Business loans for new businesses: get fast funding today
Small business loans offer fast access to capital for UK-based companies looking to fund operations, invest in stock, expand their team, or launch new services. With Funding Options by Tide, you can explore tailored finance options and apply in minutes - without affecting your credit score.
What is a small business loan?
A small business loan provides a lump sum to cover key expenses like hiring, stock, or growth. It's repaid in monthly instalments over a fixed term, with interest set by the lender.
One-time cash injection:
Funds are transferred in full at the start of the loan term.
Flexible usage:
Can be used for a wide range of business purposes, including growth, equipment, and operational needs.
Fixed or variable interest:
You’ll repay the loan in regular instalments, typically monthly, with the total cost depending on the APR and loan duration.
What can you use a small business loan for?
Expand your team
Small business loans can be used to make payroll giving you the ability to expand your team. By hiring new resources to enhance your capabilities or onboarding new sales people you could be able to achieve greater growth.
Develop new offerings
Whether you use the loan to fund R&D or to take a new service to market, small business loans can enable you to deliver and sell new products and services.
Invest in stock
Don’t get caught out by large orders. A small business loan can help increase your inventory ensuring you can always fulfil incoming orders.
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 120+ 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 120 trusted lenders. Backed by Tide and FCA-regulated, the service is free and easy to use.
Compare 120+ lenders
Access a wide range of trusted lenders: from high street banks to alternative finance providers.
No fees or obligations
Our service is completely free to use. You’re in control of who you borrow from.
Fast, personalised results
Get real-time matches based on your business profile and funding needs.
Expert support when you need it
Our team is here to help — by phone, chat, or email.
Trusted by over 21,000 customers
Why apply for a small business loan?
A small business loan gives you flexible, fast funding to grow without giving up ownership - ideal for hiring, marketing, or managing cash flow.
Accelerate business growth:
Access the funds you need to expand operations, hire staff, or open new locations.
Smooth out cash flow:
Manage day-to-day expenses or cover temporary income dips with reliable working capital.
Retain full equity:
Unlike equity investment, a loan doesn’t dilute your ownership - repayments are made over time with interest.
Build business credit:
Repaying a loan on time can help establish a positive credit history, supporting future finance applications.
Types of small business loans
Asset finance
Used to purchase equipment, vehicles, or technology. You pay in instalments while using the asset, with some agreements ending in ownership. Note: some lenders may require a deposit or final "balloon payment."
Working capital finance
Ideal for covering operational costs, managing cash flow, or taking on large contracts. Eligibility is often based on the difference between your business assets and liabilities.
Start up business loans
Designed for businesses under five years old. These are typically personal loans taken out by the business owner, and you may remain liable for repayment even if your business does not succeed.
Secured business loans
These loans require property or assets as collateral. They often come with more favourable interest rates, but there’s a risk of asset repossession if you default.
Unsecured business loans
No collateral required. Options include revolving credit facilities and business overdrafts. While quicker to access, they may carry higher interest rates.
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.
Monthly payments
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Monthly interest
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Total interest
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Length of loan
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Financial product information
Representative example*
• 7.63% APR Representative based on a loan of £50,000 repayable over 24 months.
• Monthly repayment of £2,252.94. The total amount payable is £54,070.56
*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 2.75% APR
Repayment period
1 month to 30 years terms
Learn more about small business loans
How much do small business loans cost?
The cost of a small business loan depends on factors like the loan amount, repayment term, interest rate (APR), and your business’s credit profile. Most lenders will assess your creditworthiness before providing a quote.
Common cost factors include:
Loan amount and term - larger or longer-term loans generally cost more overall but have lower monthly repayments.
Annual Percentage Rate (APR) - this includes both interest and any lender fees.
Credit score - a stronger credit history may qualify you for lower interest rates.
Example loan scenarios:
Loan Amount | APR | Term | Monthly Repayment | Total Cost |
£10,000 | 6.5% | 5 years | £194.79 | £1,687.40 |
£5,000 | 9.9% | 3 years | £160.11 | £764.02 |
£50,000 | 12% | 10 years | £699.74 | £33,968.30 |
Always review the total repayment cost and ensure affordability before proceeding with any business finance product.
Are you eligible for a small business loan?
Eligibility criteria for small business loans can vary between lenders, but most providers assess factors such as:
Your business’s trading history and turnover
Credit history (personal and/or business)
Purpose of the loan
Any existing debt or financial obligations
At Funding Options by Tide, we work with over 120 UK lenders and can check your eligibility in minutes — without affecting your credit score. You’ll only need to share basic business details to begin, and we’ll match you with suitable loan options based on your needs and circumstances.
💡 Tip: Having up-to-date financial records, a clear loan purpose, and a realistic repayment plan can all strengthen your application.
How can I apply for a small business loan?
Applying for a small business loan through Funding Options by Tide is quick and straightforward. You can check your eligibility and compare finance options in just a few minutes.
Here’s how it works:
Tell us about your business Share your company name, trading history, and a few financial details — no hard credit checks required to get started.
Specify your loan needs Let us know how much you’re looking to borrow and the reason for the funding (e.g. stock, expansion, equipment).
Get matched We’ll match you with suitable finance options from our panel of 120+ UK lenders.
Compare and apply Review your loan matches, then apply directly with your chosen lender. Need support? Our team of finance experts is on hand to help.
🛡️ Your credit score won't be affected during the comparison process, and there’s no obligation to proceed.
📍 Start your application today and explore tailored loan options designed for UK SMEs.
What are some of the drawbacks of small business loans?
While small business loans can offer valuable support for growth and cash flow, it’s important to understand the potential risks before borrowing.
Here are a few things to keep in mind:
Asset risk (secured loans): if your loan is secured, your business assets or property could be at risk if repayments are missed.
Credit score impact: late or missed repayments may harm your personal or business credit rating, affecting future borrowing ability.
Additional fees: some loans carry early repayment charges, arrangement fees, or late payment penalties — always check the terms.
Repayment pressure: taking on debt means you’ll have fixed monthly obligations. Ensure your business can comfortably manage repayments over the full term.
💬 Before applying, consider how much you realistically need and what repayment level your business can safely afford.
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
Head of Unsecured Lending
Joe has worked in the alternative lending space since 2015. During this time he has helped hundreds of SMEs access millions in essential funding ranging from long-term asset-backed lending to short-term unsecured revolving credit lines and beyond. In his role, Joe manages and supports a large team of Credit Finance specialists.