What is business loan refinancing?

Refinancing means replacing an existing business loan or multiple facilities with a new funding arrangement that better meets your company’s needs. The aim can be to secure a lower rate, longer term, more flexible repayments, consolidate several debts into one facility, or release equity tied up in assets. Refinance is different from restructuring (which may involve negotiated changes with your current lender) — refinancing usually involves a new lender or broker offering a new product.

Fast Business Loans is an introducer: we connect limited companies to lenders and brokers who specialise in business finance. We do not provide loans or regulated financial advice; our role is to find appropriate partners who may be able to help.

When refinance could help your business

Refinancing is worth considering when your existing borrowing is creating strain or preventing growth. Typical scenarios include:

Improve cash flow & reduce monthly outgoings

Switching to a lower-rate loan or extending the term can reduce monthly payments and improve short-term liquidity. Example: a company reduces monthly repayments by consolidating high-rate facilities into a single lower-cost loan — this could free several thousand pounds per month for operating costs (outcomes vary by case).

Consolidate multiple business debts

Managing several lenders and repayment dates is time-consuming and expensive. Consolidation simplifies administration and often reduces the combined cost of credit.

Access better terms from new lenders

Lenders specialise in different sectors and credit profiles. A business may get improved covenants, a more suitable repayment schedule, or specialist support by switching to a lender or broker who understands its industry.

Release equity or extend the term

Refinance can release working capital (for example by remortgaging commercial property or refinancing asset finance), or extend terms to smooth cashflow. Bear in mind longer terms can increase total interest paid.

Check Refinance Eligibility in 2 Minutes — complete our short enquiry and we’ll match you with lenders and brokers who can provide indicative options.

Common types of refinance solutions we can introduce

Through our network, we can introduce refinance options for a wide range of facilities. Examples include:

Secured business refinance

Loans secured against commercial property or other assets often offer lower rates for larger amounts. Suitable when directors wish to refinance an existing secured facility or remortgage to release capital.

Unsecured commercial refinance

For established companies with strong trading performance, unsecured loans can refinance smaller facilities without taking new security — generally available from £10,000 upwards.

Invoice & asset finance refinance

Swap or consolidate invoice discounting, factoring, hire purchase or equipment finance to improve terms or release cash tied in assets or invoices.

Merchant cash advance refinance

Some specialist lenders/brokers provide refinance or consolidation options for merchant cash advances or other higher-cost merchant facilities.

Every solution has trade-offs (security, fees, term length). Our partners will outline these so you can compare total cost and suitability.

How our free matching service works

Fast Business Loans makes the refinance process straightforward and fast:

1. Complete our short enquiry (takes around 2 minutes) — Get Quote Now.
2. We match you with lenders or brokers best suited to your sector, loan size and credit profile.
3. Selected partners contact you directly to discuss options and request documents.
4. Compare offers and choose the one that suits your business — there’s no obligation to proceed.

Submitting an enquiry is free and does not commit you to a loan. At this stage no hard credit search is carried out; lenders may request formal checks later with your permission.

Eligibility snapshot & information required

While lender criteria vary, common requirements include:

Typical lender criteria

• Limited company trading for at least 6–12 months (some specialists accept shorter trading histories).
• Turnover thresholds differ by product — many lenders consider balances and profitability rather than headline turnover alone.
• Credit profile and historic payments; some lenders specialise in cases with past adverse credit.

Documents & details to prepare

• Recent management accounts or annual accounts
• Business bank statements (usually last 3–6 months)
• Details of existing facilities (balances, monthly payments, interest rates, any early repayment charges)
• Information on security (property or assets) if relevant

Having these to hand speeds up comparisons and allows brokers to provide accurate indicative options.

Advantages of comparing refinance offers via Fast Business Loans

• Speed — a single enquiry connects you to multiple suitable lenders/brokers.
• Sector expertise — we match you with partners familiar with your industry.
• Confidential — we share details only with selected partners who can help.
• No charge for our service — you only engage with lenders/brokers if you choose to.

We help you see the whole picture so you can assess total cost, fees and benefits before committing.

Cost considerations & responsible borrowing

Refinancing can save money, but there are costs to consider:

• Arrangement or broker fees
• Valuation, legal or administrative fees
• Early repayment charges from your existing lender

Always compare the total cost of credit and perform a break-even analysis: lower monthly payments may extend the term and increase overall interest. If unsure, seek independent financial advice. Our matching service is free and designed to give you options so you can make an informed decision.

Step-by-step: getting started today

1. Prepare basic business details and a summary of current borrowing.
2. Complete our short enquiry form — it takes under 2 minutes: Free Eligibility Check.
3. We match you to the most relevant lenders and brokers who will contact you with next steps.
4. Review and compare the offers and select the solution that best fits your needs.

Minimum loan amounts usually start at around £10,000 through our partners. There is no obligation to accept any offer.

Real-world refinance use cases

Case study — Manufacturing SME

Challenge: £120k of hire purchase and an overdraft with high monthly charges. Solution: Introduced to a specialist broker who consolidated the facilities into a secured term loan at a lower rate. Result: Improved monthly cashflow and single monthly repayment; freed management time on finance admin (results vary).

Case study — Hospitality group

Challenge: Multiple merchant cash advances and invoice finance creating variable costs. Solution: Broker negotiated consolidation and longer-term facilities with predictable repayments. Result: Lower effective cost and more reliable cashflow forecasting.

These examples are illustrative. Outcomes depend on your circumstances, security offered and lender terms.

Learn more about specific refinance solutions such as refinance loans to see how different options work in practice.

Refinancing FAQs

Is refinancing right if my business has adverse credit?

Some lenders and brokers specialise in cases with previous credit issues. Terms will vary; disclose your history early so partners can match you to appropriate options.

Will applying to refinance affect my credit score?

Submitting our enquiry does not trigger a hard credit check. Lenders or brokers may perform formal credit searches later with your consent.

How long does a refinance decision take?

Indicative offers can often be provided within 24–72 hours once documents are supplied. Completion times depend on security, legal work and lender processes.

Can government-backed loans (e.g., CBILS/BBLS) be refinanced?

Refinancing government-backed facilities depends on the original terms and the new lender’s policies. Specialist partners can advise on compliant options before you proceed.

What if my current lender charges exit fees?

Exit or early repayment fees are common. When comparing offers, include these costs in your calculations to determine the true benefit of refinancing.

Do I need to offer security to refinance?

Not always. Unsecured options exist for qualifying businesses, but larger or lower-risk facilities may require security such as property or business assets.

Talk to us about business refinance today

If you’re ready to explore refinance options, start with a quick, no-cost enquiry. We’ll match you to lenders and brokers who specialise in your sector and needs. Complete the short form now and receive tailored contacts from partners who can deliver quotes and next steps: Get Started — Free Eligibility Check.

Note: Fast Business Loans is an introducer that connects limited companies to lenders and brokers. We do not provide loans or financial advice.