SME loans are available from the Yorkshire Bank, which has more than 180 branches around the UK. Founded in the 1850s in West Yorkshire, the bank now offers business customers a range of lending options to help them grow. Let’s look at the options.
Yorkshire Bank business loans
Yorkshire Bank’s Flexible Business Loan is designed for SMEs that need to borrow at least £25,001 and could benefit from a flexible upper limit. The variable-rate loan can be paid back over a term of up to 15 years, and the bank offers a range of different ways of repaying, like interest only or daily-calculated interest.
Business owners can overpay when they’re in profit and redraw funds at a later date. You can also start off your repayments at a lower level, but this could mean your later repayments will be higher.
Repayment holidays are also possible, but interest is still charged during your break. If you want to pay back early, there are no fees.
If you need financing to make major purchases like buildings, land or equipment, Yorkshire Bank’s Investment Loan is available from £25,000. Your business needs to own the premises it’s operating from. The rate is variable, and customers repay over a term of up to 15 years.
The bank also offers fixed-term loans for business owners who need to borrow for a specific period. It’s available for developing a company – buying fixed assets, improving operations or acquiring another firm, for example.
Loan for SMEs lacking security
The government scheme, Enterprise Finance Guarantee, is also available through the Yorkshire Bank. It helps SMEs access finance for immediate working capital or long-term investment, but which lack assets to use as security against a large loan. Businesses need to be turning over up to £41 million to access over £1 million in funding.
Business loans from altfi lenders
A loan from Yorkshire Bank could be right for your business, but bear in mind there's now a plethora of choice when it comes to non-traditional finance providers. So, when you're looking for financing, don't limit your search to the banks.
Fleximize is one of the new finance providers that have been set up to offer small and medium-sized enterprises a flexible approach to lending money. This benefits enterprises that rely on quick funding so they can continue building their businesses without interruption.
For more ideas on SME financing, check out The Ultimate Guide to Business Funding.