February 12, 2026
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Best Lenders to Secure a Business Loan Over 3 Years

Best Lenders to Secure a Business Loan Over 3 Years

Discover the best lenders for business loans lasting over 3 years in the UK. Compare rates, terms, and find the right finance solution to grow your business confidently.
Jesse Spence
Finance content writer / Market researcher

4 years of experience in market research. He focuses on turning lender criteria and market insights into practical, plain-English resources that help business ownersb improve approval chances and choose the right type of finance

Best Lenders to Secure a Business Loan Over 3 Years

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.

1. Funding Agent

Funding Agent offers brokered access to multiple business finance options focused on unsecured loans and working capital for UK SMEs. It suits franchise buyers and operators looking for transparent terms and a fast, simple application process. Flexibility is a key feature, with no collateral generally required and eligibility matched quickly.

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

Sources: Funding Agent

2. HSBC

HSBC is a global bank providing a broad range of business loan products including term loans and overdrafts. It is typically suited to established UK businesses needing sizeable loans, with clear repayment options and some flexibility on terms. HSBC's large scale means access to comprehensive financial services but can involve stricter eligibility criteria.

Loan Details

  • Min Amount: £10,000
  • Max Amount: £500,000
  • Min APR: 0%
  • Max APR: 0%
  • Loan Duration: 36-84 months

Services & Industries

  • Finance Types: Term Loans, Overdraft
  • Industries: Healthcare, Manufacturing

Pros

  • Global presence
  • Comprehensive services

Cons

  • Higher fees

Sources: Source

3. Barclays

Barclays provides various business financing options including term loans and overdrafts tailored for SMEs. It is suitable for businesses looking for flexible loan terms with the option for secured or unsecured lending. Barclays leverages a strong UK presence and offers a range of repayment solutions to match borrower needs.

Loan Details

  • Min Amount: £1,000
  • Max Amount: £100,000
  • Min APR: 6%
  • Max APR: 20%
  • Loan Duration: 12-60 months

Services & Industries

  • Finance Types: Term Loans, Business Overdraft
  • Industries: Retail, Technology

Pros

  • Flexible loan terms
  • Strong UK network

Cons

  • Complex application process

Sources: Source

4. Lloyds Bank

Lloyds Bank specialises in tailored loan products for a variety of business sectors, offering both fixed and variable rate options. It fits SME borrowers who require customised loan solutions with relatively quick decisions and some repayment flexibility. Collateral requirements and LTV bands vary with the product and business profile.

Loan Details

  • Min Amount: £1,000
  • Max Amount: £50,000
  • Min APR: 5.9%
  • Max APR: 25.9%
  • Loan Duration: 6-60 months

Services & Industries

  • Finance Types: Fixed Rate Loan, Variable Loan
  • Industries: Agriculture, Construction

Pros

  • Personalized advisory service
  • Quick decision making

Cons

  • Limited maximum loan amount

Sources: Source

5. NatWest

NatWest delivers a variety of business loans and invoice finance products primarily for UK SMEs in sectors such as tourism and hospitality. It is suited to borrowers seeking competitive pricing combined with a broad product range. Flexibility in repayment and support are key features, though eligibility rules apply.

Loan Details

  • Min Amount: £2,000
  • Max Amount: £350,000
  • Min APR: 6%
  • Max APR: 23%
  • Loan Duration: 36-72 months

Services & Industries

  • Finance Types: Business Loans, Invoice Finance
  • Industries: Tourism, Hospitality

Pros

  • Strong customer support
  • Wide range of products

Cons

  • Eligibility requirements

Sources: Source

6. Santander UK

Santander UK offers flexible business lending solutions such as working capital and business loans for a variety of industries including retail and finance. This lender fits borrowers who prioritise competitive rates and multi-channel support options. Terms vary with credit assessment and product choice, typically requiring standard eligibility checks.

Loan Details

  • Min Amount: £5,000
  • Max Amount: £250,000
  • Min APR: 5.99%
  • Max APR: 20.99%
  • Loan Duration: 36-60 months

Services & Industries

  • Finance Types: Working Capital, Business Loans
  • Industries: Retail, Finance

Pros

  • Competitive rates
  • Multi-channel support

Cons

  • Application fees

Sources: Source

7. Royal Bank of Scotland

Royal Bank of Scotland provides a broad selection of business finance products including term loans and asset finance mainly for SMEs. It is suitable for established businesses seeking growth financing with advisory support. RBS offers varying term lengths and loan structures that may include secured and unsecured options.

Loan Details

  • Min Amount: £1,000
  • Max Amount: £300,000
  • Min APR: 7.5%
  • Max APR: 24%
  • Loan Duration: 12-72 months

Services & Industries

  • Finance Types: Term Loans, Asset Finance
  • Industries: Real Estate, Healthcare

Pros

  • Wide range of loan products
  • Supportive advisory services

Cons

  • Potentially high APR

Sources: Source

8. Metro Bank

Metro Bank delivers straightforward business loans and overdraft facilities backed by personalised service. It is ideal for SMEs wanting a customer-focused approach with flexible terms and extended support hours. Interest rates may vary, reflecting the bespoke nature of their product offerings.

Loan Details

  • Min Amount: £2,000
  • Max Amount: £250,000
  • Min APR: 8.5%
  • Max APR: 25.5%
  • Loan Duration: 6-60 months

Services & Industries

  • Finance Types: Business Overdraft, Term Loans
  • Industries: Retail, Technology

Pros

  • Personalized service
  • Extended opening hours for support

Cons

  • Interest rate variability

Sources: Source

9. Tesco Bank

Tesco Bank provides various business loans and financial products aimed at straightforward borrowing needs. This lender fits businesses seeking simple and accessible loan options with competitive terms. The focus is on ease of application, though branch availability may be limited.

Loan Details

  • Min Amount: £3,000
  • Max Amount: £100,000
  • Min APR: 8.4%
  • Max APR: 22.4%
  • Loan Duration: 12-60 months

Services & Industries

  • Finance Types: Unsecured Loans, Secured Loans
  • Industries: Retail, Food Industry

Pros

  • High loan amounts available
  • Easy application process

Cons

  • Limited physical branches

Sources: Source

10. Clydesdale Bank

Clydesdale Bank offers a diverse range of business finance solutions including term loans and asset financing suited for manufacturing and service industries. It is suited to SMEs looking for personalised service and regional lending expertise. Loan approval times may be longer, reflecting thorough assessment and tailored offers.

Loan Details

  • Min Amount: £1,000
  • Max Amount: £300,000
  • Min APR: 6.9%
  • Max APR: 21%
  • Loan Duration: 12-72 months

Services & Industries

  • Finance Types: Term Loans, Asset Financing
  • Industries: Manufacturing, Services

Pros

  • Personalized service
  • Strong regional presence

Cons

  • Slower loan approval times

Sources: Source

How to choose

When selecting the best lender for a business loan over three years, consider your loan size and the APR to fit within your financial capacity. Evaluate eligibility requirements to ensure you qualify before applying. Balance the speed of funding against the flexibility of loan terms and repayment options. Assess lenders’ criteria, fees, and early repayment flexibility. Think about how loan repayments will align with your franchise's cash flow and seasonal fluctuations. Always review multiple offers to find the best fit for your business needs.

Conclusion

Choosing the right lender depends on your specific business needs and loan purpose. Banks typically suit established businesses looking for larger or secured loans. Brokers like Funding Agent provide quick access to multiple finance options with flexibility and speed. Specialist lenders may offer niche products tailored to particular industries or requirements. Always match the loan type, cost, and terms with your intended use and repayment ability when considering a 200 thousand pounds loan.

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FAQs

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1Funding AgentFunding Agent helps UK SMEs compare business finance options fast, with a simple application journey and quick eligibility matching.£10,000–£1,000,000; 4%–20% APR; 3–60 months
2HSBCHSBC is a multinational banking and financial services organization, providing a wide range of business loans to support UK enterprises.£10,000–£500,000; 0%–0% APR; 36-84 months
3BarclaysBarclays offers a variety of business finance solutions, including loans, to support small to medium-sized businesses in the UK.£1,000–£100,000; 6%–20% APR; 12-60 months
4Lloyds BankLloyds Bank is a UK-based financial institution offering tailored loan solutions to fit the needs of various business sectors.£1,000–£50,000; 5.9%–25.9% APR; 6-60 months
5NatWestNatWest provides comprehensive banking services with an emphasis on supporting UK SMEs through competitive loan offerings.£2,000–£350,000; 6%–23% APR; 36-72 months
6Santander UKSantander UK supports businesses by offering flexible financing solutions with competitive terms and rates.£5,000–£250,000; 5.99%–20.99% APR; 36-60 months
7Royal Bank of ScotlandRBS offers various business finance products aimed at supporting SMEs with their growth and financing needs.£1,000–£300,000; 7.5%–24% APR; 12-72 months
8Metro BankMetro Bank provides straightforward banking solutions with a focus on personalized customer service and competitive business loans.£2,000–£250,000; 8.5%–25.5% APR; 6-60 months
9Tesco BankTesco Bank offers a selection of business loans and financial products targeted at businesses looking for straightforward solutions.£3,000–£100,000; 8.4%–22.4% APR; 12-60 months
10Clydesdale BankClydesdale Bank supports UK businesses through a wide range of business finance products and personalized banking services.£1,000–£300,000; 6.9%–21% APR; 12-72 months