Small Business Loan

Funding for your business
that's fast,
simple and flexible

We created this loan to help small businesses prosper

Fixed rate of interest

No arrangement fees

Borrow from £1,000 to as much as £50,000 (subject to approval)

Apply online in under 10 minutes if you’re already a customer

If you’re an existing customer, you could be eligible for personalised rates.

Existing customers - Login to our business lending application (with no obligation) or contact your Relationship Manager.

Our Small Business Loan has been created for businesses with an annual turnover of up to £2m. We have other loans for businesses with a turnover above £2m.

This loan in detail…

Features

Fixed rate of interest

The monthly repayments won’t change throughout the duration of the loan, so it’s easier managing your outgoings.

No early repayment charges

We’re helping to keep your costs down by not charging early repayment fees.

No arrangement fees

Yes, you read that correctly. Setting up the loan is completely free!

Borrow from £1,000 to £50,000

It’s the easy way to finance your business and help it grow, whether you want to purchase equipment, inventory or simply increase working capital. Subject to status.

Borrow from 1 to 10 years

The longer the term, the smaller your monthly repayments. This flexibility can help you budget.

Charges

Interest rate

We’ll explain how your interest rate is calculated

Interest rates – in detail

Your interest rate is calculated on the loan term, the amount you want to borrow and your status. To help you make a comparison to other products, an AIR (Annual Interest Rate) is converted to an APR (Annual Percentage Rate). 

What you should know

  • You need to make a repayment every month
  • You’ll be paying off the capital and the interest
  • You cannot take a repayment holiday at the beginning or in the middle of this loan
  • You can’t do a tranche drawdown (take the loan in instalments) 

Form of guarantee

The personal, director or member’s guarantee is the only form of guarantee we’ll need for our Small Business Loan.

Guarantees – in detail

A director, partner or member’s guarantee is a personal guarantee that confirms that you (the director) will be liable for the company’s debt. If you cannot meet the debt, we might seek additional security to settle that debt.

Wish to borrow £25k or less? Discover the rates you're likely to pay and check your eligibility.

Already have a Royal Bank of Scotland Business account?

  • If you have online banking you can find out how much you could borrow and get a personalised quote. Login now
  • If you have a Relationship Manager please contact them to find out how much 
you could borrow.

Amount you'd like to borrow

Note: You can only check rates up to £25k. You can  still apply online for up to £50k.

You'd like to repay it over

  • The rate you pay depends on your circumstances and loan amount may differ from the Representative APR.
  • Representative APR (Annual Percentage Rate) is used for comparison purposes and shows the annual interest rate we expect at least 51% of customers who are accepted for and enter into a loan agreement with us to get. APR takes into account not just the interest on the loan but also other charges you have to pay, for example, any arrangement fee.

Representative example

Monthly repayments

£7,500

Interest rate % (fixed)

8.2%

Total repayment

£8,253.00

Representative APR (variable)

£137.55

There's no obligation and you won't be credit checked.
 

80% of SME customers received an end quote that was the same, better or no more than 10% above their indicative quote. 

You may also eligible for a Business Overdraft

  • The rate you pay depends on your circumstances and loan amount may differ from the Representative APR.
  • Representative APR (Annual Percentage Rate) is used for comparison purposes and shows the annual interest rate we expect at least 51% of customers who are accepted for and enter into a loan agreement with us to get. APR takes into account not just the interest on the loan but also other charges you have to pay, for example, any arrangement fee.

Useful info about our Small Business Loan

You’ll need the personal details of all of the partners, directors, members or signatories of the business (including their home addresses for the last 3 years). You’ll also need your business details, including your Company’s Registration Number (provided by Companies House) if you’re a limited company. Also, details of any countries you or your business is registered for tax purposes in and details of your business' year end accounts or cashflow forecasts. Find out more in the "Ready to apply" section, which will help you to prepare.

A poor credit rating or score can mean you are charged higher interest rates or given a smaller credit limit or even refused lending. Remember that we don't have to give you the interest rate we are advertising or that you have seen on comparison websites.

All assessments of eligibility for lending are done on the basis of the credit history of the individual, business owners or directors. Credit Scoring is part of the process used by banks and other lenders to help assess whether they will lend to you.

We have a guide on appealing a lending decision here.

No, you’re still very welcome to apply. We’ll just have to ask you a few more questions than we would if you were an existing customer.

Afraid not. However, if you were looking to borrow over £50,000, our Fixed Rate Loan and Variable Rate Loan both offer the option for repayment holidays.

Our Small Business Loan is designed for businesses with a turnover of up to £2m. If your turnover is above this, we have a selection of commercial loans that might be right for you.

If you're an existing customer, it's really important that your personal and business details are close matches to what we have on your file. If they’re different, it will be worth updating them before you apply.

If in doubt, please check what is on file at Companies House and update any out of date information before you apply.

Please be accurate with your income declaration. If we believe you can't afford the repayments on the amount you apply, you may be declined.

For instance, if you declare an income of £250,000 and we see £180,000 going through your Royal Bank account, your application may be referred or declined.

You will need to speak to your relationship manager if you wish to borrow more than £50,000, or if your aggregate debt with us exceeds £50,000.

Ready to apply

Great, thanks for choosing our Small Business Loan. Let’s get started. Are you a…

Would you like to use our eligibility checker?

Great, you'd like to use our eligibility checker. You can use our eligibility checker if you want to find out if you are likely to be approved, without affecting your credit score.

You’ll be taken to a different page, but you can continue where you left off.

What kind of business are you?

So, you’re a sole trader. Here are the things we’ll need from you…

Personal details

  • Full name, date and place of birth
  • Home addresses (and the date you moved there)
  • Contact details
  • Personal details for any directors, partners, members or signatories.

Business details

  • Trading and any registration addresses
  • Business contact details
  • Information about your business activity and number of employees
  • Any other trading names your business uses
  • Details of when your financial year ends

Registration for tax purposes

  • Details of any countries you (or your business) are registered in

Year-end accounts

  • Details of your business’s or cash flow forecasts

Loan details

  • What you want the loan for?
  • How much you need to borrow?
  • How long you want to repay the loan over (the term)?

And now for the important legal stuff…

To apply for our Small Business Loan, you must meet these requirements

  • You’re aged 18 or over
  • You’re a director of the business you’re applying on behalf of
  • You have not been declared bankrupt or received a County Court Judgement (CCJ) or Court Decree

Please take some time to review the important info

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Are you ready to continue?

Thanks! Looks like you’re all set and ready to begin

So, you’re a partnership. Here are the things we’ll need from you…

Personal details

  • Full name, date and place of birth
  • Home addresses (and the date you moved there)
  • Contact details
  • Personal details for any directors, partners, members or signatories.

Business details

  • Trading and any registration addresses
  • Business contact details
  • Information about your business activity and number of employees
  • Any other trading names your business uses
  • Details of when your financial year ends

Registration for tax purposes

  • Details of any countries you (or your business) are registered in

Year-end accounts

  • Details of your business’s or cash flow forecasts

Loan details

  • What you want the loan for?
  • How much you need to borrow?
  • How long you want to repay the loan over (the term)?

And now for the important legal stuff…

To apply for our Small Business Loan, you must meet these requirements

  • You’re aged 18 or over
  • You’re a director of the business you’re applying on behalf of
  • You have not been declared bankrupt or received a County Court Judgement (CCJ) or Court Decree

Please take some time to review the important info

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Are you ready to continue?

Thanks! Looks like you’re all set and ready to begin

So, you’re a limited company. Here are the things we’ll need from you…

Personal details

  • Full name, date and place of birth
  • Home addresses (and the date you moved there)
  • Contact details
  • Personal details for any directors, partners, members or signatories.

Business details

  • Trading and any registration addresses
  • Business contact details
  • Information about your business activity and number of employees
  • Any other trading names your business uses
  • Details of when your financial year ends

Your registered company number

  • This is provided by Companies House when you register your limited company with them. Please make sure your Limited Company has already been registered with Companies House for at least 48 hours before starting your application with us.

Registration for tax purposes

  • Details of any countries you (or your business) are registered in

Year-end accounts

  • Details of your business’s or cash flow forecasts

Loan details

  • What you want the loan for?
  • How much you need to borrow?
  • How long you want to repay the loan over (the term)?

And now for the important legal stuff…

To apply for our Small Business Loan, you must meet these requirements

  • You’re aged 18 or over
  • You’re a director of the business you’re applying on behalf of
  • You have not been declared bankrupt or received a County Court Judgement (CCJ) or Court Decree

Please take some time to review the important info

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Are you ready to continue?

Thanks! Looks like you’re all set and ready to begin

So, you’re a limited liability partnership. Here are the things we’ll need from you…

Personal details

  • Full name, date and place of birth
  • Home addresses (and the date you moved there)
  • Contact details
  • Personal details for any directors, partners, members or signatories.

Business details

  • Trading and any registration addresses
  • Business contact details
  • Information about your business activity and number of employees
  • Any other trading names your business uses
  • Details of when your financial year ends

Your registered company number

  • This is provided by Companies House when you register your limited company with them. Please make sure your Limited Company has already been registered with Companies House for at least 48 hours before starting your application with us.

Registration for tax purposes

  • Details of any countries you (or your business) are registered in

Year-end accounts

  • Details of your business’s or cash flow forecasts

Loan details

  • What you want the loan for?
  • How much you need to borrow?
  • How long you want to repay the loan over (the term)?

And now for the important legal stuff…

To apply for our Small Business Loan, you must meet these requirements

  • You’re aged 18 or over
  • You’re a director of the business you’re applying on behalf of
  • You have not been declared bankrupt or received a County Court Judgement (CCJ) or Court Decree

Please take some time to review the important info

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Are you ready to continue?

To begin your application you will need to talk to one of our advisors

Lines are open 9am-7pm Monday to Friday and 9am-2pm on Saturdays. Calls may be recorded and call charges from residential, business and mobiles vary, depending on your telephone operator's tariff.

Do you have a Relationship Manager?

Call your Relationship Manager

You should have a direct number for them. You can discuss applying for our Small Business Loan with them. They can start the application for you and arrange to get the appropriate signatures. 

Business and Relationship Managers are available 9am-7pm Monday to Friday and 9am-2pm on Saturdays.

Do you use Digital Banking for your business account?

As an existing Royal Bank customer, we might be able to offer you a personalised loan, so it’s not essential that you check your eligibility. You can still use our eligibility checker if you want to find out if you are likely to be approved, without affecting your credit score.

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Great! Applying for a Small Business Loan should be pretty easy.

By starting your application, you confirm that you're giving us consent to run a credit check on you and any other people listed on your application

Great, you'd like to use our eligibility checker. You can use our eligibility checker if you want to find out if you are likely to be approved, without affecting your credit score.

You’ll be taken to a different page, but you can continue where you left off.

Sorry, our online application is currently undergoing maintenance

Unfortunately you cannot apply online at this time. Please come back on the next working day. 

Would you like to use our eligibility checker?

What kind of business are you?

So, you’re a sole trader. Here are the things we’ll need from you…

Personal details

  • Full name, date and place of birth
  • Home addresses (and the date you moved there)
  • Contact details
  • Personal details for any directors, partners, members or signatories.

Business details

  • Trading and any registration addresses
  • Business contact details
  • Information about your business activity and number of employees
  • Any other trading names your business uses
  • Details of when your financial year ends

Registration for tax purposes

  • Details of any countries you (or your business) are registered in

Year-end accounts

  • Details of your business’s or cash flow forecasts

Loan details

  • What you want the loan for?
  • How much you need to borrow?
  • How long you want to repay the loan over (the term)?

And now for the important legal stuff…

To apply for our Small Business Loan, you must meet these requirements

  • You’re aged 18 or over
  • You’re a director of the business you’re applying on behalf of
  • You have not been declared bankrupt or received a County Court Judgement (CCJ) or Court Decree

Please take some time to review the important info

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Are you ready to continue?

Thanks! Looks like you’re all set and ready to begin

By starting your application, you confirm that you're giving us consent to run a credit check on you and any other people listed on your application

Thanks! Looks like you’re all set and ready to begin

So, you’re a limited company. Here are the things we’ll need from you…

Personal details

  • Full name, date and place of birth
  • Home addresses (and the date you moved there)
  • Contact details
  • Personal details for any directors, partners, members or signatories.

Business details

  • Trading and any registration addresses
  • Business contact details
  • Information about your business activity and number of employees
  • Any other trading names your business uses
  • Details of when your financial year ends

Your registered company number

  • This is provided by Companies House when you register your limited company with them. Please make sure your Limited Company has already been registered with Companies House for at least 48 hours before starting your application with us.

Registration for tax purposes

  • Details of any countries you (or your business) are registered in

Year-end accounts

  • Details of your business’s or cash flow forecasts

Loan details

  • What you want the loan for?
  • How much you need to borrow?
  • How long you want to repay the loan over (the term)?

And now for the important legal stuff…

To apply for our Small Business Loan, you must meet these requirements

  • You’re aged 18 or over
  • You’re a director of the business you’re applying on behalf of
  • You have not been declared bankrupt or received a County Court Judgement (CCJ) or Court Decree

Please take some time to review the important info

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Are you ready to continue?

Thanks! Looks like you’re all set and ready to begin

So, you’re a partnership. Here are the things we’ll need from you…

Personal details

  • Full name, date and place of birth
  • Home addresses (and the date you moved there)
  • Contact details
  • Personal details for any directors, partners, members or signatories.

Business details

  • Trading and any registration addresses
  • Business contact details
  • Information about your business activity and number of employees
  • Any other trading names your business uses
  • Details of when your financial year ends

Registration for tax purposes

  • Details of any countries you (or your business) are registered in

Year-end accounts

  • Details of your business’s or cash flow forecasts

Loan details

  • What you want the loan for?
  • How much you need to borrow?
  • How long you want to repay the loan over (the term)?

And now for the important legal stuff…

To apply for our Small Business Loan, you must meet these requirements

  • You’re aged 18 or over
  • You’re a director of the business you’re applying on behalf of
  • You have not been declared bankrupt or received a County Court Judgement (CCJ) or Court Decree

Please take some time to review the important info

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Are you ready to continue?

Thanks! Looks like you’re all set and ready to begin

By starting your application, you confirm that you're giving us consent to run a credit check on you and any other people listed on your application

Thanks! Looks like you’re all set and ready to begin

So, you’re a limited liability partnership. Here are the things we’ll need from you…

Personal details

  • Full name, date and place of birth
  • Home addresses (and the date you moved there)
  • Contact details
  • Personal details for any directors, partners, members or signatories.

Business details

  • Trading and any registration addresses
  • Business contact details
  • Information about your business activity and number of employees
  • Any other trading names your business uses
  • Details of when your financial year ends

Registration for tax purposes

  • Details of any countries you (or your business) are registered in

Year-end accounts

  • Details of your business’s or cash flow forecasts

Loan details

  • What you want the loan for?
  • How much you need to borrow?
  • How long you want to repay the loan over (the term)?

And now for the important legal stuff…

To apply for our Small Business Loan, you must meet these requirements

  • You’re aged 18 or over
  • You’re a director of the business you’re applying on behalf of
  • You have not been declared bankrupt or received a County Court Judgement (CCJ) or Court Decree

Please take some time to review the important info

How your information might be used

It's important for you to understand how we use and share your information. Please read this short summary before you continue with your application.

Are you ready to continue?

To begin your application you will need to talk to one of our advisors

Lines are open 9am-7pm Monday to Friday and 9am-2pm on Saturdays. Calls may be recorded and call charges from residential, business and mobiles vary, depending on your telephone operator's tariff.

Great, you'd like to use our eligibility checker. You can use our eligibility checker if you want to find out if you are likely to be approved, without affecting your credit score.

You’ll be taken to a different page, but you can continue where you left off.

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