Top Lenders for Unsecured Bad Credit Unsecured Business Loans in the UK

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 2025-10-09.

1. Funding Agent

Funding Agent specializes in unsecured business loans tailored for SMEs with bad credit. Known for quick approvals and flexible terms, it caters to those seeking transparent options with manageable repayment structures. Here's what to know:

Loan Details

• Min Amount: £1,000
• Max Amount: £500,000
• Min APR: 6.9%
• Max APR: 15.9%
• Loan Duration: 6-72 months⌛

Services & Industries

• Finance Types: Business Loans, Unsecured Loans
• Industries: General Business

Pros

• No impact on credit score for applications
• Quick approvals
• Flexible loan terms

Cons

• Higher interest rates for bad credit

Sources: https://www.fundingagent.co.uk/post/top-10-bad-credit-business-loan-lenders-in-the-uk

2. Funding Circle

Funding Circle offers peer-to-peer lending for small UK businesses needing quick access to finance. It is suitable for those requiring flexible repayment terms and competitive rates. Here's what to know:

Loan Details

• Min Amount: £10,000
• Max Amount: £750,000
• Min APR: 6.9%
• Max APR: 12%
• Loan Duration: 6-60 months⌛

Services & Industries

• Finance Types: Business Loans, Term Loans
• Industries: General Business

Pros

• Competitive rates
• Simple application process

Cons

• Interest rates may be high for riskier borrowers

Sources: https://www.fundingcircle.co.uk/

3. Nucleus Commercial Finance

Nucleus Commercial Finance provides funding solutions primarily for SMEs needing growth finance or refinancing. It offers secured and unsecured options, often brokered for tailored deals. Here's what to know:

Loan Details

• Min Amount: £10,000
• Max Amount: £2,000,000
• Min APR: 5%
• Max APR: 18%
• Loan Duration: Unknown⌛

Services & Industries

• Finance Types: Business Loans
• Industries: Various

Pros

• Tailored solutions
• Flexible terms

Cons

• Higher rates for lower credit qualities

Sources: https://www.fundingagent.co.uk/post/funding-circle-vs-nucleus-commercial-finance

4. Iwoca

Iwoca provides flexible business loans focused on quick digital access. Suitable for SMEs needing fast online decisions, it offers a range of unsecured and secured options, often with flexible repayment plans. Here's what to know:

Loan Details

• Min Amount: £1,000
• Max Amount: £1,000,000
• Min APR: 6%
• Max APR: 15%
• Loan Duration: Unknown⌛

Services & Industries

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

Pros

• Fast application process
• Flexible repayment options

Cons

• Interest can be high for small loans

Sources: https://www.iwoca.co.uk/business-loan-calculator

5. Lending Crowd

Lending Crowd offers peer-to-peer lending for small UK businesses. It provides flexible lending options often brokered for tailored deals, suitable for those seeking quick access and good rates. Here's what to know:

Loan Details

• Min Amount: £75,000
• Max Amount: £500,000
• Min APR: 6.95%
• Max APR: 12.25%
• Loan Duration: 6-60 months⌛

Services & Industries

• Finance Types: Business Loans, Peer-to-Peer Loans
• Industries: Various

Pros

• No additional fees
• Personalised service

Cons

• Funding might take time

Sources: https://www.equitygap.co.uk/portfolio-item/lending-crowd/

6. Momenta Finance

Momenta Finance offers financial solutions including growth capital and refinancing. It provides for SMEs looking for flexible terms and brokered loan deals, potentially secured or unsecured. Here's what to know:

Loan Details

• Min Amount: £50,000
• Max Amount: £350,000
• Min APR: 7.5%
• Max APR: 0%
• Loan Duration: 6-72 months⌛

Services & Industries

• Finance Types: Business Loans
• Industries: General Business

Pros

• Tailored solutions
• No security needed for unsecured loans

Cons

• Interest rates can vary

Sources: https://momentafinance.co.uk/

7. Fleximize

Fleximize provides flexible business financing, often with brokered or quick approval options. It suits SMEs wanting fast access with adaptable repayment plans. Here's what to know:

Loan Details

• Min Amount: £5,000
• Max Amount: £500,000
• Min APR: 10.2%
• Max APR: 0%
• Loan Duration: 3-48 months⌛

Services & Industries

• Finance Types: Business Loans, Flexible Loans
• Industries: Marketing, General Business

Pros

• Loyalty pledges for lower rates
• Fast funding

Cons

• Rates can vary depending on loan type

Sources: https://www.fleximize.co.uk/

8. 365Finance

365Finance offers flexible funding options suitable for various business needs. It features quick, unsecured funding with no fixed repayment plans, often brokered through online channels. Here's what to know:

Loan Details

• Min Amount: £10,000
• Max Amount: £400,000
• Min APR: 0%
• Max APR: 0%
• Loan Duration: Variable⌛

Services & Industries

• Finance Types: Revenue-Based Finance
• Industries: General Business

Pros

• No APR or fixed monthly payments
• Rapid approval

Cons

• Potential higher costs due to terms

Sources: https://www.365finance.co.uk/

9. JPM Capital

JPM Capital provides unsecured business loans often for growth or cash flow needs. It offers quick access to funding with flexible terms, mainly brokered for streamlined deals. Here's what to know:

Loan Details

• Min Amount: £5,000
• Max Amount: £50,000
• Min APR: 24%
• Max APR: 30%
• Loan Duration: 3-36 months⌛

Services & Industries

• Finance Types: Unsecured Business Loans
• Industries: Various

Pros

• Quick funds release
• No collateral needed

Cons

• Higher interest for bad credit

Sources: https://www.jpmcapital.co.uk/

10. Love Finance

Love Finance offers rapid funding primarily for UK businesses needing unsecured loans. It emphasises quick processing and competitive rates, suitable for those seeking fast access to capital. Here's what to know:

Loan Details

• Min Amount: £1,000
• Max Amount: £750,000
• Min APR: 6.9%
• Max APR: 0%
• Loan Duration: Variable⌛

Services & Industries

• Finance Types: Business Loans, Unsecured Loans
• Industries: General Business

Pros

• Fast application process
• Competitive rates

Cons

• Repayment terms can vary per loan

Sources: https://www.lovefinance.co.uk/

How to choose

Matching the right lender to your needs is key. Consider whether you prefer direct bank access, brokered deals, or specialist lenders for bad credit. Evaluate your funding amount, speed requirements, and repayment flexibility. Check eligibility criteria and fees carefully before making a decision. Different lenders cater to different situations. Making an informed choice involves reviewing their service quality and terms.

Conclusion

Matching your funding needs with the right provider is important. Banks often offer straightforward products but can be slower. Brokers can access tailored deals, especially for bad credit. Specialist lenders like Funding Agent focus on quick, flexible unsecured loans. Always confirm current costs and terms with the lender; pricing may change. Funding Agent is a strong choice for SMEs that want quick comparisons across multiple options. Other providers suit larger amounts, asset-backed needs, or sector specialisms. Always verify details before applying.