Why UK Businesses Consider Refinancing in 2024

Many businesses face rising costs, seasonal cashflow pressure or opportunities for growth that need better financing. Refinancing lets companies restructure existing borrowing to reduce monthly payments, consolidate multiple facilities, fix or change interest types, or release equity from assets. For firms with plans to expand or who want to simplify repayment schedules, refinancing can be a practical route to improved liquidity.

Fast Business Loans is an introducer: we connect limited companies with brokers and lenders who can assess refinancing options. Our service is free to use and carries no obligation — simply tell us what you need and we’ll match you to appropriate finance partners. Get a Free Eligibility Check.

A Faster Route to the Right Refinance Partner

Refinancing can be complex; matching with the right broker who specialises in business debt restructuring speeds the process and improves outcomes. Here’s how Fast Business Loans helps:

Step 1: Complete a Two‑Minute Enquiry

Tell us brief details about your business, existing borrowing and the outcome you want. This enquiry is free, no obligation, and does not impact your credit score. Start your Free Eligibility Check.

Step 2: We Connect You to Trusted Brokers & Lenders

We use your information to match you with panel partners who have relevant sector experience and the appetite for refinance transactions. You’ll receive contact from brokers or lenders who can discuss options tailored to your needs.

Step 3: Compare Tailored Offers & Decide

Review the proposals, compare fees and repayments, and pick the solution that fits your business. You remain in control — there’s no obligation to proceed with any offer.

What Does Refinancing a Business Loan Involve?

Refinancing typically means replacing one or more existing finance agreements with a new facility on revised terms. Common approaches include:

• Loan refinance / consolidation: combine several loans into a single facility — often to lower monthly outgoings.
• Asset refinance: release capital tied up in equipment or property by refinancing against those assets.
• Commercial mortgage refinance: alter terms on property debt to reduce payments or extend term.
• Switching product type: e.g., moving from a variable rate overdraft to a fixed-term loan for predictability.

Which route suits you depends on the business’s cashflow, remaining term on existing debt, security available and credit profile. Availability and exact rates are determined by the lender following assessment.

Common Situations Where Refinancing Helps

• Multiple high-cost facilities causing administrative complexity.
• Short-term working capital pressures that need lower monthly payments.
• Ownership restructuring or sale planning where cleaner balance sheets help.
• Interest rate rises that make fixed-rate consolidation attractive.
• Need to free up cash from assets for investment or growth.

Potential Advantages and Key Considerations

Potential Benefits

• Lower monthly repayments and improved immediate cashflow.
• Simplified debt servicing via a single payment and lender relationship.
• Possible reduction in interest costs if market rates and terms are favourable.
• Release of working capital from secured assets (equipment, property).
• Opportunity to change repayment structure to better match seasonality.

Points to Assess Carefully

• Arrangement fees, legal costs and valuation charges — these may offset monthly savings.
• Early repayment charges on existing facilities.
• Longer-term interest cost if you extend the term to reduce monthly payments.
• Security required — refinancing may need different or additional collateral.
• Eligibility: lenders assess trading history, turnover and financial performance.

We recommend you consider advice from an accountant or financial adviser before committing to a change. Fast Business Loans introduces you to brokers who can help run the numbers and identify whether refinancing is sensible for your business.

Talk to a refinance specialist ›

Who Can Apply for Business Refinance?

Typical lender criteria include:

• Limited companies with a minimum trading history (varies by lender).
• Minimum loan amounts generally start from around £10,000 upwards.
• Turnover and profitability requirements depend on the product and lender risk appetite.
• Credit history and existing debt levels influence terms; some lenders consider businesses with imperfect credit via specialist brokers.
• Assets offered as security (property, plant, equipment) can broaden options.

Complete our short enquiry and we’ll match you with partners who specialise in your sector and circumstances. Check my eligibility in minutes.

Popular Refinance Routes We Can Introduce

Loan Consolidation & Term Loan Refinance

Combine multiple loans into one term loan. Typical amounts: £10k–£1m+. Turnaround: days to a few weeks. Useful to reduce admin and achieve lower monthly payments.

Asset & Equipment Refinance

Use equipment and machinery to refinance existing borrowing or purchase new assets. Typical amounts and terms depend on asset age and value. Turnaround: often faster with clear valuations.

Commercial Mortgage & Property Refinance

Refinance property debt to improve rates or extend term. Suitable for businesses with premises or investment property. Typical amounts: £50k–£multi‑million; timescale varies with valuation and legal process.

Invoice Finance Refinance

Move or restructure invoice finance facilities to better costed or higher advance rates. Typical for businesses with substantial outstanding invoices.

Merchant Cash Advance Refinance

Specialist brokers may arrange refinance or consolidation for MCA arrangements — often to convert percentage-of-sales repayments into a fixed-term loan.

Figures are illustrative; lenders will provide personalised terms following assessment.

Understanding Costs, Rates and Repayments

Rates can be fixed or variable, and borrowings may attract arrangement fees, valuation costs, legal fees or early settlement charges. Always ask lenders for an APR figure and a full fee schedule.

Illustrative example (for education only)

Discuss scenarios with a broker to understand net benefit after fees. Fast Business Loans will connect you to partners who provide detailed quotes following review of your documents.

What to Prepare Before You Apply

Having documents ready speeds assessment:

• Latest filed accounts and management accounts.
• Business bank statements (3–6 months).
• Existing loan agreements and repayment schedules.
• Asset valuations or invoices for equipment.
• Proof of identity and business registration documents.

Organise these in advance to help brokers obtain quotes quickly.

How Long Does Business Refinancing Take?

Simple refinances can be arranged within days where fast-track lenders or brokers are used. More complex deals — especially those involving property valuation or lender security changes — commonly take 2–4 weeks or longer. Speed depends on document readiness, valuation times and legal processes.

Get started — funding decisions often within days.

Managing Risk and Protecting Your Business

Before refinancing, stress-test new repayments against lower revenue scenarios. Check for:

• Early repayment charges on existing debt.
• Any personal guarantees or cross‑collateralisation that might be required.
• How fees and longer terms affect total interest paid.

We encourage independent advice from your accountant or solicitor where appropriate. Fast Business Loans introduces you to brokers who will explain provider terms; all final lending decisions rest with the lender.

Why Businesses Choose Fast Business Loans for Refinancing

• Fast matching to lenders and brokers who specialise in refinancing.
• Short enquiry that doesn’t affect your credit file.
• Free to use — no charge for introductions.
• Access to a wide panel, including specialist and mainstream providers.
• Support for transactions from £10,000 upwards.

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Free Eligibility Check – No Credit Impact

Refinance Loans FAQs

Can I refinance if I have multiple existing loans?

Yes. Many businesses consolidate several facilities into one refinance arrangement. We will match you to brokers experienced in multi‑loan restructuring.

Will refinancing affect my credit score?

Submitting an enquiry via Fast Business Loans does not impact your credit score. Lenders may perform credit checks if you apply with them directly.

Are there fees for using Fast Business Loans?

No. Our introducer service is free for businesses. Any broker or lender fees will be disclosed by the provider before you proceed.

What if I’ve been declined elsewhere?

We work with a broad panel including specialist brokers who may have alternative routes. Complete our enquiry and we’ll try to match you to partners with appropriate appetite.

Is collateral always required for refinancing?

Not always — unsecured solutions exist for some businesses, but larger amounts or improved rates often require security. Matching with the right broker helps identify the best balance for your circumstances.

Check Your Refinance Options Today

Refinancing could reduce monthly pressure and give your business more runway. Fast Business Loans will connect you to lenders and brokers who can provide tailored quotes and next steps. It’s quick, free and will not affect your credit score. Get Your Refinance Quote

Fast Business Loans is an introducer and does not provide finance or financial advice. All finance is subject to status and lender approval. Terms, conditions and fees vary by provider. Consider independent advice where appropriate.