Revolving Credit Facilities for Working Capital — Cashflow Loans

Struggling with seasonal peaks, late-paying clients or unpredictable sales? A revolving credit facility gives flexible, repeatable access to working capital so your business can draw, repay and redraw up to an agreed limit. UK Business Loans helps businesses seeking facilities of £10,000+ get matched with lenders and brokers who specialise in revolving working capital. Submitting an enquiry is free, non‑binding and will not affect your credit score.

Get a Free Eligibility Check — quick, no obligation. How it works: scroll down or jump to “How the process works”.

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Table of contents

• Short answer
• What is a revolving credit facility?
• Who uses revolving working capital?
• Which lenders and brokers can we introduce you to?
• Eligibility — what lenders commonly look for
• How the process works (step-by-step)
• Typical costs, pricing and terms
• Documents you’ll normally need
• Risks, covenants and responsible borrowing
• Mini case studies
• Frequently asked questions
• Ready to see if you can get a revolving facility?
• Related resources

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Short answer — can I get a revolving working capital facility through UK Business Loans?

Yes. UK Business Loans does not lend directly, but we introduce businesses seeking revolving working capital facilities (from around £10,000 upward) to appropriate lenders and brokers. We’ll match your enquiry to providers who specialise in revolving credit for cashflow, and you’ll receive contact and indicative quotes from suitable partners. Final approval depends on the lender’s criteria — trading history, turnover, purpose of funds, security and credit profile.

Get Quote Now — it’s free and non‑binding.

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What is a revolving credit facility (and how does it differ from overdrafts or term loans)?

A revolving credit facility is an agreed credit limit that your business can draw against, repay and draw again during the life of the facility. You pay interest on what you use, not on the full limit. It’s designed for ongoing working capital needs — seasonal stock, bridging invoices, payroll gaps — and provides more predictability than ad‑hoc borrowing.

• How it works: lender sets a maximum limit; you draw funds when needed; repayments reduce your outstanding balance and free up borrowing capacity.
• Interest: charged on drawn amounts, typically variable or margin over a base rate.
• Security: may be unsecured for smaller limits, or secured (debenture, fixed charge) for larger facilities; some lenders ask for personal guarantees.

Quick comparison:

• Revolving facility — flexible draw/repay/re-draw, interest on amount used.
• Bank overdraft — often shorter notice, can be withdrawn by the bank; interest and fees apply.
• Invoice finance — against invoices, frees cash tied to receivables (different structure).
• Term loan — fixed lump sum repaid over set schedule; less flexible for repeat needs.

Free Eligibility Check

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Who typically uses revolving working capital facilities?

Revolving credit is common for businesses with ongoing or seasonal needs. Typical users include:

• Retailers and e-commerce businesses managing seasonal stock purchases.
• Manufacturers buying raw materials to fulfil orders.
• Construction contractors bridging staged payments and retention releases.
• Hospitality groups smoothing payroll and stock around peak seasons.
• Service firms funding short-term projects or staff costs between invoices.

We work with limited companies and LLPs (no sole traders or certain professional-only facilities). Facilities we arrange typically start at around £10,000 and move into significantly larger limits depending on lender appetite.

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Which lenders and brokers can we introduce you to?

We match enquiries to a panel of UK lenders and brokers including high‑street and challenger banks, specialist cashflow lenders and experienced commercial brokers. Our partners range from larger institutions offering secured revolving facilities to specialist providers who consider alternative credit profiles.

Matching is based on your sector, turnover band, trading history, facility size and credit profile — that way you’re connected to partners most likely to provide a competitive, relevant quote.

Get Matched — Get a Quote Now

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Am I likely to be eligible? Typical requirements for revolving facilities

Exact criteria vary by lender, but common requirements include:

• Minimum trading history — often 12 months, some lenders accept younger companies with strong projections.
• Minimum facility size — typically £10,000 and above for the arrangements we handle.
• Annual turnover thresholds — depend on lender and facility amount.
• Business bank account and verified bank statements (3–12 months).
• Management accounts and VAT returns where applicable.
• Good clarity on the purpose of funds and a credible cashflow forecast.
• Information on any existing borrowing, arrears or CCJs — lenders will assess overall indebtedness.

Specialist lenders or brokers may consider startups, fast‑growing firms or businesses with past credit issues — but terms, pricing and security requirements can differ materially. The best way to check is to submit a short enquiry so we can match you to the right partners.

Free Eligibility Check

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How to apply via UK Business Loans — step by step

1. Complete a short enquiry (2 minutes) — basic business details, turnover band, years trading, amount required and purpose. Start your enquiry.
2. We match you — we identify 2–4 lenders/brokers suited to your needs and share your details with them (with your consent).
3. Initial contact — partner(s) contact you for further information and to provide an indicative quote; initial contact often within hours during business days.
4. Indicative terms — interest margins, fees, security requirements and covenants outlined for comparison.
5. Formal application — you choose a partner to proceed; they carry out full due diligence, legal checks and final credit assessment.
6. Drawdown and facility management — once accepted, funds can be drawn and the facility managed via agreed terms.

Timescales: initial contact is frequently within hours; indicative quotes in days; full approvals can take days–weeks depending on complexity and security/legal work.

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Typical costs, pricing and terms (what to expect)

Costs vary significantly by provider and risk profile. Typical elements you may see include:

• Interest charged on amounts drawn — variable margin over base or reference rate.
• Arrangement or facility fees — one-off or annual.
• Renewal or commitment fees for keeping the facility open.
• Legal costs if security is required (charges, debentures).
• Possible covenants (financial ratios, reporting requirements) attached to terms.

Because pricing depends on your business specifics, comparing offers is vital — submit an enquiry to receive tailored, comparable quotes from multiple partners.

Compare live quotes — Free Eligibility Check

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Documents lenders usually ask for

• Business bank statements (typically 3–12 months)
• Latest management accounts and VAT returns (if applicable)
• Proof of identity and address for company owners/directors
• Cashflow forecast and explanation of funding purpose
• Details of existing loans/leases and security documents

You can upload documents to lenders/brokers after initial contact — the enquiry only needs basic information to get started.

Get Quote — Upload Documents Later

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Risks, covenants and responsible borrowing

Revolving facilities are powerful but carry responsibilities. Things to watch for:

• Covenants: financial tests (e.g., interest cover, asset ratios) you must meet — breaches can lead to default.
• Security: some facilities require fixed or floating charges or personal guarantees which can place personal assets at risk.
• Rolling risk: some lenders review and can reduce or withdraw facilities at renewal.
• Cost drift: fees and margins can change at renewal or with deteriorating credit.

Always read terms carefully and discuss implications with the broker or lender you choose. UK Business Loans introduces you to partners who provide the full terms and can explain suitability — we do not provide financial advice.

Free Eligibility Check

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Real examples — how businesses used revolving facilities

Case A — Seasonal retailer: a regional retailer used a revolving facility to buy additional summer stock, drawing funds for purchases and repaying as sales converted; the facility reduced lost sales during peak season.

Case B — Contractor: a mid‑sized contractor used a revolving limit to cover materials and labour between staged payments; invoice receipts were used to repay and reuse the facility for the next project.

Get Matched With Lenders

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Frequently asked questions

Can UK Business Loans arrange a revolving credit facility directly?

No. UK Business Loans is an introducer — we match your enquiry to lenders and brokers who can offer revolving facilities and working capital solutions.

How quickly will I get an initial quote?

Many partners contact you within hours; indicative quotes often arrive within days. Full offers depend on due diligence and legal checks.

Will applying through UK Business Loans affect my credit score?

Submitting an enquiry does not affect your credit score. Lenders or brokers may perform credit checks later if you apply.

What size of facility can I apply for?

We handle enquiries for facilities starting around £10,000 and up. Larger facilities are possible depending on lender appetite and business strength.

Do I always need to provide security or personal guarantees?

Not always. Some lenders offer unsecured facilities for smaller limits, but many larger or lower‑credit facilities will require security or guarantees.

Still have questions? Get a Free Eligibility Check

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Ready to see if you can get a revolving facility?

Start with a short, free and non‑binding enquiry. We’ll match your business to lenders and brokers who can provide relevant quotes for revolving working capital. There’s no cost to you and submitting an enquiry will not affect your credit file.

Get a Free Quote / Free Eligibility Check

UK Business Loans is an introducer and is not a lender. We do not give regulated financial advice. Submitting an enquiry is free and non‑binding.

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Internal links & related resources

• Business Loans UK
• Invoice Finance
• Asset Finance
• How it Works
• cashflow loans
• Privacy Policy
• Terms & Conditions

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1. What is a revolving credit facility for working capital and how does it work?
A revolving credit facility is an agreed borrowing limit your business can draw, repay and redraw against as needed, paying interest only on amounts used to manage ongoing cashflow needs.

2. Can UK Business Loans get me a revolving working capital facility?
Yes — UK Business Loans is an introducer that matches your enquiry with lenders and brokers who can offer revolving facilities, but we do not lend directly or provide regulated financial advice.

3. Will submitting an enquiry through UK Business Loans affect my credit score?
No — completing the short enquiry is free and non‑binding and does not impact your credit file, although lenders may run credit checks later if you formally apply.

4. How quickly can I expect initial contact or an indicative quote?
Many partners contact you within hours and provide indicative quotes within days, with full approvals taking days to weeks depending on due diligence and any legal/security work.

5. What size of facility can I apply for and is there a minimum?
Facilities we handle typically start around £10,000 and can scale significantly higher depending on lender appetite and your business financials.

6. Do revolving facilities always require security or personal guarantees?
Not always — smaller facilities may be unsecured, but larger or higher‑risk facilities commonly require security (debenture, fixed charge) and sometimes personal guarantees.

7. How do revolving credit facilities differ from overdrafts, invoice finance and term loans?
Revolving facilities offer flexible draw/repay/redraw capacity with interest on amounts used, whereas overdrafts can be withdrawn by the bank, invoice finance is tied to receivables, and term loans are fixed lump sums repaid on a set schedule.

8. What typical costs and fees should I expect with a revolving facility?
Expect interest charged on drawn amounts (often a margin over a base rate), plus possible arrangement, commitment or renewal fees and legal costs if security is required.

9. What documents do lenders usually ask for when applying for a revolving facility?
Lenders typically request business bank statements (3–12 months), management accounts, VAT returns (if applicable), ID for owners/directors, a cashflow forecast and details of existing borrowing.

10. Am I likely to be eligible if my business is young or has imperfect credit?
Some specialist lenders or brokers in our network will consider startups or businesses with past credit issues, but eligibility, pricing and security requirements vary so a short enquiry is the best way to find suitable partners.