365 Business Finance Review UK 2025
Independent 365 Finance review: £3k-£250k funding for hospitality businesses. Factor rates 1.25-1.40x. Hospitality specialists with 4.5/5 rating. Perfect for restaurants, pubs, and hotels needing growth capital.
Quick Verdict
365 Finance is the best choice for hospitality businesses (restaurants, pubs, hotels) needing £10k-£100k for growth. Same-day approval available, dedicated account managers, and they understand seasonal hospitality cash flow better than competitors. Personal guarantee required for amounts over £50k.
Restaurants, pubs, hotels, cafes, hospitality with £10k+ monthly sales
E-commerce businesses (YouLend better), businesses under £10k/month
What is 365 Business Finance?
365 Business Finance is a UK-based merchant cash advance provider founded in 2013, specializing in fast funding for hospitality and retail businesses. They're known for same-day decisions and deep understanding of seasonal business patterns.
Unlike traditional lenders, 365 Finance doesn't focus on credit scores. They analyze your card processing statements to understand your business performance, then advance you £3,000 to £250,000 based on your monthly card sales. Repayment is automatic - they take 10-20% of your daily card transactions.
365 Finance Rates and Costs
Pricing Structure
Real Cost Example: Restaurant Funding
Example: £40,000 for Restaurant Refurbishment
- • Amount funded: £40,000
- • Factor rate: 1.28x (typical for established restaurant)
- • Total to repay: £51,200
- • Cost of funding: £11,200 (28%)
- • Your daily card sales: £800
- • Daily repayment (15%): £120
- • Estimated term: 426 days (~14 months)
Note: Actual term varies. Busy summer months = higher repayments, faster completion. Quiet winter = lower repayments, extends term.
365 Finance Pros and Cons
Advantages
- Same-day approval available: Fastest decision process for hospitality
- Hospitality specialists: Understand seasonal patterns and industry challenges
- Dedicated account managers: Personal service, not automated
- Transparent pricing: Know exact repayment amount upfront
- No early repayment fees: Pay off early, save money
- Excellent Trustpilot: 4.5/5 rating from verified customers
- Work with challenged credit: CCJs and past issues considered
Disadvantages
- Personal guarantee over £50k: Required for larger advances
- Higher minimum revenue: Need £10k/month vs competitors' £3-8k
- 9 months minimum trading: Newer businesses not eligible
- Factor rates can be high: Up to 1.40x for riskier profiles (40% total cost)
- Not ideal for e-commerce: Better options exist (YouLend, iwoca)
How 365 Finance Works
Submit card statements
Upload 3-6 months processing statements or connect processor
Get decision (same day)
Account manager reviews and calls within 2-4 hours
Receive offer
See funding amount, factor rate, daily deduction %
Accept and sign
E-signature on agreement (read terms carefully)
Funds arrive (1-2 days)
Money in your business account, typically next day
Automatic repayment
They deduct agreed % from daily card sales via processor
Who Should Use 365 Finance?
365 Finance is Excellent For
- Restaurants and cafes: Needing refurbishment, equipment, or working capital
- Pubs and bars: With seasonal cash flow challenges
- Hotels and B&Bs: Requiring quick funding for maintenance or expansion
- Established hospitality: 9+ months trading with £10k+ monthly card sales
- Businesses needing speed: Same-day approval beats all competitors
Consider Alternatives If
- You're e-commerce: YouLend offers better platform integration and slightly lower rates
- Revenue under £10k/month: iwoca accepts from £3k/month
- Want to avoid personal guarantee: YouLend or iwoca (under £50k) don't require it
- Want cheapest option: Traditional loans 60% cheaper (but slower)
365 Finance vs Competitors
| Feature | 365 Finance | YouLend | iwoca |
|---|---|---|---|
| Factor Rate | 1.25-1.40x | 1.10-1.35x | 1.08-1.25x ✓ |
| Approval Speed | Same day ✓ | 24-48hrs | 24hrs |
| Min Monthly Revenue | £10,000 | £8,000 | £3,000 ✓ |
| Personal Guarantee | Required £50k+ | Usually not ✓ | Not under £50k ✓ |
| Specialization | Hospitality ✓ | E-commerce | General SME |
| Trustpilot Rating | 4.5/5 ✓ | 4.3/5 | 4.7/5 |
Real Customer Reviews
Based on 890+ verified Trustpilot reviews:
"Needed £30k urgently for kitchen refit. Applied Monday 9am, had approval by 2pm same day, money in account Tuesday. Can't fault the service. Account manager was brilliant."
— Tom R., Restaurant Owner, Bristol
"Factor rate was 1.35x which seemed high but needed money fast. Good service, fast funding, but shop around first - could have gotten 1.20x elsewhere."
— Lisa M., Cafe Owner, Manchester
"Perfect for hospitality seasonal cash flow. Summer = higher repayments (£200/day), winter = lower (£80/day). Exactly what we needed after bank declined us."
— David P., Pub Owner, Newcastle
365 Finance Eligibility
Best Alternatives to 365 Finance
- • £8k minimum revenue (lower than 365)
- • Direct Shopify/Amazon integrations
- • Factor rates from 1.10x
- • Accepts from £3k/month revenue
- • Lowest factors 1.08–1.25x
- • Saves £3k–£8k on £50k vs 365
- • 6.9%+ APR term loans
- • 60–70% cheaper than MCA
- • 5–7 day approval
Is 365 Finance Worth It?
- • Hospitality business needing funds in 24h
- • Seasonal cash flow suits % of sales repayment
- • Value dedicated account manager + speed
- • E‑commerce or revenue under £10k/month
- • Want lowest cost and can wait a week
- • Avoiding personal guarantee over £50k
Compare 365 Finance Against All Alternatives
See 365 Finance, YouLend, iwoca, and more side-by-side. Get the best rate for your business in 24 hours.
Frequently Asked Questions
Is 365 Finance FCA regulated?+
Yes, 365 Business Finance is FCA authorized. They must follow strict lending guidelines and consumer protection rules. Always verify current FCA status on the official register before applying.
Can I get 365 Finance with bad credit?+
Yes, many customers with imperfect credit are approved. 365 Finance focuses on your business performance (card sales) rather than personal credit score. CCJs, defaults, and past issues are considered case-by-case. However, active bankruptcy or serious fraud will result in decline.
How long does 365 Finance approval take?+
Same-day approval is possible for straightforward applications. Average is 4-8 hours from submission to decision. Compare this to traditional bank loans which take 2-4 weeks, or even YouLend which takes 24-48 hours.
What happens if I can't make repayments?+
Because repayment is tied to card sales, if sales drop to zero, repayment automatically pauses. There's no fixed monthly payment to miss. However, if your business closes before full repayment and you signed a personal guarantee, you're personally liable for the outstanding balance.
Can I get a second advance while repaying the first?+
Yes, once you've repaid 50-75% of your first advance, 365 Finance may offer a second ("top-up"). Repeat customers often get better rates. However, be cautious - multiple advances can strain cash flow if total daily deductions exceed 25-30% of sales.