Business Loans for Bad Credit UK
By Joshua Giles, Founder and Director · Reviewed by the CoreFi credit team
Last updated 20 July 2026
CoreFi is a broker, not a lender. We do not set rates and lenders make all credit decisions.
In short: Bad credit narrows the field but does not end it. Specialist unsecured lenders, asset finance houses and merchant cash advance providers all have appetite for adverse-credit profiles, each using different underwriting criteria. We place these deals regularly. The honest trade-off is cost: rates run higher to reflect the risk, and no broker can change that. We are a broker, not a lender, so we cannot promise an approval; we can find the lender whose appetite fits your file.
A CCJ or a string of late payments does not close every door. It closes the high-street bank's door, and that is not the same thing.
The lenders who actively price adverse-credit business profiles are mostly non-bank: specialist unsecured lenders, merchant cash advance providers, asset finance houses and invoice financiers. Each looks at the problem differently. A merchant cash advance lender cares about your card terminal volumes, not your Experian score. An asset finance lender is secured on the kit, so your credit history carries less weight than the residual value of what you are buying. An invoice financier is lending against your customers' ability to pay, not yours.
Where your credit matters most is unsecured lending. There, adverse-credit lenders still lend, but they price for the risk: rates are higher than a clean-profile borrower would see, sometimes materially so. That is not a broker's opinion, it is how the market works. We are a broker, not a lender, so we cannot promise you a rate or an approval. What we can do is identify which lender has appetite for your specific profile right now and get you in front of them without scattering hard searches across the market.
One thing worth knowing: a satisfied CCJ (paid) is treated very differently from an unsatisfied one by some lenders. That distinction can change which facilities are on the table. Tell us the detail and we will tell you where it lands.
Key Benefits
- Invoice finance underwrites your customers, not you, so your own credit history carries less weight than it would with an unsecured lender
- A satisfied CCJ (paid in full) is treated differently from an unsatisfied one by a number of lenders, and that distinction can open options a blanket 'bad credit' search misses
- Merchant cash advances are repaid as a percentage of daily card takings, so a lender pricing this product is looking at terminal volumes, not your credit file
- Asset finance is secured on the equipment itself: if the asset has residual value the lender has comfort, and adverse credit history matters less than it would on an unsecured facility
- We match you to lenders with live appetite for your profile before any application goes in, which avoids the hard searches that make a weak credit file worse
Frequently Asked Questions
Can I actually get finance with CCJs on my record?
Yes, depending on the amount, age and whether they are satisfied. Specialist unsecured lenders work with CCJs regularly. Invoice and asset finance are often more accessible still, because the lender has security beyond your credit history. We are a broker, so we cannot guarantee an approval, but we will tell you each lender's current position before anything is submitted.
How much more will it cost?
More, and the honest answer is we cannot tell you exactly until a lender has seen your file. Adverse-credit unsecured lending typically carries a higher rate than a clean-profile equivalent. As your record improves you can refinance. We will set out the full cost of each option before you decide.
Will applying make my credit worse?
A hard search can. That is why we do the matching work first: we identify the lenders with appetite for your profile and structure the approach so you are not scattering applications. Many adverse-credit lenders run a soft search at initial stage, and we will tell you what each one does before anything goes in.
What if my business has almost no credit history rather than bad credit?
Thin history and adverse history are different problems with some overlapping solutions. Lenders who work with early-stage or recently incorporated businesses tend to focus on the director's personal credit, monthly revenue and any security available. Tell us your trading history and we will map it to the right products.
Related Funding Options
Business Loans UK
Business loans for UK limited companies from £5k to £500k+, unsecured or secured, repaid over 1 to 6 years. We place these across a wide lender panel. No fee to search.
Small Business Loans UK
Small business loans from £5k to £250k for UK limited companies. We place unsecured facilities based on turnover & bank statements, not just credit scores. No fee to enquire.
Invoice Finance UK: Fund Your Sales Ledger, Not Your Property
Invoice finance advances up to 90% of an unpaid invoice, often within a day of raising it. We place factoring & discounting facilities for UK limited companies across most sectors, with no property charge required.
Business loans by location
Lender appetite varies by city and region. If you would rather start from where your business is based, these local guides cover the same funding with the local picture.
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Get matched with lendersCoreFi is a trading name of JG Core Ltd (Company #16218779, England & Wales). CoreFi acts as a commercial finance broker and does not provide regulated financial advice. All products described are unregulated business-to-business finance. Information on this page is for general guidance only and does not constitute a formal offer of finance. Terms, rates, and availability are subject to lender criteria and may change without notice.