Compare ^{Pre-Pack Administration Finance} Options for £850k Needs

A Secured Pre-Pack Loan allows a business to leverage its assets—such as property, equipment, or inventory—to secure funding between £500,000 and £5 million. These loans are usually offered over 6 to 24 months with interest rates from 8% to 18% APR. The process requires a viable turnaround plan, and funds are used for restructuring, asset purchases, or covering operational costs during administration.

Unsecured Pre-Pack Finance is an option for firms that lack significant collateral but have a strong business recovery plan. Amounts offered range from £100,000 to £500,000, for terms of 6 to 12 months, at rates between 15% to 30% APR. Lenders examine financial history and the proposed turnaround strategy, making this route suited for service-led businesses or those with growth potential despite asset shortfall.

Invoice Finance for Pre-Pack is ideal for companies with outstanding invoices who need immediate liquidity. Lenders advance a proportion of invoice value, with typical facilities from £50,000 to £1 million. Interest rates range from 1% to 3% per month. This type of finance ensures ongoing cash flow for operational costs and creditor payments, helping smooth the pre-pack transition while awaiting invoice settlements.