Education

What are instant business loans?

Created on 15 Dec 2020
Updated on 9 Jun 2020

Sometimes, waiting days or even weeks to secure a business loan isn’t a viable option. Every business experiences turbulent times, and having enough capital to keep afloat in the midst of a crisis is critical.

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Fortunately, there are plenty of options out there for businesses requiring fast finance. Most come in the form of instant business loans, or rather — “fast” business loans.

Is there such a thing as an instant business loan?

Actually, no. 

In the majority of cases, the “instant” in “instant loans” refers to the practice of lending the funds to the borrower as soon as the loan is approved, as opposed to as soon as the application is received

And since all business loans need to go through a robust approval process, no loan can be dispensed instantaneously. 

For other lenders, “instant” might mean their ability to provide an instant quote based on the initial information the borrower provides. Similarly, the funds won’t be transferred straight away; it will depend on the individual lender’s approval time which can vary. 

It’s all a matter of semantics.

Be wary of unlawful or fraudulent lenders who claim to provide genuine “on the spot” loans. Check any lender’s legitimacy before you apply and to understand the terms and conditions you’re signing up to. Funding Options only matches businesses with legitimate finance providers.

Funding Options has been chosen by the government-owned British Business Bank to help businesses find finance when they’re unsuccessful with the major banks. 

While there’s no such thing as an instant loan, there are things you can do to help you get approved for a loan very quickly. And we really do mean quickly.

As a matter of fact, Funding Options’ record for helping a customer get approved for a business loan is three minutes. We regularly secure companies the right loan within an hour, from first enquiry to money in the bank. 

Here are a few things you can do to speed up the process.

1. Check the lender’s eligibility requirements 

Different lenders have different eligibility requirements that you’ll have to meet in order to qualify. Checking the eligibility before applying speeds up the process and helps prevent unnecessary setbacks further down the line.  

Fortunately, platforms like Funding Options only match you with business loans you’re eligible for, saving you hours of research time. Ready to give it a go?

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2. Keep your accounts up to date

As well as being good practice anyway, keeping your accounts in good order will make for a quicker, more pain-free loan application process. Lenders will need to see a good overview of how your business is performing, including how it’s doing now.

3. Read borrower feedback

Take a look at lender reviews to see if other borrowers have experienced a particularly slow service when applying for a small business loan.

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4. Get your bank statements ready

The speed at which you can compile all the documentation needed to complete your application will play a part in how long it’ll take you to receive business finance. 

Have bank statements, recently filed accounts and financials like profit and loss to hand. 

For more information, speak to the Funding Options team on 0333 344 1015.

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Joe Morley
Joe Morley

Business Finance Lead

Joe has been helping UK businesses secure the funding they need since 2015. Over the years, he’s supported hundreds of SMEs in accessing millions of pounds for everything from purchasing essential assets to unlocking working capital for day-to-day operations. As Head of Sales at Funding Options, Joe leads a large team of expert Business Finance Specialists dedicated to finding the right solution for every customer. His goal is simple - to make securing finance straightforward, stress free, and tailored to each business’s needs.

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Disclaimer:

Funding Options helps UK firms access business finance, working directly with businesses and their trusted advisors. We are a credit broker and do not provide loans ourselves. All finance and quotes are subject to status and income. Applicants must be aged 18 and over and terms and conditions apply. Guarantees and Indemnities may be required. Funding Options can introduce applicants to a number of providers based on the applicants' circumstances and creditworthiness. We are also able to make insurance introductions. Funding Options will receive a commission or finder’s fee for effecting such finance and insurance introductions.

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