Unsecured Business Loans

How do unsecured business loans work and is it the right loan solution for your business?

Unsecured business loans offer SMEs in need of funds but short of assets with a quick and easy solution. These loans don’t require security, which means you don’t need to use an asset to secure the funding. There are a variety of lenders on the market who offer loans of this type up to as much as £250,000.

How do unsecured business loans work?

Unsecured business loans give your business immediate funding without securing the loan against any assets, which a lender would usually sell if they needed to recoup the value of the loan if things didn’t work out. Most businesses repay the loan in installments over a fixed time period.

Is an unsecured business loan right for my business?

There are many benefits to this type of loan, and both new and established businesses utilise this option. With no assets required, it makes this type of funding very accessible to all businesses and the money is released a lot quicker than traditional bank loans. They can be used to spend on anything from new equipment to training and many come with flexible repayment terms.

What are the advantages and disadvantages of unsecured business loans?

Advantages of unsecured business loans:

  • No assets required to secure the loan
  • Businesses can choose what they spend the money on
  • Flexible payment terms - they can be repaid over short and medium terms

Disadvantages of unsecured business loans:

  • Tend to be more expensive than traditional bank loans
  • They can create potential for significant debt​​
  • With no assets to secure the loan against, lenders take a detailed look at the full picture of your business including business plans and cash flow

Have you thought about Invoice Finance as a cash flow solution for your business?

Invoice finance allows you to release cash quickly from your unpaid invoices.

As your lender, we can release up to 90% of your invoices within 24 hours. On payment of the invoice from your customers, we will then release the final amount minus any fees and charges. There are different types of invoice financing options available to businesses depending on the situation and the level of control they require in collecting unpaid invoices.

We are an invoice financing company who offer a solution whereby payments are collected on your behalf managed by our team of expert credit controllers so you can focus on running your business. Our Confidential Invoice Discounting solution is offered to businesses who want to maintain their own credit control processes, therefore this remains strictly confidential so your customers are unaware of our involvement.

Get in touch

Contact our friendly UK advisors on our freephone

0808 250 0859

8:45 - 17:15 - Monday to Thursday &
8:45 - 16:45 - Friday

The benefits of invoice finance companies such as Novuna Business cash flow

  • Boost your cash flow without having to wait up to 120 days for your customers to pay you

  • Release up to 90% of the invoice straight away, and the final 10% when the invoice is settled

  • Access funds within 24 hours from initial appointment with our revolutionary digital onboarding process

  • Benefit from our in-house credit control processes, allowing you to focus on running your business, instead of chasing clients for payment

  • 6 month trial period followed by a rolling contract

Want to understand more Cash Flow Finance terms?

Our Cash Flow Resource Hub has been set up to help SME's with cash flow finance advice, tips and resources to help with their cash flow position.

We explore ways you can begin improving your cash flow situation and start getting your business on track to positive cash flow.

Let's talk

Please complete this form and one of our friendly advisors will call you back.

If your customers are consumers, please contact our consumer finance division.

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