Best Lenders to Secure a 170k Business Line of Credit
For UK franchise buyers and operators, this guide compares loan periods and amounts, APRs, and terms across leading providers, with a focus on eligibility and fit. Amounts that could not be verified are left blank, prices accurate as of 2026-02-12.
Funding Agent acts as a finance broker focused on helping UK SMEs rapidly compare business finance options. It is generally suitable for franchise buyers and small businesses looking for flexible unsecured finance. The service emphasises speed and simplicity, with no collateral typically required and a range of repayment options.
Loan Details
- Min Amount: £10,000
- Max Amount: £1,000,000
- Min APR: 4%
- Max APR: 20%
- Loan Duration: 3–60 months ⌛
Services & Industries
- Finance Types: Unsecured business loans, MCA Loans, Working capital
- Industries: UK SME's
Pros
- fastest and easiest application process
- No collateral required
Cons
- lower track record, only trading 1 year
Lloyds Bank offers a broad range of bank business loans with a strong presence in commercial lending to UK SMEs. It typically suits franchises and established businesses seeking a reliable bank partner. Their offerings focus on flexible credit lines with options for secured and unsecured lending, and repayments tailored to borrower needs.
Loan Details
- Min Amount: £1,000
- Max Amount: £500,000
- Min APR: 3.9%
- Max APR: 20.5%
- Loan Duration: 1–60 months ⌛
Services & Industries
- Finance Types: Business Line of Credit, Term Loans
- Industries: Various
Pros
- Wide range of financial products
- Longstanding reputation
Cons
- Complex application process
- Limited to creditworthy applicants
Barclays provides a variety of business lending products aimed at supporting UK SMEs and franchise buyer needs. It fits borrowers looking for flexibility in loan structures with bank-backed security options. Barclays emphasises strong digital access and tailored repayment plans, suitable for diverse industries.
Loan Details
- Min Amount: £5,000
- Max Amount: £250,000
- Min APR: 4.9%
- Max APR: 22.3%
- Loan Duration: 6–60 months ⌛
Services & Industries
- Finance Types: Business Line of Credit, Business Loans
- Industries: Various
Pros
- Flexible loan terms
- Strong digital banking support
Cons
- Strict credit requirements
- Higher APR for smaller loans
HSBC UK is a global bank offering a full range of financial products tailored to UK businesses including lines of credit and SME-specific loans. It is aimed at clients requiring established banking relationships and comprehensive support. HSBC emphasises security and structured repayment plans with options for longer durations.
Loan Details
- Min Amount: £5,000
- Max Amount: £200,000
- Min APR: 5.4%
- Max APR: 19.9%
- Loan Duration: 12–72 months ⌛
Services & Industries
- Finance Types: Business Line of Credit, Fixed Rate Loans
- Industries: Various
Pros
- Global network
- Comprehensive service offerings
Cons
- Can be bureaucratic
- Higher minimum loan amounts
NatWest offers UK businesses various credit products including overdrafts and business lines of credit. It can suit franchise operators and other SMEs looking for flexible lending options. NatWest focuses on client service and adaptable repayment terms with some secured and unsecured options.
Loan Details
- Min Amount: £1,000
- Max Amount: £400,000
- Min APR: 3.6%
- Max APR: 21.1%
- Loan Duration: 3–60 months ⌛
Services & Industries
- Finance Types: Business Line of Credit, Overdraft
- Industries: Various
Pros
- Excellent customer support
- Flexible repayment terms
Cons
- Requires collateral for certain products
- Complex eligibility criteria
6. Santander UK
Santander UK blends local insight and global experience to offer loans and credit lines for SMEs. It is suitable for borrowers seeking competitive rates with options for growth and working capital finance. Santander prioritises customer service and flexible lending criteria with some secured options available.
Loan Details
- Min Amount: £2,000
- Max Amount: £300,000
- Min APR: 4%
- Max APR: 23%
- Loan Duration: 1–48 months ⌛
Services & Industries
- Finance Types: Business Line of Credit, Growth Loans
- Industries: Various
Pros
- Competitive APR rates
- Good customer service
Cons
- Stringent lending criteria
- Fees may apply
Metro Bank offers full banking services including business loans and credit, targeting UK SMEs and franchisees. It suits those wanting personalised support and straightforward loan terms. Metro Bank focuses on flexible repayment and competitive rates, though with a more limited branch presence.
Loan Details
- Min Amount: £2,000
- Max Amount: £200,000
- Min APR: 5%
- Max APR: 25%
- Loan Duration: 6–60 months ⌛
Services & Industries
- Finance Types: Business Line of Credit, Flexible Loans
- Industries: Various
Pros
- Personalized service
- Simple application process
Cons
- Limited branch network
- Higher APR for lower amounts
Funding Circle is a peer-to-peer lending platform that connects businesses with investors. It suits SMEs and franchisees wanting competitive rates and adaptable terms. Funding Circle offers transparent fee structures with a focus on speed and flexible repayment options.
Loan Details
- Min Amount: £5,000
- Max Amount: £250,000
- Min APR: 4.9%
- Max APR: 19.9%
- Loan Duration: 6–60 months ⌛
Services & Industries
- Finance Types: Peer-to-Peer Loans, Business Line of Credit
- Industries: Various
Pros
- Fast decision and funding
- Transparent fees
Cons
- Varies by investor
- Initial setup required
HSBC Start Up Loans specialises in financing newly established businesses needing tailored support. It suits start-ups and early stage franchises requiring access to finance with advisory help. The product offers flexibility in lending terms although usually limited to start-up businesses.
Loan Details
- Min Amount: £500
- Max Amount: £150,000
- Min APR: 6%
- Max APR: 24.5%
- Loan Duration: 6–60 months ⌛
Services & Industries
- Finance Types: Start Up Loans, Business Line of Credit
- Industries: Start-ups
Pros
- Specialist in start-ups
- Helpful advisors
Cons
- Limited to start-ups
- Higher risk requires higher interest
Aldermore Bank focuses on providing tailored finance solutions to UK SMEs, including lines of credit and SME loans. It best suits businesses seeking flexible borrowing with customer-focused service. Options include varying security requirements and repayment plans to meet diverse borrower needs.
Loan Details
- Min Amount: £1,000
- Max Amount: £100,000
- Min APR: 5.5%
- Max APR: 23%
- Loan Duration: 3–36 months ⌛
Services & Industries
- Finance Types: SME Loans, Business Line of Credit
- Industries: Various
Pros
- Niche SME focus
- Strong customer service
Cons
- Limited product range
- Rates depend on credit profile
How to choose
When selecting a lender for a 170k business line of credit, consider matching the loan size and APR to your financial needs and budget. Evaluate eligibility requirements carefully to avoid delays and refusals. Balance the desired speed of access against the flexibility of terms offered. Understand repayment options and how they align with your business cash flow and seasonal fluctuations. Check for fees, collateral demands, and early repayment penalties before committing. It is also advisable to review lender reputation and customer service responsiveness.
Conclusion
Choosing the right lender depends on your business type and loan purpose. Traditional banks like Lloyds and Barclays suit those needing structured, often secured financing. Brokers such as Funding Agent provide access to multiple providers with faster, unsecured options. Specialist lenders, including start-up focused providers, cater to niche or early-stage needs. Funding Agent is a strong choice for SMEs seeking quick comparisons. Always verify terms and conditions before proceeding with any loan for an amount around 170 thousand pounds.
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