Are hotel owners charged any fees to use UK Business Loans?

Short answer (summary): No — hotel owners are not charged to use UK Business Loans. Submitting our quick enquiry is free and not an application; we introduce your business to lenders and brokers who may propose finance products that can include their own fees (arrangement fees, broker fees, legal or valuation costs, interest, etc.). We are an introducer (not a lender) and we receive payment from lenders/brokers when a business completes the enquiry, so you never pay UK Business Loans directly. Start a Free Eligibility Check to compare options.

Get Quote Now — Free Eligibility Check (takes 2 minutes | no obligation)

---

---

Immediate answer: Are hotel owners charged?

No. Using UK Business Loans to be matched with potential lenders and brokers is free for hotel owners. The enquiry form you complete is an introduction tool — not a formal loan application — and it costs you nothing to submit. Our platform connects hotels, B&Bs and hospitality businesses with finance providers who understand the sector. If a lender or broker charges you any fees for a loan product or advisory service, those fees will come from the lender or broker and will be disclosed to you by them in writing.

Want a fast comparison? Get Quote Now — Free Eligibility Check.

How UK Business Loans works for hotel owners

We act as a bridge between businesses and finance providers. The process is simple and designed for busy hotel owners.

1. Complete a short enquiry — tell us about your business, the amount you need (we typically help from £10,000 and upwards), and the purpose (refurbishment, expansion, seasonal cashflow, refinance).
2. We match you — we share relevant details with lenders and brokers in our panel who specialise in hotels & hospitality so you get targeted responses, not generic offers.
3. Receive quotes — lenders or brokers contact you directly with product options and full cost breakdowns.
4. You decide — you can take quotes, ask for clarifications, or decline. There’s no obligation to proceed.

Start your enquiry: Free Eligibility Check.

Our fee model: who pays UK Business Loans?

Transparency matters. Here’s how we get paid and what that means for you as a hotel owner.

• We do not charge hotel owners. There is no fee to use this website, to submit an enquiry, or to be introduced to lenders and brokers.
• How we make money: our income comes from lenders and brokers who pay us an introducer or lead fee after a business completes the enquiry and progresses with them. This is normal in the introducer/lead-gen industry and does not create a direct charge to you from UK Business Loans.
• That fee does not automatically change the price of a product, but always confirm costs with the lender/broker — they must disclose fees and charges connected to the loan or service.

If you want lenders experienced in hospitality, see our hotels sector page for details on specialist products and partners: hotels business loans.

Fees you might see from lenders or brokers

Although UK Business Loans charges nothing, lenders and brokers may apply fees depending on the product and service.

Typical charges you may encounter:

• Arrangement fee: a one-off fee charged by some lenders or brokers to set up the loan (often shown as 1–3% or a flat amount).
• Broker fee: a broker may charge you a fee for arranging the deal; sometimes this is paid by the lender instead — always confirm who pays and the exact amount.
• Legal, valuation and survey fees: property-backed loans commonly require valuations and legal work which may be payable by you up front or deducted from proceeds.
• Interest and product fees: the ongoing cost of the loan — interest rate, arrangement of fixed/variable rates, and other product-specific charges.
• Early repayment charges: penalties for repaying a loan before an agreed term.

Each product is different. Always request a written quote showing a full breakdown of fees, total cost of credit and any contingent liabilities (personal guarantees, security over property).

Common fee types explained

• Arrangement fee: Often expressed as a percentage of the loan. Example — a £200,000 loan with a 1% arrangement fee = £2,000. Sometimes rolled into the loan balance; other times payable upfront.
• Broker fee: Could be a flat fee (e.g. £1,200) or percentage. Clarify whether it is refundable if the loan does not complete.
• Valuation and survey: cost depends on property size and complexity; typical hotel valuations can be several hundred to a few thousand pounds.
• Legal fees: solicitor costs for security documents — ask for estimates early.
• Early repayment charge (ERC): often a percentage of remaining balance or a set number of months’ interest.

Need a clear fee comparison? Get a Free Eligibility Check and ask brokers to show total fees side‑by‑side.

When and how fees are disclosed

Good practice and regulatory expectations (for providers subject to them) require that lenders and brokers disclose fees early in the process — ideally in writing with a full breakdown before you sign. Practical steps:

• Ask for a written quote showing arrangement, broker, legal, valuation and any other fees.
• Request the Total Cost of Credit (annual and over life of loan) and example monthly repayments.
• Clarify whether fees are payable up front or are taken from the loan.
• Check what happens if the loan is declined or you decide not to proceed — are fees refundable?

How hotel owners can protect themselves — a quick checklist

Before you sign any finance agreement for your hotel:

• Get at least two written quotes and compare Total Cost of Credit, not just headline rates.
• Ask for a full fee schedule and who pays each fee.
• Confirm whether any personal guarantees or charges on property are required and consider legal advice.
• Consider your seasonality — will repayments match lower months?
• Negotiate arrangement or broker fees where possible; some lenders will waive fees for stronger credit profiles.
• Keep copies of all documentation and insist on clarity around refunds if a deal does not complete.

Use our network to compare specialist hospitality lenders quickly: Start your Free Eligibility Check.

Real examples (anonymised)

Example 1 — Small coastal B&B refurbishment (approx. £75,000): broker charged a one-off arrangement fee of £1,200 (clearly itemised in the broker’s quote); lender required a valuation costing £450 (paid upfront). The business chose a product with a modest arrangement fee to preserve cashflow.

Example 2 — 30-room hotel expansion (£600,000): lender offered a no-arrangement-fee facility but the interest rate was slightly higher; after comparing Total Cost of Credit the owner opted for the no-fee product because it matched their cashflow profile.

Lesson: upfront fees are only part of the story — compare overall costs.

Frequently asked questions

Is there any cost to use UK Business Loans?

No — it is free to submit an enquiry and be introduced to lenders and brokers. We only receive payment from the lender/broker after an enquiry has been completed and the two parties progress.

Will submitting an enquiry affect my credit score?

No — completing our enquiry is an introduction only and does not trigger a credit check. Lenders may carry out credit checks later if you formally apply for a product.

Can brokers still charge me?

Yes — some brokers charge clients a fee for arranging finance, or a lender may apply fees. These must be disclosed by the broker or lender in their written quote.

What loan sizes do you support?

We typically help businesses seeking from £10,000 and above. If your requirement is lower, check product availability with the partners you are introduced to.

Will UK Business Loans recommend the cheapest lender?

We introduce you to lenders and brokers who match your needs and sector. It’s best to compare quotes, terms and total cost — cheapest headline rate may not be the lowest overall cost.

Ready to get a clear fee comparison for your hotel?

Complete a short, no‑obligation enquiry and we’ll match your hotel with lenders and brokers who specialise in hospitality finance. It takes under 2 minutes and will not affect your credit score. Get Quote Now — Free Eligibility Check.

Disclaimer: UK Business Loans is an introducer and does not lend money or provide regulated financial advice. We connect businesses with lenders and brokers so owners can compare finance options. All fees charged by lenders or brokers will be disclosed by them in their quotes.

---

1. Are hotel owners charged any fees to use UK Business Loans?
No — hotel owners pay nothing to submit an enquiry or be introduced to lenders and brokers; we are paid by lenders/brokers after a successful introduction.

2. Will submitting an enquiry affect my credit score?
No — completing our enquiry is an introduction only and does not trigger a credit check (lenders may check credit later if you formally apply).

3. How quickly will I receive responses from lenders or brokers?
Most businesses receive contact within hours of submitting the short enquiry, though exact timings depend on lender/broker availability.

4. What loan amounts can I apply for through UK Business Loans?
Our network supports loans from around £10,000 up to multi‑million pound facilities, depending on your needs and the lender.

5. Can I get finance specifically for hotels, B&Bs or hospitality businesses?
Yes — we match hotels and hospitality businesses with specialist lenders and brokers for refurbishment, expansion, seasonal cashflow and refinance.

6. Do lenders or brokers charge fees and what types should I expect?
Yes — lenders/brokers may charge arrangement fees, broker fees, valuation, legal costs, interest and early repayment charges, all of which should be disclosed in writing.

7. Are the lenders and brokers on your panel regulated and reputable?
Yes — we work with reputable lenders and FCA‑regulated brokers who are expected to follow consumer protection standards.

8. What information do I need to start a Free Eligibility Check?
You’ll need basic business and contact details, the amount and purpose of funding, and a brief outline of your financial position to complete the quick form.

9. Can start‑ups or businesses with poor credit find loans via UK Business Loans?
Yes — some partners specialise in start‑ups and businesses with imperfect credit histories, although options and terms will vary by lender.

10. Is UK Business Loans a lender or does it provide regulated financial advice?
No — we are an introducer that connects you with lenders and brokers and do not lend money or provide regulated financial advice.