Business loans for umbrella companies

• Cash flow challenge: Umbrella companies often face cash flow pressure from paying contractors weekly while waiting up to 60 days for client or agency invoices to clear.

• Perfect for: Umbrella company directors managing contractor payroll, tax compliance, and working capital between agency payments.

Novuna helps umbrella companies access fast, flexible business loans to manage payroll and compliance costs, either through our award-winning in-house service or by comparing providers to ensure you have a great deal for your situation.

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How business loans support umbrella companies

Business loans provide umbrella company directors with flexible capital to cover core operational costs, including:

• Payroll funding by maintaining weekly wage runs regardless of payment delays.

• Compliance and insurance: Meeting evolving HMRC, IR35, and regulatory requirements.

• Tax and VAT payments by avoiding penalties from inconsistent cash flow.

• Technology and systems investment to help upgrade payroll and CRM platforms.

Best types of business loans for umbrella companies

1. Working capital loans

Short to medium-term loans designed to maintain liquidity between invoice payments.

Advantages:

• Keep payroll on track during slow payment cycles.

• Manage recurring compliance and insurance costs.

• Improve day-to-day financial stability.

Explore working capital loans to maintain a consistent cash flow all year.

2. Invoice finance

Ideal for umbrella companies invoicing agencies or end clients. Unlocks cash tied up in unpaid invoices.

Advantages:

• Access up to 90% of invoice value within days.

• Eliminates long waits for agency or client payments.

• Supports weekly payroll and HMRC remittances.

Explore our invoice finance to accelerate payments and strengthen cash flow.

3. Revolving credit facility

Provides flexible access to funds whenever you need them, similar to a business overdraft but more controlled.

Advantages:

• Draw down funds instantly as payroll or compliance needs arise.

• Pay interest only on what you use.

• Adaptable for seasonal or volume-based cash flow changes.

Learn how a revolving credit facility can give your umbrella company complete funding flexibility.

4. Quick business loans

For umbrella companies managing sudden costs such as HMRC deadlines or IT system upgrades.

Advantages:

• Fast approval and access to funds (often within 24 hours).

• Minimal paperwork and flexible terms.

• Keeps operations running during peak demand or emergencies.

Find out how quick business loans can help cover urgent funding needs.

How business loans for umbrella companies work

Umbrella companies can access finance quickly through a straightforward process designed for recurring income businesses:

1. Apply online or through a specialist provider with details of your funding need.
   
   
2. Receive an offer tailored to your turnover, trading history, and goals.
   
   
3. Access funds quickly, often within 24-72 hours.
   
   
4. Repay in predictable instalments or via flexible turnover-based models.
   

Boost your cash flow Speak to an expert

Benefits of business loans for umbrella companies

• Reliable payroll: Ensure all contractors are paid on time, every time.

• Improved cash flow: Smooth out income gaps between agency payments.

• Stronger compliance: Fund insurance, HMRC payments, and legal updates.

• Faster scalability: Take on more contractors or agencies confidently.

How Novuna Business Cash Flow can help

We’ve helped umbrella companies and recruitment service providers across the UK stay financially stable through tailored business loan facilities.

Speak to our experts today and we will help you find a great fit for your situation.