Commercial Finance Broker for UK Businesses and Property Investors
Commercial finance is the funding businesses and investors use to buy, refinance, build, improve or run commercial property and operations. It is not one product but a family of them, and which one fits is set by the purpose of the money, the timescale and the security on offer.
As a whole-of-market commercial finance broker, we compare lenders across the market for each case and tell you which products fit before anything is submitted. Funding starts from £50,000, and indicative terms can often be with you within 24 hours.
What Commercial Finance Covers
The product you need follows from the job the money has to do. These are the main routes we arrange.
- Commercial mortgages – long-term loans to buy or refinance offices, shops, warehouses and other commercial property
- Semi-commercial mortgages – for buildings that mix commercial and residential use, such as a shop with a flat above
- Commercial land mortgages – funding to buy land, with or without planning permission
- Remortgaging commercial property – a new loan to replace an existing one, release capital or move to better terms
- Bridging loans – short-term funding for fast purchases, auction deals and time-critical cases
- Auction finance – funding arranged around the tight completion deadline of a property auction
- Development finance – staged funding for new builds, conversions and larger projects
- Refurbishment loans – funding to improve a property, from light works to heavy refurbishment
- Mezzanine finance – extra funding that sits behind a main loan and cuts the cash you have to put in
- Asset finance – spreading the cost of vehicles, plant and equipment
- Business loans – unsecured and secured loans for general business needs
- Invoice finance – releasing cash tied up in unpaid invoices
- Working capital finance – short-term funding to cover cash flow gaps
Commercial Property Finance: What Lenders Look At
Most commercial property lending comes down to four questions: how much you need, what the property is worth, what it earns and who is borrowing.
Deposit and loan to value. Lenders often ask for a deposit of 25% to 40% of the property value. That means loan to value of up to 75% in most cases, with a few specialist lenders going higher. Lenders will rarely fund the whole price of a commercial property.
The property. Use, condition, lease length and tenant strength all affect how a lender values the building and how much it will lend. A well-let property with a long lease is easier to fund than a vacant one.
Income and affordability. Lenders test whether rent or business profit covers the repayments with room to spare. Owner-occupiers are assessed on the trading accounts of the business. Investors are assessed mainly on rent.
The borrower. Experience, accounts and credit history all count. Adverse credit does not rule you out automatically, because specialist lenders look at what happened, how recent it was and how things look now.
Terms range from a few years up to 25 years or more, depending on the product and the lender. Our commercial mortgage requirements page sets out what lenders ask for in more detail, and when you want to test a figure, the commercial mortgage calculator shows what the rent and value support.
How We Arrange Your Commercial Finance
Tell us what you need. We ask what you are buying or funding, the price or value, how much you can put in and when you need the money. The first call usually covers it.
We match the case to lenders. We say which lenders are likely to engage, roughly what loan to value and rate to expect, and what needs sorting before an application goes in.
We prepare the application. Accounts, property details and income figures are put together the way underwriters like to read them, so questions come back early rather than late.
We manage it to completion. Valuation queries, legal questions and lender requests come to us first, and you hear what is happening and what we propose to do about it.
Why Use a Commercial Finance Broker
A bank can only offer its own products and applies its own rules. A whole-of-market broker searches the lender market for you, so you see products you would not find alone and you get one person handling the application from first call to completion.
Many deals fall over for reasons you can see coming: a valuation lower than the price, a lease too short for the lender, accounts that do not show the income, or a deadline the chosen lender cannot meet. Knowing which lender suits the case from the start is the main thing a broker adds.
Why Choose Commercial Finance Network
We have arranged commercial finance for more than ten years, for businesses and investors across the UK and internationally. We offer whole-of-market access to specialist and mainstream commercial lenders, decisions in principle usually within 24 hours, funding from £50,000, and plain advice with no hidden charges and a free, no-obligation quote.
Commercial Finance FAQs
What is commercial finance?
Commercial finance is the funding businesses and investors use to buy property, invest, manage cash flow or grow.
It is an umbrella term rather than a single product, and it takes in commercial mortgages, bridging, development finance, business loans and asset finance. The right one depends on what you are trying to do.
What is the difference between commercial finance and a commercial mortgage?
A commercial mortgage is one form of commercial finance, used to buy or refinance business premises or investment property.
Commercial finance is the wider category, also covering business loans, bridging, development finance and asset finance alongside mortgages.
What can commercial finance be used for?
Almost any legitimate business purpose.
Common uses are buying or refinancing premises, fitting out space, funding refurbishment or development, easing cash flow, growing the business and buying equipment. Whatever the requirement, there is usually a lender and a product to match it.
How much can I borrow?
Funding typically starts from £50,000, with no fixed upper limit.
How much you can raise depends on the product, the property or asset behind the loan, what you can afford and how the deal stacks up overall. For property, loan to value of up to 75% is common.
How much deposit do I need for commercial property finance?
Plan on 25% to 40% of the property value.
The exact figure depends on the type of property, the lender and the strength of your finances. A few specialist lenders accept less when the case is strong.
Can I get commercial finance with bad credit?
Yes, adverse credit does not automatically rule you out.
Many specialist lenders look beyond credit scores at the wider picture, including what happened, how recent it was and how the business is performing now, so it is worth discussing your situation before assuming the answer is no.
How long does commercial finance take to arrange?
Indicative terms can often be in your hands within 24 hours.
Completion usually follows within a few weeks, and bridging can be faster. Timing depends on the type of finance, the lender and how quickly the paperwork reaches us.
My bank turned me down. Can you still help?
Often, yes.
A bank can only offer its own products and tends to stick to rigid criteria. As a whole-of-market broker, we can take your case to specialist lenders who judge each deal on its own merits.
Why use a commercial finance broker?
A whole-of-market broker searches the entire lender market for you, not just one bank’s shelf of products.
In practice that gets you better-matched terms, access to lenders you would not find on your own, and one person handling the whole application from first call to completion.
Talk to a Commercial Finance Broker
Tell us what you want to fund. We will say which lenders are likely to engage, what loan to value and rate to expect, and what needs sorting before you apply.
Commercial Finance Network is directly authorised and regulated by the Financial Conduct Authority. Commercial and business-purpose lending secured against investment property is not regulated by the Financial Conduct Authority. Your property may be repossessed if you do not keep up repayments on a loan secured against it.
Call us on 01494 622 111.
Email info@cfnuk.com to discuss your commercial finance needs.
Related Pages
- HMO Finance – mortgages, remortgages and conversion funding for houses in multiple occupation
- Serviced Accommodation Finance – funding for serviced apartments and short-let property
- Buy to Let Mortgage – finance for rental property held personally or in a company
- Development Exit Finance – repay development borrowing while you sell or refinance the finished units
- Adverse Credit Mortgages – specialist lending for borrowers with a credit history to explain
