Compare Novuna Business Finance & Time Finance

Novuna Business Finance vs Time Finance: Which Lender Is Right for Your UK Business?

This guide compares Novuna Business Finance and Time Finance. It is for UK SMEs weighing asset-backed funding, working capital and borrowing for growth. We look at products, costs, speed and service. We also explain when each lender fits. We reference common products such as asset finance, invoice financing and business loans.

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Novuna vs Time Finance – the numbers that matter today

This dashboard turns the comparison into charts you can act on. Each tab shows one theme with ranges as bars and typical or fastest points as dots. Read left to right per lender. Use it to weigh cost, usable limit, term shape, speed, fees, and service. It helps a UK SME pick the best fit for cash flow, risk, and timing today.

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Products and Terms at a Glance

Novuna overview, loan sizes, fees, repayment style, terms, eligibility

Novuna Business Finance is the asset finance arm of Mitsubishi HC Capital UK. It funds equipment via asset finance options including hire purchase and finance lease, plus sector products such as business car and equipment finance. Repayments are fixed rentals over a set term, with typical deposits from 10% on hire purchase. Asset finance overview and deposit guidance.

For working capital, its Novuna Business Cash Flow division provides invoice financing (factoring and discounting). Advances are up to 90% of an invoice value, typically within 24 hours. Startups can be considered, with a preference for homeowners. Minimum turnover is £50,000, and invoice discounting is usually for firms with £500,000+ turnover. See invoice finance eligibility and the promise of “up to 90% within 24 hours” on invoice finance.

Terms vary by asset and facility. Internal documents show terms are set in months with custom profiles, deposits and fees captured in the agreement. See Novuna’s Mercury guide for how term lengths and deposits are set at proposal stage.

Pros of Novuna

• Strong specialism in asset-backed funding with clear HP and lease options. Product page.
• Invoice finance advances up to 90% within 24 hours to ease cash flow gaps. Eligibility page.
• Transparent guidance on deposits. Typical minimum 10% for HP. FAQ.
• Can support newer businesses under invoice finance with homeowner preference. Eligibility.

Cons of Novuna

• Public rate cards are not published, so pricing is case-by-case.
• HP may require a deposit, which ties up some cash up front. FAQ.
• Some facilities and terms depend on asset type and credit profile, which can lengthen underwriting.

Time Finance overview, loan sizes, fees, repayment style, terms, eligibility

Time Finance is a non-bank lender offering asset finance, invoice finance, and secured term loans. Its secured business loans range from £50,000 to £500,000 with terms up to 5 years, typically secured on property or other collateral. See secured loan details. Its asset finance solutions cover hard and soft assets with terms up to 5 years. See asset finance.

For invoice financing, Time Finance advances up to 90% of an invoice’s value, with funds available within roughly 24 hours after invoice upload. It offers both disclosed factoring and confidential discounting. See invoice finance overview and disclosed vs confidential.

Time Finance also runs a Growth Guarantee Scheme route for asset finance. Facility terms are typically 36 to 60 months under this scheme and can start from £1,000 on assets, subject to eligibility. See Growth Guarantee Scheme. Investor materials indicate a strategic focus on secured loans and asset-based solutions. See the Sept 2024 investor presentation.

Pros of Time Finance

• Clear secured loan range £50k–£500k with up to 5-year terms. Business loans.
• Invoice finance up to 90% within 24 hours; choice of factoring or discounting. Invoice finance.
• Multi-product support including ABL, giving one lender across assets and cash flow. Annual report 2024.
• Scheme-enabled asset finance terms often 36–60 months. GGS details.

Cons of Time Finance

• Secured loans require collateral, which may not suit all SMEs. How business loans work.
• Public APRs and fee tables are not published, so quotes vary by case.
• Recent strategy has exited smaller unsecured loans, so unsecured options are limited. Investor presentation.

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Costs and Repayments in Practice

Both lenders price to risk, asset type and security. For asset finance and term loans, expect a fixed repayment schedule. For invoice financing, costs split into a service fee and a discount rate applied to funds drawn. Advance rates are up to 90% for both lenders, with funds typically available within about 24 hours on approved facilities (Novuna; Time Finance).

Sources within table: Novuna HP deposit guidance; Novuna invoice finance eligibility and advance; Time Finance loan range and terms; Time Finance invoice finance pages linked above.

Worked example: Novuna hire purchase (assumptions)

Assume a business buys £50,000 of machinery using hire purchase. Deposit 10% (£5,000). Amount financed £45,000. Illustrative APR 9.9%. Term 48 months. Monthly repayment about £1,139. Total repayable over term about £54,680. Add a £150 documentation fee at inception and a £100 option-to-purchase fee at the end. Total cash cost about £59,930 including the deposit. Deposit expectation from Novuna HP deposit FAQ. Term and structure aligned with Novuna’s agreement process. Actual pricing will vary.

Worked example: Time Finance secured loan (assumptions)

Assume a £100,000 secured loan over 60 months. Illustrative APR 11.5%. Monthly repayment about £2,199. Total repayable about £131,956. Add a 3% arrangement fee (£3,000). If paid upfront, total cash out over the life becomes about £134,956. Time Finance states loan sizes from £50,000 to £500,000 with terms up to 5 years. See loan details. Actual pricing will vary and collateral, sector and credit will change the quote.

Assumptions: We use typical UK SME examples for illustration where lenders do not publish rate cards. We show deposits, fees and rounding for clarity. Always rely on a written lender quote for exact figures.

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Speed and Service

For invoice financing, both lenders indicate funds can be available within about 24 hours of raising or uploading the invoice, once the facility is live (Novuna; Time Finance). For loans and asset finance, underwriting time depends on the asset, security and documents. Novuna notes that, once approved, funds are typically available within 24 hours on quick business loans. See Novuna quick funding guidance.

Time Finance outlines how secured loans work and when collateral is helpful for approval. See how loans work. It also highlights scheme-enabled asset finance terms (often 36–60 months) under the Growth Guarantee Scheme, which can streamline some processes. See GGS.

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Who Each Lender Suits

Typical scenario for Novuna

• An engineering firm wants to acquire CNC machinery. It prefers fixed rentals and an option to own. A 10% deposit is acceptable. Novuna’s asset finance with hire purchase is a natural fit.
• A recruiter has long payment terms. It needs to release cash from invoices quickly. Novuna’s invoice financing advances up to 90% within 24 hours, with eligibility from £50,000 turnover and discounting usually for £500,000+ turnover. See eligibility.
• A fleet operator wants predictable monthly costs on vehicles. Novuna’s vehicle and equipment finance can match this with fixed rentals and fees set in the agreement. See asset finance.

Typical scenario for Time Finance

• A wholesaler needs a larger cash injection to fund growth and stock. It can offer property security. Time’s secured term loans run £50k–£500k up to 5 years. See loan page.
• A manufacturer wants new plant and software. It values one relationship for soft and hard assets. Time’s asset finance covers both and can link with ABL if needed. See asset finance.
• A service firm wants to shorten cash cycles. Time’s invoice finance can advance up to 90% and optionally manage collections under factoring. See invoice finance.

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How to Apply

Application steps and documentation required for each lender

Novuna. Decide the product: asset finance or invoice financing. For asset finance, you select HP or lease and agree the term and deposit. Novuna’s proposal process captures term months, deposits, fees and VAT options at agreement stage. See the Mercury guide. For invoice finance, Novuna lists key eligibility points and invites quotes online. Documents usually include recent bank statements and filed accounts; scheme routes may request three recent bank statements and latest filed accounts. See Novuna’s Growth Guarantee Scheme page.

Time Finance. Choose from term loans, asset finance or invoice financing. For secured loans, Time explains how loans work, repayment styles and when security helps approval. See how business loans work. For asset finance under the Growth Guarantee Scheme, Time shows minimum and maximum facility sizes and typical terms of 36–60 months. See GGS page. Expect to provide accounts, bank statements, details of security and, for invoice finance, a debtor ledger and sample invoices.

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Final Verdict: Which Lender Fits Your Business Best

Choose Novuna if…

• You want structured asset finance with clear HP or lease choices and are comfortable paying a deposit.
• You need fast cash against B2B invoices with advances up to 90% and you meet the eligibility criteria.
• Your priority is predictable rentals and the option to own at the end of HP.
• You prefer a specialist asset and invoice finance partner.

Choose Time Finance if…

• You want a larger secured term loan between £50k and £500k over up to 5 years.
• You prefer one lender for loans, asset finance, and invoice finance.
• You are happy to offer collateral to improve pricing and approval odds.
• You want scheme-enabled asset finance terms with scope for ABL.

Both lenders can work for UK SMEs. The right choice depends on whether you mainly want to acquire assets, unlock cash from invoices, or raise a larger secured loan for growth. If you would like an independent view on fit and documentation, speak to Funding Agent or send details via our enquiry form. We can help you compare term sheets and check total cost of finance across options.

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Sources

• Novuna Business Finance – Business Finance
• Novuna Business Finance – Asset Finance
• Novuna – HP Deposit FAQ (minimum 10%)
• Novuna Business Cash Flow – Invoice Financing
• Novuna Business Cash Flow – Invoice Finance Eligibility
• Novuna – Quick Business Loans guidance
• Novuna – Mercury Comprehensive User Guide
• Time Finance – Business Loans (£50k–£500k, up to 5 years)
• Time Finance – Asset Finance
• Time Finance – Invoice Finance
• Time Finance – Disclosed vs Confidential Invoice Finance
• Time Finance – How Business Loans Work
• Time Finance – Growth Guarantee Scheme for Asset Finance
• Time Finance – Investor Presentation Sept 2024
• Time Finance – Annual Report 2024

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