UK business loans by use case
Specific funding triggers covered properly. Each use case has its own product mix, lender shortlist and watch-outs.
VAT loan
Short-term loan timed to your VAT bill. The lender pays HMRC on your behalf or transfers cash to you; you repay over 3 to 6 months out of next-quarter cashflow. Useful when a VAT bill collides with a thin trading month.
HMRC tax loan
Funding to pay an HMRC bill (corporation tax, PAYE, VAT, NIC) when the cashflow timing does not work. UK SMB lenders fund these as standard term loans tied to a tax-bill use of proceeds.
BBL / RLS refinance
Existing Bounce Back Loan facilities continue with the Pay As You Grow option. Some borrowers want to refinance into commercial lending, useful if you need additional capital, but worth modelling: the BBL's 2.5% fixed rate is below most commercial alternatives.
Fit-out loan
Capex funding for fitting out new premises. Different from buying the premises (commercial mortgage) and from buying equipment (asset finance). Often blends the three.
Partner buy-out
Funding for one director or shareholder to buy out another. Common in long-running family businesses or agency partnerships where one principal exits.
Small MBO
Funding for the management team to buy the business from the owner. UK SMB MBOs typically run £500k to £10m. Below that the deal mechanics still apply but mainstream MBO lenders are less interested.