Questions, answered.
The questions UK business owners ask us most often, grouped by topic. Cannot find what you need? Call us on 01234 240 155 - 8am to 6pm, seven days a week.
Applying for a loan
What it takes to apply, what we ask for and how long the process runs.
Do you offer business loans?+
Yes, our business loans are available to Limited Companies and to anyone wanting to start a company.
How long does it take to get approved?+
Our process is extremely quick and in most cases company loans can be agreed within 4 working hours, meaning you do not have to wait long periods of time for a decision.
Will applying affect my credit file?+
All of our searches are offline and they will not affect your credit file.
What company information do you need?+
In some instances the information we require can be obtained through the searches we do or via Companies House if you are a Limited Company. In other cases three months up to date business bank statements, a personal statement of net worth for each person involved is required and general information about the business and affordability checks.
Please remember, we can only lend to limited companies so you will need to have set up and registered your company before we can finalise any advance.
Can I save my application and come back later?+
Yes - we hold your details for up to 30 days after you start an application. Your account manager can also take the application by phone if that's easier, with you completing the form afterwards.
Who is the application with?+
Directly with Nationwide Finance Ltd. There is no broker, panel or third-party lender between you and the underwriter.
Who can apply
Eligibility rules, sector preferences and what we do when credit history is not perfect.
Does my business qualify for a business loan?+
If you are a Start Up Business, please see our Start Up page. To be eligible for our business loans your business needs to be registered as a limited company, or you will need to incorporate for us to consider your business for funding.
If you haven't started your business yet, that's no problem - we can guide you through the process and help you incorporate, so you can move straight from idea to funded.
Do you lend to start-ups?+
Yes. We have a specialist team that funds new and pre-revenue limited companies from day one of trading. See our Start-Up Loans page for details.
Do you lend to sole traders or partnerships?+
No. We only lend to incorporated businesses. If you trade as a sole trader - or haven't started a business yet - you would need to incorporate first. We can guide you through the process and help you set up, so you can move straight from idea to funded.
What credit scores do you accept?+
We do not work to a fixed cut-off. We assess the business and the security as a whole, not just a credit score. Past credit issues do not automatically disqualify you - many of the businesses we fund have had bumps along the way. It is worth talking to us first.
What about CCJs or previous defaults?+
We will still look at the application. We need to understand what happened, whether it has been settled and what the business has done since. Each case is reviewed by a human underwriter, not a scorecard.
Is there a minimum trading time?+
No. We fund pre-revenue start-ups through to businesses with decades of trading. The application asks about your plan or trading history, not how long you have been incorporated.
What sectors do you lend to?+
Most B2B sectors: construction, manufacturing, hospitality, professional services, retail, transport, healthcare, technology and more. We do not offer consumer credit or regulated residential mortgages.
Rates and fees
What you pay, what you do not and how our pricing compares to broker-led routes.
Do you charge broker fees?+
No, we are a direct lender.
What rate will I get?+
Rates depend on the business, the loan amount, the term and the security available. We quote a personalised rate after a short conversation; nothing is hidden behind a generic 'rates from' headline.
Are there hidden costs?+
No. The offer letter lists every charge in plain English. If a cost is not on the offer it is not in the agreement.
How does the rate compare to a high-street bank?+
Broadly competitive on like-for-like deals, often faster and more flexible. Where a bank says no, we will frequently say yes - we look at the business in the round rather than ticking boxes.
Repayment and settlement
How payments work, whether you can settle early and what happens if cashflow tightens.
How are repayments collected?+
Fixed monthly payments by Direct Debit on a date agreed when you sign. The figure does not change for the term of the loan.
Can I settle my agreement early? Are there any penalties?+
Yes, you can settle the agreement early and there are no additional penalties for doing so. The settlement calculation is simple: all the contractual payments that would have fallen due are added together and a discount of 10% off the future interest element is applied, and this will form the settlement figure.
How long can the loan be over?+
From 12 months to 6 years.
What happens if I miss a monthly payment?+
Whilst we are confident that our customers will maintain the payments which fall due against their Loan agreement, it is important for all signatories to be aware of the steps we may need to take in the event of a missed payment or default.
Should a monthly payment not be received by Direct Debit on its due date, we will contact all guarantors to the agreement to advise of the missed payment. In addition, we will seek payment of the missed payment.
A fee of £95+VAT will be charged for each direct debit that may be dishonoured, stopped or unpaid in any way.
What date of the month do you collect the monthly payments?+
We only collect Direct Debits on the 14th or the 28th of each month. Your monthly payment date will be set by us and cannot be changed.
Due to how we are externally funded and our strict external funding covenant, we cannot offer payment holidays or payment breaks. You must have a Direct Debit in place; without one, your agreement will be terminated.
What happens if I dissolve the company I have the loan agreement in, or have any insolvency action issued?+
If you are made bankrupt, liquidated or wound up, or have a winding up petition or dissolution issued, or if an administrator or receiver is appointed, your agreement will be terminated and the balance will be due.
Can I extend the term?+
We will look at restructuring options for customers in good standing. The earlier you talk to us, the more flexibility we have.
Can I top up the loan?+
Existing customers in good standing can usually take a separate top-up loan without re-applying from scratch. Speak to your account manager.
Security and guarantees
What security we may ask for and how property security works.
What security will you require?+
You will be required to give personal and/or corporate guarantee(s) to support the Agreement with your company, and you may be asked to provide a guarantor to guarantee your business's liabilities.
In addition, dependent on agreement, amount borrowed and credit status, the lender will require a unilateral notice or Legal Charge over your residential property and/or business property and/or any guarantor's residential or business property. A fixed and floating charge over the assets of your company or any corporate guarantor (a "debenture") will also be required.
You will be charged a security fee of 10% to remove the security once the agreement is finished.
Unsecured options are available to listed companies, FTSE 250 companies, charities, non-profits, CICs and other associations.
Do you lend against property?+
Yes. We accept residential and commercial property as security for a business loan. This is how a lot of our larger facilities are structured - you remain the owner; we register a charge against the property.
Are my personal assets at risk?+
Only to the extent of any security or undertaking you have signed. We never enforce lightly - it is a last resort if the business has failed to repay and we have exhausted business-level routes first. We will always talk to you long before we get there.
Existing customer admin
How to manage your loan day-to-day: settlements, statements, payment changes and account access.
How do I get a settlement figure?+
Email customerservices@nationwidefinance.co.uk with your company name and loan reference, or call 01234 240 155 and ask for customer services. Most settlement figures are issued within one working day.
How do I update my payment details?+
For security we change Direct Debit details by phone with the named director, or by email to customerservices@nationwidefinance.co.uk. Call 01234 240 155 - the change is confirmed during the same call.
How do I request a statement?+
Statements are issued annually by post and on request. Email customerservices@nationwidefinance.co.uk at any time and we'll send a current statement within one working day.
What if my business is in difficulty?+
Talk to us early, we will always try to help you and come up with a plan. The earlier you call, the more options we have.
Who do I speak to about my loan?+
Your named account manager from drawdown is your day-to-day contact. If you cannot reach them, call 01234 240 155 and any adviser can pull up your file.
Ready to apply?
If your question is not in the list, call us.