Unsecured pub loans — can you get a pub loan with no property as collateral?

Need cash for a refit, stock, repairs or working capital but don’t want to put your freehold or leasehold up as security? Short answer: yes — unsecured pub loans without a formal charge on property do exist, but they come with limits, higher cost and alternative security expectations (for example personal guarantees or asset-based charges). Read on for the full picture, typical terms, who lends, practical alternatives and how UK Business Loans can match your pub to the best brokers and lenders for a free eligibility check.

Table of contents
– Quick answer (TL;DR) — jump straight to the key points
– What is an unsecured pub loan?
– Who lends unsecured finance to pubs?
– Typical loan sizes, terms, costs and security you should expect
– Eligibility checklist and documents to prepare
– Realistic alternatives where you won’t use property as collateral
– How UK Business Loans helps — our process (quick & free)
– Practical case examples
– FAQs — answering the exact questions you searched
– Next steps, CTA and compliance note

Quick answer (TL;DR)
– Are unsecured pub loans available without property as collateral? — Yes. Many lenders offer unsecured options (term loans, overdrafts, merchant cash advances) that do not take a legal charge on property.
– Can you get one without putting up property security? — Often yes, especially for smaller amounts or pubs with strong card takings and trading history, but costs and conditions will be stricter.
– Do any pub loans come fully unsecured? — Some do, but lenders commonly require personal guarantees or security over business assets (stock, equipment) instead of property.
– Typical sums and limits — unsecured lending usually starts around £10,000 and commonly goes up to £50k–£250k depending on turnover, lender and risk profile.
– How to proceed — complete a short enquiry for a Free Eligibility Check and we’ll match you to specialists who understand pubs. Start here: Free Eligibility Check

What is an unsecured pub loan?
An unsecured pub loan is business finance provided without a legal mortgage or charge over the pub’s property (freehold or leasehold). That doesn’t mean lenders take no form of protection — instead they rely on other tests of affordability and usually other security or covenants.

Common unsecured product types used by pubs:
– Unsecured term loans (fixed repayment period)
– Merchant cash advances / revenue-based advances (repaid as a percentage of card takings)
– Business overdrafts (revolving, short-term)
– Card finance and turnover-based facilities
– Specialist short-term or bridging products that avoid property charges

Note: “Unsecured” here means no formal charge on the property. Many lenders still request personal guarantees (PGs) or debentures on business assets.

Who can supply unsecured pub finance?
– High street banks: limited appetite for larger unsecured sums; more likely to provide overdrafts or small term loans to established accounts.
– Specialist hospitality lenders: lenders who understand seasonal takings, wet-led vs food-led operations and pub margins.
– Alternative / fintech lenders: quicker decisions, digital processes; usually higher cost for unsecured lending.
– Merchant cash advance providers: well-suited to pubs with strong card turnover; very fast but typically high-cost.
– Brokers and introducers: experienced brokers can match your pub to lenders with an appetite for unsecured lending and negotiate on terms.

If you’re unsure which route fits your pub, a specialist broker is often the fastest option — complete a Free Eligibility Check and we’ll match you to the right partners: Get Quote Now

Typical loan sizes, terms, costs and security expectations
What to expect in practice:
– Loan sizes: unsecured lending commonly starts at around £10,000 and often ranges to £50k–£250k. Some specialist lenders may consider higher amounts depending on turnover and trading metrics.
– Terms: usually short to medium term — from a few months up to 5 years is common for unsecured term loans.
– Rates & costs: unsecured products are typically priced higher than secured loans. Examples (indicative only): mid-teens APR for well-priced unsecured term loans for established operations; merchant cash advances and high-risk short-term products can cost considerably more (sometimes 30–40%+ APR equivalent). Arrangement fees, early repayment charges and servicing fees may also apply.
– Security expectations when there is no property charge:
– Personal guarantees from directors
– Debentures or charges over business assets (stock, equipment)
– Assignment of card income or receivables (common with merchant advances)
– Officer’s or director’s covenants and trading performance tests

Important: exact terms depend on the lender and your pub’s trading performance. This page gives general guidance — it is not a loan offer or regulated advice.

Eligibility checklist — what lenders will typically want to see
Preparing these documents improves response time and increases the chance of competitive offers:
– Trading history: many lenders require at least 6–12 months’ trading; better terms often require 2+ years.
– Monthly turnover: evidence via bank statements and EPOS/card terminal reports.
– Bank statements: typically 3–12 months (business account).
– Financials: latest P&L and management accounts, VAT returns where applicable.
– Lease or tenancy details: rent, landlord consents, lease length.
– ID documents: director ID and proof of address.
– Business plan or clear use of funds: especially for larger or refurbishment loans.
– Credit history: director and business credit checks.

Note: We organise finance from around £10,000 upwards — if your requirement is in this range or more, get a tailored, no-obligation match by starting your enquiry: Get a Free Quote

Alternatives when you can’t (or don’t want to) use property as collateral
If you prefer not to use property security, several workable alternatives exist for pubs — each with pros and cons:

1) Asset finance / hire purchase
– What it funds: kegs, walk-in fridges, kitchen/bar equipment.
– Pros: secured against the new equipment (not property); preserves capital.
– Cons: tied to the asset; may require deposit.

2) Merchant cash advance (MCA)
– What it funds: short-term cash for stock or emergency repairs repaid from card takings.
– Pros: very fast, repayment flexible with income.
– Cons: high cost; daily/weekly repayments reduce cashflow.

3) Invoice or debtor finance
– What it funds: working capital when you invoice other businesses (less common for retail-focused pubs).
– Pros: quick liquidity based on invoices.
– Cons: not suitable if most revenue is card takings.

4) Stock/stock lending
– What it funds: purchases of beer, wine and consumables secured by inventory.
– Pros: doesn’t touch property.
– Cons: lender monitors stock; suitability depends on margin and storage.

5) Leasing
– What it funds: equipment or vehicle lease rather than buying.
– Pros: preserves cashflow; off-balance options possible.
– Cons: ongoing contract costs.

6) Short-term unsecured overdraft or business loan
– Pros: flexible; no property charge.
– Cons: lower limits, interest and stricter conditions.

If you’re unsure which option suits your pub best, complete our 2‑minute enquiry and we’ll match you to specialists who understand hospitality finance: Free Eligibility Check

How UK Business Loans helps — simple, fast, no obligation
We don’t lend. We match your pub with lenders and brokers who specialise in hospitality finance.
How it works:
1. Complete a short enquiry (under 2 minutes) — this is not a credit application.
2. We assess your needs and match you to lenders/brokers with the right appetite.
3. Lenders/brokers contact you directly with offers and next steps.
4. Compare offers and choose what suits you — no obligation.

Submitting an enquiry does not affect your credit score. For a quick start, use our short form: Get Quote Now

Practical case examples
Example A — Refurbishment, no freehold available
A tenanted village pub needed £35,000 for a bar refit. The operator had strong monthly card takings but no freehold. A specialist unsecured business loan (term loan) with a director personal guarantee and a charge on fixtures was arranged. Funding within two weeks allowed the refit to proceed; repayments structured to match improved post-refit takings.

Example B — Urgent repairs for a managed pub
A managed pub required £15,000 for boiler and cellar repairs. Turnover was seasonal but card takings steady. A merchant cash advance provided funds within 48 hours; cost was higher than a term loan but the speed saved the business from closure during winter months.

Frequently asked questions
Are unsecured pub loans available without property as collateral?
Yes. Unsecured term loans, overdrafts and merchant cash advances are commonly used by pubs where a property charge is not possible or desired.

Can you get an unsecured pub loan without putting up property security?
Often yes — but lenders will offset the higher risk with other protections such as personal guarantees, asset charges or turnover assignment.

Do any pub loans come unsecured, with no property security?
Yes — some lenders will offer fully unsecured loans, especially for smaller amounts and to operators with strong trading records. However, PGs and other covenants are frequently requested.

Are there pub loans that are unsecured and require no property collateral?
Yes, but expect trade-offs: higher rates, shorter terms or additional non-property security (PGs, stock/equipment charges).

Is it possible to obtain an unsecured pub loan without property collateral?
It is possible. Working with a broker who specialises in pubs increases your chances of finding suitable unsecured options quickly.

Will applying for a match affect my credit score?
Submitting an enquiry through UK Business Loans is not a loan application and does not affect your credit score. Lenders may perform credit checks later if you progress a full application.

How quickly can I get funds?
Timing varies: merchant cash advances can be within 24–72 hours; term loans typically take days to a few weeks depending on documentation and underwriting.

What if I’ve been refused before?
Different lenders have different appetites. A specialist broker may find alternative routes — complete our Free Eligibility Check to be matched to options that fit.

Want to explore options for your pub?
If you’d like a tailored match to specialist pub lenders and brokers, start a quick, no-obligation enquiry now: Get Quote Now

Related reading
For more sector-specific guidance see our pubs page on pubs business loans which explains lending options for pubs in more detail: pubs business loans

Final notes, legal and data handling
UK Business Loans is an introducer — we do not lend and we do not provide regulated financial advice. Any credit decision, terms and conditions are made by the lender. We organise finance from about £10,000 and above. We will only share your details with lenders and brokers relevant to your enquiry. Submitting the short enquiry does not affect your credit score and is free of charge.

Start your quick enquiry now and get matched to lenders who understand pubs: Free Eligibility Check

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— End of page content —1. Can I get an unsecured pub loan with no property as collateral? — Yes — many lenders offer unsecured pub loans (term loans, overdrafts, merchant cash advances) without a legal charge on freehold or leasehold, though alternative security and higher costs are common.

2. How much can I borrow with an unsecured pub loan? — Typical unsecured pub loan amounts start around £10,000 and commonly range up to £50k–£250k depending on turnover, trading history and lender appetite.

3. What rates and costs should I expect for unsecured pub finance? — Unsecured pub finance is usually pricier than secured lending, with well-priced term loans often in the mid‑teens APR and MCAs or high‑risk short‑term options sometimes equating to 30–40%+ APR including fees.

4. Will lenders ask for personal guarantees if I don’t want to put up property? — Yes — lenders frequently require director personal guarantees, debentures over business assets or assignment of card takings when no property charge is offered.

5. Which types of lenders will provide unsecured finance to pubs in the UK? — Options include high‑street banks for smaller facilities, specialist hospitality lenders, alternative fintech lenders, merchant cash advance providers and brokers who can match you to the right partner.

6. How quickly can I get funds from an unsecured pub loan? — Speed varies: merchant cash advances can deliver funds in 24–72 hours, whereas unsecured term loans typically take several days to a few weeks depending on documentation and underwriting.

7. Will applying via UK Business Loans affect my credit score? — No — submitting a free eligibility enquiry through UK Business Loans is not a formal application and does not affect your credit score, though lenders may run checks later if you progress.

8. What documents do lenders usually require for unsecured pub lending? — Expect to provide recent bank statements, EPOS/card reports, trading history (6–24 months), P&L/management accounts, lease or tenancy details, ID and a clear use‑of‑funds plan.

9. What are realistic alternatives if I won’t use property as collateral? — Common alternatives include asset finance/hire purchase, merchant cash advances, invoice or debtor finance, stock lending, leasing and short‑term unsecured overdrafts or loans.

10. How can UK Business Loans help me find the best unsecured pub finance? — UK Business Loans conducts a quick, free eligibility check to match your pub with specialist brokers and lenders who understand hospitality finance and can provide tailored, no‑obligation options.