Unsecured loans give you the chance to borrow money without having to offer up assets as collateral. For a growing business, an unsecured loan could be a suitable funding option if you need finance quickly. Similarly, unsecured loans could be helpful if your business doesn’t own many assets or would prefer not to offer security. There are a variety of lenders on the market who could offer your business an unsecured loan, At Able Commercial Finance, we can help you find the right lender to access the right loan.
We are an independent commercial finance broker, with expert industry knowledge to help your business access the financial support it needs. Unsecured loans for businesses can be a suitable option, but it’s important to understand how they work.
How do unsecured loans work?
There is no security required for an unsecured loan, which means the lender is relying on the business’ ability to pay it back. The lender will take into consideration the risk in giving a loan of this kind, and in some cases it can impact interest rates, borrowing terms and how much you can borrow. The lender may ask for a personal guarantee from a company director, as this can reduce the risk. This can vary from lender to lender.
At Able Commercial Finance we can compare lenders to help you find the right unsecured loan for your business.
What are the benefits of an unsecured loan?
Unsecured loans can be used for a number of purposes, including boosting cash flow, stock or asset purchase or premises expenses. Taking out an unsecured loan can help your business to access financial support easier than a secured loan, as there is no security required.
It’s important to remember that if you fail to pay back an unsecured loan, there could be consequences such as legal action.
For many businesses looking to expand or grow, it is often finances that slow down the progression. What’s more, a business’ finances could be tied up in assets or stock. Taking out an unsecured loan could provide some financial flexibility to take the business to the next level.
How can Able Commercial Finance help?
At Able Commercial Finance, we offer an independent broker service to help you find the right lender. Our expert team are on hand to understand your business’ needs before comparing a variety of lenders and solutions that meet those unique requirements. We have over 25 years of experience in helping businesses access the right commercial finance when they need it most.
