Short-term Business Loans up to £500,000

Borrow £1,000 – £500,000 for 1 day to 2 years with our flexible business loans.

24 hours to get a decision

Easy Application

No fees for repaying early

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  5. Short-term Business Loans up to £500,000

Summary:

  • Short-term business loans allow businesses to borrow and repay the loan in a shorter period of time in comparison to other funding solutions.
  • Businesses need to have an owner over the age of 18, operate as a limited company, and be based and registered in the UK to be considered eligible for a short-term business loan.
  • Businesses can borrow between £1k-£500k and repay between 1-24 months.
  • Businesses can apply online at For Kredit, with successful applicants being approved for funding within 24 hours.

What is a short-term business loan?

A short-term loan is a funding option that allows businesses to raise capital and repay the loan in a short space of time. A short-term loan is technically subjective, but tends to be repaid between 1 – 12 months.

How can I apply for a short-term business loan?

Businesses can apply for an unsecured short-term business loan by applying online at For Kredit. Our online application can be completed and submitted within a matter of minutes. Applicants which are successful can be approved for funding within 24 hours of the application being submitted. If an applicant is unhappy with the terms of the loan offered, they do not have to accept it.

How much money can I apply for with a short-term business loan?

Companies seeking short-term business finance can apply for an unsecured business loan between £1,000 – £500,000 if they apply with For Kredit. Short-term funding is subject to approval by the lender and the loan amount may differ from the initial application.

Is my business eligible for a short-term business loan?

In order for a business to be deemed eligible for short-term financing, it must meet the following minimum criteria.

  • The owner of the business is over the age of 18 years old.
  • The business is a limited company.
  • The limited company is based in the UK.

Applicants that meet the minimum criteria are not guaranteed to be accepted for funding.

What are the repayment terms of a short-term business loan?

Businesses tend to have the option to repay an unsecured loan over 1 – 24 months, a short-term business loan would more likely be repaid between 1-12 months. Repayments are made via monthly instalments and interest rates are charged on the loan (2% – 6%). There are zero early repayment fees, therefore businesses have the option to repay early if they wish to.

Does the business owner have to sign a personal guarantee?

Yes, a business owner or director will be required to sign a personal guarantee if they are offered unsecured funding. The personal guarantee helps minimise the risk to the lender because it legally guarantees that the owner/director is personally responsible for repaying any outstanding debts if the business fails to continue trading during the loan period.

I have a poor credit score, will this impact my application?

Having a bad credit rating can impact the application, but does not necessarily stop a business from receiving funding. If a business with a poorer credit rating is approved for a loan, the lender may not lend as much money and may charge higher interest rates. However, a business with an extremely bad credit score may be rejected for funding completely.

Lenders will use a soft credit check when assessing the application to improve their understanding of the business and to ensure that they meet the responsible lending guidelines.  However, they also look at other aspects of the business before making their decision such as the bank statements and VAT returns.

Why do businesses apply for short-term funding?

There are many reasons why a business may choose to opt for short-term funding over longer finance options. Below are some reasons why a business may prefer to apply for a short-term business loan.

A faster way of settling debt

One reason why businesses apply for short-term funding is that the money is repaid faster, which means the business spends less time with debt looming over the business. This can be assuring for business owners as it means there is less time worrying about when the loan is going to be repaid.

No long-term commitment

One of the benefits of a short-term loan is that it does not require a business to be tied into a business loan for an extended period of time. It means businesses are less restricted and are not stuck paying interest on the unsecured funding for years to come.

Faster approval

One of the reasons people opt for short-term funding is that it can often be approved quickly. Some lenders provide specialist short-term loans that involve a quick turnaround, especially if businesses are seeking a fast funding solution to deal with emergencies.

What other forms of funding are available for businesses besides short-term funding?

Not every business is looking for a loan to repay over a short period of time, some may be interested in longer-term business loans or something entirely different. Below are some of the other finance options that For Kredit can help businesses in the UK secure.

FAQs

How much money can I apply for with a short-term business loan?

Businesses seeking short-term business loans can apply for unsecured funding between £1,000 – £500,000 when applying with For Kredit.

How can I apply for a short-term business loan?

Business owners can apply for a short-term unsecured business loan by applying online at the For Kredit website. The online application takes a matter of minutes and asks the applicant to provide some basic details about themselves and their business. 

How long do I have to repay the limited company loan?

Short-term loans are typically repaid between 1 – 12 months, although other loans can be repaid up to 24 months if preferred. Repayments are still made in monthly instalments and interest is charged on the loan.

Find the right loan for your business

  • Loans from £1k to £500k
  • No fixed repayments
  • No collateral needed
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Will You Qualify For A For Kredit Loan?

There are four main criteria for qualifying for a For Kredit loan.

If you can answer yes to all of these, then you have a good chance of being approved.

You’re a director with a UK address

You’ll also need the relevant documentation to prove this – a passport or a birth certificate are fine.

You’re a UK limited company or limited partnership

We only work with UK businesses.

You have a turnover of at least £10k

We can accept applications from all businesses (no matter the age or industry)

You have been trading for over 6 months

Your business must be at least 6 months old to be accepted.

A Simple Application Process

  • Apply online in 5 minutes

    Decide how much money you need to borrow and fill the online application with all your details.

  • Approval in just 24 hours

    Once your business loan has been authorized, you have the flexibility to transfer the required amount to your bank account. The funds will be deposited into your account within just a few hours.

  • Borrow up to 2 years

    How you pay back your business loan depends on your situation. If you want to pay it back early, there won't be an extra fee.

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