New product allows SMEs to borrow £25k to £20m against property
Nucleus Commercial Finance today announces the launch of Start-Up Finance, a new type of loan that is specifically tailored for start-ups, to help get their business off the ground. Young companies can borrow between £25k and £20m, with a secured interest-only loan, over a period of up to five years.
Using property as collateral enables SMEs to borrow what they need, when they need it, at competitive rates. At the end of the secured loan term, companies can choose to exit and refinance, or migrate to a term loan with the Nucleus team. To apply, clients just need a business plan and their cash flow forecasts.
Start-up companies often struggle to secure funding, without enough of a track record to qualify for many traditional loan products. Any capital they do have must generally be re-invested to fund basic business functions and growth. Even with impeccable credentials and a spotless credit history, it can still be hard to navigate the funding landscape. Banks often take a long time to give businesses a decision and many businesses find that they are denied their full loan request through traditional routes. This is a tough and time-consuming set-back when starting out – and this lack of early funding can potentially jeopardise an investment vital to the future of a business.
Nucleus’ bespoke approach to finance structures each loan around the individual business’ requirements, providing more flexibility than a typical lender. Our team of credit and sector specialists provide the expertise and support to help early-stage companies understand their finance requirements, and build uniquely tailored packages that fit their needs.
Chirag Shah, CEO at Nucleus Commercial Finance comments, “The goal of Start-Up Finance is to fund businesses that will succeed. It is my belief that companies should feel enabled by their lender, not stifled. Start-up businesses need a transparent lending partner, not a payday loan and currently they have very little choice of products available to them.”