Best Lenders to Secure a 40k Revolving Credit Loan
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 offers a platform for UK SMEs to compare business finance swiftly. It is typically suitable for franchise buyers or SMEs seeking various finance options with an emphasis on clear eligibility and straightforward terms. The provider focuses on fast application processes without collateral requirements, offering flexibility across loan types and durations.
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 specialises in traditional bank business loans and credit services for SMEs. It generally suits franchise buyers and established businesses seeking reliable credit facilities with a variety of term options. The bank focuses on structured lending with flexible repayment types and requires credit checks and potential collateral.
Loan Details
- Min Amount: £5,000
- Max Amount: £30,000
- Min APR: 6.5%
- Max APR: 19.9%
- Loan Duration: 6-84 months ⌛
Services & Industries
- Finance Types: Business Loans, Revolving Credit
- Industries: General Business
Pros
- Established bank with a wide network
- Various loan options
Cons
- Interest rates can be high
Barclays offers a variety of SME financial solutions with a focus on innovation and business development support. It suits franchise buyers and companies needing flexible revolving credit or overdraft facilities. Barclays emphasises adaptable repayment options and access to advanced fintech services within a regulated bank environment.
Loan Details
- Min Amount: £10,000
- Max Amount: £50,000
- Min APR: 7%
- Max APR: 20.4%
- Loan Duration: 12-60 months ⌛
Services & Industries
- Finance Types: Business Loans, Revolving Credit, Overdraft
- Industries: Retail, Manufacturing
Pros
- Innovative fintech solutions
- Strong customer support
Cons
- Application process can be lengthy
NatWest provides SME loans across various industries, focusing on flexible financial solutions. It is suited for franchise buyers and businesses requiring tailored loan and credit line options. NatWest offers flexible repayment terms and lending structures designed to support business growth while managing risk prudently.
Loan Details
- Min Amount: £2,000
- Max Amount: £25,000
- Min APR: 6%
- Max APR: 21.9%
- Loan Duration: 1-10 years ⌛
Services & Industries
- Finance Types: Loans, Credit Lines
- Industries: Technology, Healthcare
Pros
- Wide range of industries served
- Tailored loan solutions
Cons
- Higher APR for small businesses
HSBC provides flexible commercial loans and credit products broadly suited for diverse business needs. This lender caters to franchise buyers and SMEs seeking variety in financing options, including revolving credit. HSBC focuses on offering tailored repayment plans with consideration of security and risk profiles.
Loan Details
- Min Amount: £5,000
- Max Amount: £40,000
- Min APR: 6.2%
- Max APR: 19.5%
- Loan Duration: 6-60 months ⌛
Services & Industries
- Finance Types: Term Loans, Revolving Credit
- Industries: Export, Technology
Pros
- Global financial network
- Custom solutions for businesses
Cons
- Strict credit requirements
6. Santander UK
Santander UK offers comprehensive loan products for businesses, focusing on competitive interest rates and adaptable terms. It is suitable for franchise buyers and SMEs wishing for flexible financing with competitive fees. Santander emphasizes personalised service and credit products that align with business growth strategies.
Loan Details
- Min Amount: £3,000
- Max Amount: £45,000
- Min APR: 6.8%
- Max APR: 20.1%
- Loan Duration: 6-72 months ⌛
Services & Industries
- Finance Types: Business Loans
- Industries: Real Estate, Construction
Pros
- Competitive interest rates
- Personalized banking services
Cons
- Strict eligibility criteria
TSB Bank delivers financial services aimed at small businesses, focusing on lending and credit solutions. It is appropriate for franchise buyers who value personalised service and clear lending terms. TSB emphasises transparency in fees and offers various repayment options aligned with business cash flow.
Loan Details
- Min Amount: £3,000
- Max Amount: £35,000
- Min APR: 7.2%
- Max APR: 22.2%
- Loan Duration: 12-60 months ⌛
Services & Industries
- Finance Types: Business Loans, Overdraft
- Industries: Hospitality, Retail
Pros
- Personalized customer service
- Transparent fee structure
Cons
- Higher minimum loan amount
Metro Bank specialises in retail and business banking with products catering to SMEs. It is suited for franchise buyers seeking revolving credit and fixed loan solutions with accessible customer support. The bank prioritises convenience features such as extended hours and flexible repayment plans.
Loan Details
- Min Amount: £4,000
- Max Amount: £30,000
- Min APR: 8%
- Max APR: 24%
- Loan Duration: 1-5 years ⌛
Services & Industries
- Finance Types: Revolving Credit, Fixed Loans
- Industries: General Business, Finance
Pros
- Extended banking hours
- Modern banking solutions
Virgin Money focuses on innovative financial services including SME loans, supporting growth and market expansion. It caters to franchise buyers and businesses seeking flexible credit options with a mix of term lengths. Virgin Money emphasises versatile lending products and broad industry applications.
Loan Details
- Min Amount: £5,000
- Max Amount: £40,000
- Min APR: 6.7%
- Max APR: 20%
- Loan Duration: 6-72 months ⌛
Services & Industries
- Finance Types: Business Loans, Revolving Credit
- Industries: Technology, Services
Pros
- Strong community support
- Versatile financial products
Cons
- Limited branches nationwide
Clydesdale Bank provides flexible lending options primarily for small businesses. It suits franchise buyers and SMEs looking for revolving credit and overdraft facilities with a personalised approach. The bank offers a range of credit types with emphasis on client service and credit risk management.
Loan Details
- Min Amount: £2,000
- Max Amount: £30,000
- Min APR: 6.4%
- Max APR: 18%
- Loan Duration: 6-60 months ⌛
Services & Industries
- Finance Types: Revolving Credit, Overdraft
- Industries: Small Businesses
Pros
- Customer-focused approach
- Wide product range
Cons
- Complex application process
How to choose
When selecting a lender for a 40k revolving credit loan, consider your business size, credit history, and need for speed or flexibility. Bank lenders often offer stable terms but may require collateral and longer approval times. Brokers can provide access to multiple providers quickly, ideal for comparing options. Assess repayment structures and fees carefully to fit your cash flow and seasonal demands. Also, ensure eligibility criteria align with your business profile before applying.
Conclusion
Choosing the right lender depends on your specific loan purpose and business needs. Banks typically suit borrowers seeking structured repayments and established credit channels, whereas brokers provide broader access to multiple products. Specialists may offer tailored solutions for niche requirements. Funding Agent remains a useful option for SMEs wanting fast comparisons. Always verify terms and costs before committing to any loan for amounts around 40 thousand pounds.
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