Refinance and consolidate business borrowing
Running several facilities, or a short-term deal with heavy repayments? Refinancing rolls what you owe into one facility with a single payment. It does not always save money, so the lender's costs are set beside what you pay now and the decision is yours. We arrange finance for UK limited companies and LLPs through our lender panel, and set the total cost out before anything is submitted.
One payment
Instead of several
Total cost shown
Before you decide
Ltd & LLP
Who we help
Your decision
Lender costs set out for you
Several payments combined into one facility.Key points
Refinancing can lower the cost or free up cash flow, or it can move the debt around at a hidden cost. The way to see which is to compare the full cost of staying put against the full cost of moving, settlement charges and all. We show the costs provided by the lender beside your current borrowing, and the decision is yours, including leaving things as they are.
What it is
Refinancing means taking out a new facility to pay off existing borrowing, ideally on better terms. Consolidation is the version where several debts become one. The aim is usually a lower payment, a single bill instead of many, or moving off a product the business no longer wants. It is the borrowing equivalent of clearing a desk that has three months of paperwork on it so you can actually work.
Why businesses refinance
Lower the payments
Spread the balance over a longer term or onto a cheaper rate to ease the monthly squeeze.
Consolidate facilities
Turn several payments into one, so you have one date, one balance and one point of contact.
Release equity
Refinance an asset or property the company owns to pull working capital back out of it.
Change the product
Move off a short-term product onto a different structure, where a lender offers one.
The catches
A lower monthly payment can hide a higher total cost if you simply stretch the term. Existing facilities may carry early settlement charges. And a new application means a credit check. None of these rule refinancing out, but they all belong in the decision, which is why we set out the costs provided by each lender so you can decide.
A note on who we take on
We work with UK limited companies and LLPs only, for business and commercial purposes. If your business is in genuine financial difficulty, free help is available from Business Debtline.
How it works
List what you owe
Your current facilities, balances and monthly payments, plus recent bank statements. Two minutes on the form or a call.
Costs side by side
The costs a lender quotes are set beside the full cost of staying put, settlement charges included.
You decide
You see the figures either way, and the decision stays with you.
Switch, if you choose
If you go ahead, the new facility settles the old, and the new terms apply.
The panel behind this page
Refinancing cases can go to the secured and unsecured lenders on our panel, plus the property lenders where the borrowing sits against premises. Lenders set different criteria on trading history, seasonality and credit history, and each lender makes its own decision.
We check each lender’s published criteria first, and your case goes only to lenders whose requirements it meets. How a case is checked against criteria is set out on our how we work page.
Common questions
What does refinancing a business loan mean?▼
Replacing one or more existing facilities with a new one. People do it to lower their monthly payments, roll several debts into a single payment, release some equity, or move off a short-term product onto a longer one. The new facility pays off the old, and the new terms then apply.
Will refinancing actually save me money?▼
Not always. The new facility might have a lower rate, or it might just spread the cost over longer so the monthly drops while the total rises. There can also be early settlement charges on the existing debt. The answer comes from comparing the full cost of staying put against the full cost of refinancing; we show the costs provided by the lender beside what you pay now, before you commit, and the decision is yours.
Does refinancing hurt my credit?▼
A new application involves a credit check, which can leave a footprint, and settling old facilities changes your credit profile. Settling facilities on time and carrying a repayment the business can meet is what the credit reference agencies record; what that does to a given file depends on the file. We will flag any checks before they happen.
Are there early repayment charges on my current borrowing?▼
Sometimes. Some facilities let you settle early at the outstanding balance, others charge a fee or include interest you cannot avoid. Any settlement charge on the existing facility is included in the comparison, alongside the costs the new lender quotes.
What do you need from me to look at refinancing?▼
A list of your current facilities with balances and monthly payments, recent business bank statements, and a bit about your turnover and trading. From that the case is checked against lenders’ published criteria before anything is submitted.
Is business refinancing FCA regulated?▼
CapExpand Ltd (FRN 1060885) is a credit broker and an Appointed Representative of White Rose Finance Group Limited (FRN 630772), which is directly authorised and regulated by the Financial Conduct Authority. We are a broker, not a lender. We work with UK limited companies and LLPs only, for business and commercial purposes. If you have a complaint, our complaints page explains how it is handled.
Does CapExpand lend the money?▼
No. We are not a lender. We introduce UK limited companies and LLPs to our panel of lenders and set the lender’s terms beside your current borrowing so you can compare them. We will receive commission from lenders; the commission model, calculation and amount will be disclosed to you throughout your customer journey.
Sources
- British Business Bank, business finance guidance
- FCA, consumer credit and business lending
- Bank of England, base rate
- Business Debtline, free business debt advice
Related funding
Important information
We do not provide debt counselling.
Too many payments going out?
Send us your current facilities and we'll set the costs lenders offer beside what you pay now. No obligation, and the decision is yours.