

2. How do I apply for a business loan through UK Business Loans?
Complete the short online enquiry (it’s information only, not a loan application) and we’ll match you with suitable lenders or brokers who will contact you with eligibility checks and quotes.

3. Will submitting an enquiry affect my credit score?
No — submitting an enquiry on UK Business Loans does not affect your credit score, although lenders may run credit checks if you proceed with a formal application.

4. How long will it take to get quotes and receive funding?
You can often get initial eligibility responses within hours, with full offers typically taking days to weeks and actual funding times varying by product and lender.

5. What loan amounts can I apply for via UK Business Loans?
Our partners arrange a wide range of finance, typically from around £10,000 up to multi‑million pound facilities depending on the lender and product.

6. Can I get a business loan if I have poor credit?
Yes — some lenders specialise in businesses with imperfect credit histories, though terms and pricing may be less favourable and UK Business Loans can help find appropriate options.

7. What documents will lenders and brokers usually ask for?
Common requirements include a brief business overview and use of funds, 3–6 months bank statements, director ID and proof of address, management or company accounts, and any contracts or asset details.

8. Will I need to provide a personal guarantee or security?
Possibly — many start‑up facilities ask for a director personal guarantee or collateral to reduce lender risk, while other products (e.g., asset or invoice finance) use the asset or invoices as security instead.

9. Which types of finance suit start‑ups best?
Start‑ups commonly use startup loans, director‑guaranteed loans, asset/equipment finance, invoice finance, merchant cash advances, peer‑to‑peer loans or equity/seed funding depending on trading history and purpose.

10. Is UK Business Loans’ service free and are the lenders regulated?
Yes — our matching service is free and no obligation, and we work with trusted, FCA‑regulated brokers and lenders who will disclose any charges and terms if you choose to proceed.