iwoca vs YouLend, on their published terms in 2026
Facts checked 8 September 2026 · first published 10 November 2025
Re-read on 7 September 2026: iwoca's Flexi-Loan page, FAQ and support articles; YouLend figures as at our July 2026 check. On 8 September 2026 the iwoca Flexi-Loan page, YouLend's FAQ and Companies House were read again for the situations section.
Two UK alternative finance providers on our panel, set out on their published terms
Check your options| Feature | Iwoca | YouLend |
|---|---|---|
| Funding Type | Flexi-Loan (drawdown facility) | Cash Advance (lump sum) |
| Amount | £1K to £1M | Up to £2M, no published minimum |
| Speed (published) | 24 hours | 24 to 48 hours |
| Pricing | Interest per 30 days on the drawn balance, figures set on the offer | One fixed fee agreed per advance; no rate or factor-rate range published (youlend.com, 8 September 2026) |
| Drawing again | Draw, repay and redraw up to the limit while the facility is open | Top-up once part of the first advance is repaid, about 60% in the deals we see; renewal after it clears |
| Platform data it reads | Links to Amazon, PayPal, Xero, Sage Pay, Lloyds, Barclays and HSBC to size the limit | Powers Amazon's UK seller advance; one of two funders eBay names for Seller Capital |
| Repayment collected from | Your business bank account, on a schedule | A fixed share of each day's card takings, through a settlement account |
| Trustpilot (UK, 7 September 2026) | 4.7 from 11k+ reviews | 4.8 from 12.4k reviews |
What each one actually is
These two are not the same product wearing different names. The iwoca Flexi-Loan is a facility: you draw what you need, repay it, and draw again, with interest charged per 30 days on the balance you are holding. The figures for a given case are set out on its offer. YouLend is a lump sum carrying a single fixed fee agreed at the outset, repaid as a share of your takings, and it publishes no rate and no percentage range at all.
Where the money goes back from
The repayment mechanism is the real difference. iwoca collects on a schedule and reads bank statements and VAT returns to size the limit, and it can link to Lloyds, Barclays, HSBC, Xero, Amazon, PayPal or Sage Pay to do it. YouLend takes its share out of your card and payment takings, and a YouLend settlement account is a condition of the financing, which means your processor's payouts route through it while the advance is live. That is a small operational change with a large practical footprint. It is worth understanding before you sign rather than after.
Speed, scale and the honest limits
On speed, iwoca gives most decisions within 24 hours and can pay out the same day once approved. YouLend says approval in as little as 24 hours and funds in as little as 48 hours after that. On scale, YouLend says it has funded more than 370,000 businesses and approves nine out of every ten applicants, funds up to £2,000,000, and its UK Trustpilot profile showed 4.8 from 12.4k reviews when we read it on 7 September 2026. iwoca asks for a personal guarantee from at least one company director, and sizes a limit at around one month's revenue, or up to 20% of annual turnover on its calculator page (8 September 2026).
Two limits worth stating. YouLend is authorised by the FCA as a payment institution and says plainly that its UK merchant financing agreements are not FCA-regulated for the purpose of providing business financing, so the permission covers the settlement account rather than the advance itself. And a fixed fee cannot be shrunk by repaying early, where interest on a drawn balance can. Which of those matters more depends entirely on how long you will hold the money, and on whether your takings are steady enough to carry a share of every sale. Neither lender is the better one in the abstract, and we place business with both.
Which one for which situation
Six situations we see on the desk, each described by what the two products do on their published terms as read on 8 September 2026. None is a recommendation; the lender prices the case and the choice is yours.
Takings mostly by card, one lump sum needed
A YouLend advance is sized from monthly card turnover and collected through the settlement account as a fixed share of each day's card sales, so a quiet week collects less and moves the finish date. An iwoca instalment does not move with takings; a card-heavy business with a quiet week pays the same amount that month.
Revenue arriving by invoice or bank transfer
YouLend's product needs card or platform takings to collect from. iwoca sizes its limit from bank statements and accounts and collects on a schedule, so how customers pay makes no difference to it.
Money held for a short time
iwoca charges per 30 days on the drawn balance and nothing for early repayment, so a 60-day hold pays two periods. YouLend's fee is fixed in pounds on day one and does not fall if the advance clears in half the estimated time.
Money needed again after the first draw
An iwoca facility can be redrawn while it stays open, up to the agreed limit. A YouLend top-up opens once a share of the first advance is repaid, about 60% in the deals we see, and a renewal follows once it has cleared.
The amount
iwoca's facility runs from £1,000 to £1,000,000 over one day to five years (iwoca.co.uk, 8 September 2026). YouLend publishes up to £2,000,000 with no minimum, and most advances we see fall between £5,000 and £25,000.
Selling through Amazon or eBay
YouLend powers Amazon's UK seller advance and is one of two funders eBay names for Seller Capital, so the platform can pass sales data straight to the underwriter. iwoca reads Amazon and PayPal through its own links, so a marketplace seller is not shut out of either.
Which is better: Iwoca or YouLend?▼
Neither, as a rule, and the published terms show why the question has no single answer. iwoca is a credit facility of £1,000 to £1,000,000 held for one day to five years, charged per 30 days on the balance drawn, redrawable while it stays open and free to repay early (iwoca.co.uk, 8 September 2026). YouLend is one lump sum of up to £2,000,000 carrying one fixed fee agreed at the outset, collected as a fixed share of daily card takings, and it publishes no rate (youlend.com, 8 September 2026). Trustpilot showed YouLend at 4.8 from 12.4k reviews on 7 September 2026. Both quote decisions inside 24 hours, and YouLend says it approves nine applicants in ten. The situations section above sets out which repayment pattern each one fits.
What are the fee differences between Iwoca and YouLend?▼
iwoca charges interest per 30 days on the balance drawn and nothing for early repayment, with the figures for a given case set out on its offer (iwoca.co.uk, 8 September 2026). YouLend prices each advance as one fixed fee agreed before drawdown and publishes no rate, no range and no table, so the factor rate on a YouLend advance exists only on the offer document. The two structures therefore behave differently over time: iwoca’s cost rises with every 30 days the balance is held, while YouLend’s is fixed in pounds on day one and does not fall if the advance clears early.
How do YouLend and iwoca compare on total cost?▼
Neither publishes a number that settles it. iwoca charges per 30 days on the balance held, with the figures on its offer; YouLend prints no rate and prices each fixed fee per case. The like-for-like measure is total repayable in pounds over the months you expect to hold the money, and it flips with hold length: a fixed fee costs the same whether the advance clears in four months or nine, while interest per 30 days doubles when the hold doubles.
Who is the lender named on a YouLend agreement?▼
Usually one of YouLend’s numbered lending companies rather than YouLend Limited itself, which acts as their agent. Companies House showed YL VI Limited (14535084, incorporated 12 December 2022) and YL VII Limited (15182227, incorporated 2 October 2023) registered at 5th Floor, 90 High Holborn on 8 September 2026, the same address as YouLend Limited (12576377), and the group accounts to 31 March 2025 list YL I to YL VII as the lending entities. The advance may transfer between them after drawdown, which is why a transfer notice can appear in the portal; the repayment terms do not change with it.
Does iwoca take repayments out of my card sales?▼
No. iwoca collects scheduled repayments from your business bank account and charges interest per 30 days on whatever is drawn; it never touches the card terminal. YouLend is the one that collects through a settlement account taking a fixed share of each day’s card takings, and that account is a condition of its financing under payment account terms last updated 30 September 2025.
Compare Iwoca, YouLend & More
Get All QuotesSources and references
- iwoca: Flexi-Loan product page (amounts, term, rates, longer-term fee)
- iwoca: FAQ (limit sizing)
- YouLend FAQ page, re-read 8 September 2026 (up to £2,000,000 ceiling, no published repayment share or rate)
- YouLend regulatory information: YouLend Limited, FCA-authorised payment institution FRN 947287, financing agreements outside FCA regulation
- Companies House search for YL VI Limited (14535084) and YL VII Limited (15182227), 8 September 2026
- YouLend: revenue-based funding for UK businesses
- Dojo: card machines and the YouLend funding partnership
- UK Finance: business finance and lending data
- Financial Conduct Authority: consumer credit and business lending
CapExpand Ltd (FRN 1060885) is an Appointed Representative of White Rose Finance Group Limited, which is authorised and regulated by the Financial Conduct Authority (FRN 630772). We are a credit broker, not a lender. We do not provide financial advice.