Unsecured finance
Unsecured business finance
Working capital without securing the facility against a specific business asset. Assessment leans on how the business trades rather than what it owns.
- Configured amounts
- £2,000 – £250,000
- Terms
- 6 – 48 months
- First 6 months
- Interest-free, capital only
No interest is charged for the first six months — you repay capital only. Interest applies to the remaining balance from month seven, spread across the rest of the term. Every request is reviewed by a funding specialist.
Who it suits
Is this the right fit for your business?
Funding works best when the structure matches the reason for borrowing. These are the situations this option is usually suited to.
- Businesses that do not want to tie up assets
- Service businesses with few tangible assets to offer
- Shorter-term working capital and stock requirements
- Owners who need a straightforward facility without a valuation process
Common uses
What businesses use it for
- Bridging supplier and customer payment cycles
- Stock purchases ahead of demand
- Recruitment and payroll
- Marketing pushes and one-off projects
- Unexpected costs that cannot wait
How it works
From enquiry to completion
- 1
No specific asset is charged
The facility is not secured against a named business asset, so there is no valuation step and the process is usually simpler.
- 2
Trading performance carries the assessment
Bank statements and accounts do the heavy lifting: consistency of income matters more than the size of your balance sheet.
- 3
Fixed, predictable repayments
Repayments are set out over an agreed term so you can plan cash flow around them.
- 4
A guarantee may still apply
Unsecured means no charge over a specific asset. It does not always mean no personal guarantee — anything required is explained upfront.
What we ask for
Have these to hand and the process moves faster
We will always tell you exactly what is needed before you upload anything.
- Recent business bank statements
- Management accounts or your most recent filed accounts
- Details of existing finance commitments
- Company details and identification for directors
Illustrative figures
See what repayments could look like
A calculation based on a rate assumption held in site configuration. It is not a quotation and not a credit offer.
£2,000 – £500,000
Months 1–6 · interest-free
£3,125.00
Then £3,453.80 a month for the remaining 18 months
No interest for the first 6 months — you repay capital only.
Illustrative estimate. Figures are worked out from a configured assumption that has not been verified and are not a quote or an offer of finance. Actual rates, terms and availability depend on assessment of your business.
Business finance is a commitment. Repayments must be met from business income, and missed payments can affect your business. Consider affordability before applying.
Things to weigh up
What to consider before you borrow
Business finance is a commitment. These are the points worth thinking through honestly before you apply.
Smaller amounts than secured
Without security, the amount available is typically lower than a secured arrangement for the same business.
Pricing reflects the risk
Unsecured facilities generally cost more than equivalent secured ones, because the lender has less to fall back on.
Shorter terms
Unsecured finance tends to run over shorter terms, which means higher monthly repayments for the same amount.
Directors' guarantees
A personal guarantee is common on unsecured business lending. Understand what it means for you personally before signing.
FAQs
Questions about this option
Other options
Compare other structures
Ready to move your business forward?
Start with an eligibility check, or talk it through with a funding specialist first. Either way you will get a straight answer about what may be possible.
£500 onboarding cashback when you complete onboarding
UKCapitalFund - Funding Circle Ltd is authorised and regulated by the Financial Conduct Authority under firm registration number 722513.
UKCapitalFund - Funding Circle Ltd is not covered by the Financial Services Compensation Scheme.
Registered in England (Co. No. 06968588) with registered office at 71 Queen Victoria Street, London, EC4V 4AY.
UKCapitalFund - Funding Circle Ltd is a distributor of Modulr FS Limited, a company registered in England and Wales with company number 09897919, which is authorised and regulated by the Financial Conduct Authority as an Electronic Money Institution (Firm Reference Number: 900573) for the issuance of electronic money and payment services. Your FlexiPay account and related payment services are provided by Modulr FS Limited. Whilst Electronic Money products are not covered by the Financial Services Compensation Scheme (FSCS) your funds will be held in one or more segregated accounts and safeguarded in line with the Electronic Money Regulations 2011.
UKCapitalFund - Funding Circle Ltd also provides a FlexiPay Business Credit Card. This is separate and unrelated to the account and payment services you receive from Modulr FS Limited. The FlexiPay Business Credit Card is issued by Monavate Ltd (Company Number: 12472532) authorised in the UK by the Financial Conduct Authority to issue electronic money (e-money) and provide payment services (Firm Reference Number 901097). The card is issued by Monavate Ltd pursuant to licence by Visa.
