Step 1: Deciding on business finance
When looking into financing your business, there are a number of factors to take into account. These include what you need it for, as well as the size and type of your company.
We've created this 6-step lending guide to help you build a strong application and understand our assessment process.
Which form of finance is best for you?
Consider the various options below to see which best fits your business's needs.
We offer flexible business loans ranging from £1,000 to £25,000 , as well as more significant investments over £25,000 . A Barclays Business Manager can help you decide on the amount and repayment terms if you're unsure of how much you need, or can afford to borrow.
A business loan could suit you if:
- You need a cash injection to buy new equipment or a company vehicle
- You're looking for a flexible solution that can be repaid in convenient, fixed instalments
Sometimes, you might just need a safety net rather than a large lump sum. In this case, a business overdraft might provide a solution. Your Barclays Business Manager can help match your overdraft limit to your borrowing requirements – how much you need and for how long you'll need it. You'll only pay interest when you start using your overdraft and only on the amount you use.
An overdraft could help your business if:
- Cash is tight and you have short-term borrowing needs
- Trading is stronger at certain times of the year and you have a seasonal borrowing requirement
If you want to buy a new property for your business or release equity from an existing one, a commercial mortgage could be an appropriate financing solution. We can agree a repayment period of anything from 1 to 25 years. And if it would help – if you're just getting off the ground, for example – you can opt to pay interest-only for the first 3 years. A mortgage from equity release on an existing property can be used for any business purpose.
Consider a commercial mortgage if:
- You want to buy new business premises or release some equity from an existing one
- You have another property that you'd like to use to secure business finance
- You want to borrow any amount over £25,000 or borrow up to 80% of the value of your current property. However, there are limitations attached to certain industries and the loan is subject to lending on certain maximum and minimum amounts. Talk to your Barclays Business Manager for further information
Any property used as security, which may include your home, may be repossessed if you don't keep up repayments on your mortgage.
Business credit cards are ideal to help support a business's cashflow needs, whether you're starting up, growing or already established. Our business credit card lets you separate your personal and business expenditure and includes an interest-free period of up to 56 days.
You can apply for a credit card online . It only takes a few minutes and you'll hear from us with a decision within 14 days.
Cashflow finance is suitable for businesses looking to release cash tied up in their invoices. It offers the following benefits:
- Get up to 85% of your approved invoices advanced within 24 hours. This is usually more than offered with traditional overdrafts
- Online access to your sales ledger status and electronic payment requests
- We can take on the risk of non-payment by your debtors
1. Lines are open Monday to Friday, 8am–7pm. To maintain a quality service, we may monitor and record phone calls. Call charges
2. Lines open Monday to Friday, 8am–8pm. To maintain a quality service, we may monitor and record phone calls. Call charges
The Lending Code. Barclays Bank PLC subscribes to the Lending Code which is monitored and enforced by the Lending Standards Board. The Lending Code sets minimum standards of good practice when dealing with certain customers in the UK in relation to loans, current account overdrafts, charge cards and credit cards. Further details can be found at Lending Standards Board