Quick summary

You may be able to obtain an unsecured working capital loan for your farm, but approval depends on the lender’s appetite and your farm’s financial profile. Lenders typically prefer security for agricultural lending, yet specialist lenders and brokers will sometimes provide unsecured facilities to farms with consistent turnover, good management accounts and clear repayment plans. UK Business Loans can match you, free and without obligation, to brokers and lenders who understand farming — get a Free Eligibility Check to find out what you may qualify for.

Important: UK Business Loans is not a lender and does not give regulated financial advice. The enquiry form is for matching purposes only and is not an application for credit.

What is an unsecured working capital loan?

An unsecured working capital loan is funding provided to cover short-term operational needs without a formal charge over land, buildings or major equipment. For farms this commonly covers seasonal cashflow gaps, feed and fertiliser purchases, staff wages, short-term repairs or bridging income between sales.

Because there is no fixed security for the lender, unsecured facilities usually carry higher interest rates and stricter affordability checks than secured loans. Terms tend to be shorter and lenders place more emphasis on cashflow, turnover and repayment plans.

Can farms get unsecured working capital loans?

Yes — in certain situations. Many mainstream agricultural lenders prefer secured lending (land, property or heavy equipment). But specialist business lenders and finance brokers can and do consider unsecured working capital for farms where the risk looks manageable.

Typical factors that increase the chance of an unsecured offer:

• Consistent annual turnover and demonstrable seasonal cashflow patterns.
• Clear, up-to-date management accounts and bank statements.
• Strong trading relationships (supply contracts, offtake agreements) or forward sales.
• Good or explainable credit history for the company and directors.
• Reasonable loan size relative to turnover — large sums are more likely to require security.
• A clear use of funds and repayment plan tied to farm cashflow (e.g., crop sales).

Farm types more likely to secure unsecured facilities include diversified farms with non-seasonal income streams, food processors, successful dairy or arable farms with reliable cashflow, and agricultural businesses with strong commercial contracts.

When unsecured is unlikely: large capital amounts, recent trading losses, limited or no trading history, or very weak credit profiles. In those cases lenders will request land or equipment as security or will suggest alternative finance types.

Free Eligibility Check — start your enquiry and we’ll match you to specialists who understand farm cashflow.

How UK Business Loans helps farms find unsecured working capital

We act as a fast introducer. Here’s how our process works for farms:

1. Complete the short enquiry form (takes about 2 minutes) with basic business and funding details.
2. We assess the information and match your farm to lenders and brokers in our network who are likely to consider unsecured working capital.
3. Matched partners contact you with an eligibility view, indicative terms or a request for further documents.
4. You compare options and choose which provider to work with directly.

Benefits: you save time, increase the chance of a suitable match, and receive multiple perspectives without filling dozens of separate forms. The enquiry is free and carries no obligation — it’s information to help us match you.

Get Quote Now — submit your details and a specialist will be in touch.

Typical loan sizes, terms and costs for unsecured farm working capital

Illustrative ranges (subject to lender): unsecured business loans for farming needs commonly start around £10,000 and can extend to several hundred thousand pounds depending on turnover and risk. UK Business Loans typically helps arrange facilities from around £10k and upwards.

Common features:

• Loan sizes: commonly £10,000 to £250,000+ (depending on lender and farm profile).
• Terms: usually short- to medium-term (3–36 months), sometimes revolving overdraft-style or invoice-backed lines.
• Costs: higher interest and fees than secured loans; APRs and flat fees vary widely by lender and risk profile.

Always ask any lender for an APR example, total cost of credit, and any arrangement or exit fees before agreeing a deal.

Need a quick quote? Submit your enquiry for tailored options and indicative pricing.

Eligibility checklist — what lenders typically ask for

Prepare the following to speed up the review:

• Minimum two years’ trading history where possible (some lenders accept less for established directors).
• Annual turnover and recent management accounts.
• Business bank statements (3–6 months).
• Clear explanation of use of funds and repayment source (e.g., harvest income).
• Company and director credit history details; explanation of any adverse items.
• Existing facilities and monthly outgoings.

Tips to improve chances: prepare a simple cashflow forecast, highlight any forward contracts or expected sales, and be ready to explain seasonal peaks and troughs.

Documents you’ll likely need

• Recent management accounts or statutory accounts (2 years if available).
• Business bank statements (3–6 months).
• Photo ID and proof of address for directors.
• VAT returns (if applicable) and tax references.
• Farm business plan or short note on how funds will be used and repaid.
• Copies of supply contracts or invoices where relevant.

Alternatives to unsecured working capital for farms

If unsecured lending isn’t available on suitable terms, consider:

• Secured business loans: lower rates using land, buildings or equipment as collateral.
• Asset finance: machinery hire purchase or leasing to spread cost of equipment.
• Invoice finance: unlock cash from unpaid invoices if you trade on invoices.
• Overdrafts or revolving facilities: bank overdrafts for flexible short-term needs.
• Supplier credit or seasonal purchase terms: negotiate longer payment terms with suppliers.

Not sure which is right? Get Started — Free Eligibility Check and we’ll match you with brokers who can advise on the best route for your farm.

Risks, protections and compliance

Understand these important points before borrowing unsecured:

• Higher borrowing cost: unsecured lending usually carries a higher rate and additional fees.
• Personal guarantees: some lenders may still ask for director personal guarantees even on unsecured facilities.
• Default consequences: missed payments can lead to debt recovery, CCJs and difficulty accessing future lending.
• Read the small print: request APR and total cost of credit examples before accepting an offer.

UK Business Loans is an introducer only — we do not lend or give regulated financial advice. Any lender or broker you meet will be responsible for their own terms and compliance. Submitting an enquiry is not an application for credit.

How to apply via UK Business Loans — step-by-step & timeline

1. Click Get Quote Now and complete the short enquiry form (≈2 minutes).
2. We match your details to appropriate lenders and brokers who specialise in agricultural finance.
3. Expect contact from matched partners within hours or up to 2 working days.
4. Provide requested documents, review offers, then decide which lender/broker to proceed with.

Microcopy: By submitting your form you consent to your details being shared with selected lenders and brokers for the purpose of providing finance quotes. No obligation. See our privacy policy.

Frequently asked questions

Can I get an unsecured farm loan with poor credit?

Adverse credit makes unsecured borrowing harder and more expensive. Some brokers specialise in adverse-credit cases and may find a suitable lender, but expect higher costs and stricter terms. Be transparent about past issues and provide supporting documents.

Will applying affect my credit score?

Submitting the enquiry form does not affect your credit score. Individual lenders may carry out soft or hard credit checks later; they will advise you before doing so.

How quickly will I get funds?

Timescales vary. If approved, unsecured working capital can sometimes be provided within days to a few weeks depending on lender checks and the complexity of underwriting.

What can I use working capital for on my farm?

Typical uses include feed and fertiliser purchases, wage bills, emergency repairs, seasonal stock, or bridging between harvest sales.

Do I have to provide security or a personal guarantee?

Unsecured means lenders will not take a fixed charge over land or machinery, but some may still ask for a personal guarantee or other forms of security depending on risk.

Is UK Business Loans a lender?

No. We introduce farm businesses to lenders and brokers who contact you with offers. Our service is free and no obligation.

Ready to check your eligibility?

You may be able to secure unsecured working capital for your farm — the fastest way to find out is to compare options. Complete our short form and we’ll match you to lenders and brokers who understand agricultural cashflow.

Get Quote Now — Free Eligibility Check

UK Business Loans is an introducer and does not provide regulated financial advice or lend money. Submitting your enquiry is not an application for credit.

Related resources

• Further reading: find general sector guides on farming finance and cashflow planning in our resources.
• Note on specialist support: if your business operates within agriculture, you may also find sector-specific guidance and loan types on our farming information page for farming loans.