Business loans for limited companies - Fund growth and manage cash flow
A business loan for limited companies provides fast working capital for LTDs - helping you manage cash flow, invest in growth, and cover one-off costs. Funding Options by Tide works with 80+ UK lenders and has helped 17,000+ businesses secure £1bn+.
Last updated: October 2025, edited by Joe Morley, reviewed by Vivek Seda
What it is and how it works
Key takeaways
Fast, flexible funding for UK Ltds, available as unsecured or secured finance to match your risk profile and goals.
Borrowing range: £1k–£20m (case dependent)
Speed: some lenders can fund in days once documents/underwriting complete
Security: unsecured or secured (property/assets; PG may apply)
Use cases: stock, hires, marketing, equipment, vehicles, expansion
What is a limited-company business loan?
A business loan is finance in your company’s name (not personal) used for working capital or investment. Options span term loans, revolving credit, invoice finance and asset-backed lending. The “right” product depends on amount, speed, security and preferred repayments.
With Funding Options by Tide, you complete one application and we match your Ltd to offers from 80+ UK lenders, so you can compare and choose.
Benefits for UK limited companies
Protect cash flow
spread costs via fixed repayments or flexible drawdowns
Accelerate growth
fund inventory, campaigns and hires without giving up equity
Lower cost potential
secured options may unlock larger amounts/lower rates
Match repayments to revenue
revolving and invoice products flex with seasonality
Save time
one application → multiple offers → choose and fund
How much can you borrow & typical terms
Borrow £1,000–£20,000,000 over 3–72 months (product-dependent).
Amounts: driven by turnover, affordability, sector and security
Terms: shorter for working capital; longer for assets/property
Repayments: fixed monthly, interest-only (some secured), or flexible via a revolving facility
Common use cases
bridging cash flow gaps caused by late payments or reduced trading
purchasing new equipment, vehicles, or inventory
hiring new staff or increasing marketing spend
investing in premises, renovations, or business development
consolidating existing business debt into one manageable payment
Costs & fees
Total cost varies by product type, risk, term and security.
Interest: fixed or variable; unsecured usually higher than secured
Fees: arrangement, valuation (secured), legal; early-repayment terms vary
Compare offers: check APRs, fees and total repayable before deciding
Important: This page provides general information, not financial advice. Eligibility and rates vary by lender and case.
Types of loans for limited companies
Unsecured business loan
No collateral required - based on your creditworthiness and turnover. Typically available to businesses with 12+ months of trading.
Secured business loan
Backed by an asset (e.g. property, equipment, or invoice ledger). Often lower rates and longer terms.
Short-term loan
Used to cover urgent or short-lived costs. Terms usually range from 3 to 18 months.
Merchant cash advance
Repay the loan using a percentage of card sales. Ideal for retail and hospitality businesses.
Revolving credit facility
Draw down funds when needed, repay, and re-borrow. A flexible alternative to a fixed-term loan.
Asset finance
Buy or lease equipment or vehicles over time. Spread the cost instead of paying upfront.
Eligibility & documents
What affects eligibility?
Lenders consider several factors when assessing a limited company loan:
company age: most lenders prefer 6-12 months of trading history
turnover: annual revenue helps determine borrowing limits
credit score: both business and director credit histories may be reviewed
financial health: profit margins, debt obligations, and cash flow stability
loan purpose: how and why the funds will be used
Documents
Director ID and proof of address
Recent business bank statements
Filed accounts or management information
VAT returns (if registered)
Details of existing borrowing and major contracts/invoices (where relevant)
Funding compared (at a glance)
Here's what to consider:
Product | Best for | Typical amounts | Security | Highlights | Considerations |
Unsecured loan | Fast working capital | £10k–£500k | PG common | Quick decisions; simple | Higher rates; PG risk |
Secured loan | Larger projects | £100k–£20m | Property/assets | Lower rates; bigger sums | Valuation/legal steps |
Revolving credit facility | Flexible drawdowns | £10k–£1m | Varies/PG | Pay interest on what you use | Variable costs; reviews |
Invoice finance | Debtor-funded cash flow | £25k–£5m | Invoices | Scales with sales | Fees per facility/invoice |
Asset finance (HP/finance lease) | Equipment/vehicles | £10k–£2m | Asset-backed | Spreads cost; preserves cash | Asset may be repossessed |
Trusted by over 17,000 customers
How does Funding Options work?
Tell us how much you need
We’ll ask a few questions about your business and the reason for your loan.
Get quotes instantly
Our smart technology will compare quotes from up to 80+ lenders to help you find the ideal business loan.
Apply for a Business Loan 🎉
We'll be there to guide you through every step of the process.
Why choose Funding Options by Tide?
Funding Options by Tide helps UK SMEs find fast, tailored business finance by connecting them with over 80 trusted lenders. Backed by Tide and FCA-regulated, the service is free and easy to use.
Compare 80+ UK lenders in minutes
We scan the market so you don’t have to, finding the right option for your business.
Trusted by 17,000+ UK businesses
From startups to established SMEs, we’ve already helped secure over £1bn in funding.
FCA-regulated and Tide-backed
We operate as a credit broker, not a lender, giving impartial access to multiple finance products.
Excellent customer experience
Our Trustpilot rating is 4.8 out of 5, based on 1,300+ independent reviews.
Personalised support
Our team can guide you through the process and help you choose the finance that fits your needs.
Estimate your costs today
If you're ready to take your business to the next level, use our business loans calculator to get an idea of what you can afford.
Want to understand the cost of your loan?
Use our business loan calculator below to find out how much you can borrow to take your business to the next level.
Calculations are indicative only and intended as a guide only. The figures calculated are not a statement of the actual repayments that will be charged on any actual loan and do not constitute a loan offer.
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Financial product information
Representative example*
• 9.7% APR Representative based on a loan of £50,000 repayable over 24 months.
• Monthly repayment of £2,291.56. The total amount payable is £54,997.44
*Some lenders may apply fees during the application process, please note that these are set and provided by these entities.
Annual Percentage Rates
Rates from 8.2% APR
Repayment period
1 month to 30 years terms
Want to know more about limited company loans?
How fast can I get funding?
Some lenders can fund within days once documents and due diligence are complete, but timelines vary by case and product.
Will applying affect my credit score?
Initial eligibility checks may be soft. A hard search usually occurs if you proceed with a specific lender.
Do I need a personal guarantee?
Often for unsecured loans; security on the loan can reduce or remove PG requirements, case-by-case.
How much can a limited company borrow?
From £1,000 to £20,000,000, depending on revenue, trading history, affordability and security.
Can I repay early?
Many products allow early repayment; fee/interest treatment varies by lender—check terms.
Please note that the information above is not intended to be financial advice. You should seek independent financial advice before making any decisions about your financial future.
It’s important to remember that all loans and credit agreements come with risks. These risks include non-payment and late-payment of the agreed repayment plan, which could affect your business credit score and impact your ability to find future funding. Always read the terms and conditions of every loan or credit agreement before you proceed. Contact us for support if you ever face difficulties making your repayments.
Funding Options, now part of Tide, helps UK firms access business finance, working directly with businesses and their trusted advisors. Funding Options are a credit broker and do not provide loans directly. 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. Funding Options will receive a commission or finder’s fee for effecting such finance introductions.
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.