Commercial Mortgages

  • Commercial mortgages are available for businesses looking to buy non-residential property
  • The table below compares commercial mortgage providers from our panel of business lenders
  • For helfpul information about commercial mortgages you can read our short FAQ guide
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THINK Business Loans
Call THINK Business Loans today -
  • THINK work with over 200 Commercial Lenders – We can find the right loan for your business
  • MINIMUM 6 Months trading History
  • Secured Loans from £25,000 and above
  • THINK Business Loans Commercial Mortgages logo
    Broker

    THINK Business Loans Commercial Mortgages

    • Compare commercial mortgage rates and lenders in 3 minutes
    • Rates from 1.9% APR
    • 85% LTV (Loan to Value) available
    • BTL, HMO and Interest Only options available
    • Minimum Turnover
      £100,000 p.a.
    • Available Amounts
      From £50,000
    • Available Terms
      5 to 30 years

    Company details

    • THINK's iFunds matching platform matches your businesses eligibility against hundreds of lenders instantly (without a credit check)
    • THINK are the UK's leading SME lending specialists; their experts are on hand to guide you through the process
    • Find the perfect loan in minutes - Make the lender work for you

    Eligibility criteria

    • Must have at least 6 months trading history
    • Trading Business or Investment applications accepted
  • B2Bfinance.com Commercial Mortgages logo
    Broker

    B2Bfinance.com Commercial Mortgages

    • Variable rates from 2.25%
    • Up to 75% Loan to Value on commercial property
    • Up to 85% Loan to Value on residential property
    • Terms up to 30 years
    • Mixes of residential, semi-commercial and full commercial portfolios
    • No broker fee
    • Minimum Turnover
      No minimum
    • Available Amounts
      £50,000 to £750,000,000
    • Available Terms
      1 to 30 years

    Company details

    • No broker fee
    • Whole-of-market coverage
    • 100% online application process (including digital signatures)
    • Brokers are experienced ex-high street bank staff

    Eligibility criteria

    • Accepted companies:
    • Start up businesses
    • First time investors
    • Trading businesses
    • Overseas Individuals
    • Overseas corporate entities
    • SIPP/SSAS
    • Trusts

Suppliers that don't offer commercial mortgages but may offer suitable alternatives:

  • iwoca logo

    iwoca

    • Flexible Credit Facilities of £1,000 - £150,000
    • No hidden fees or long term commitments
    • Apply online in minutes
    • Approval within 48 hours, in some cases instantly
    • Minimum Turnover
      No minimum
    • Available Amounts
      £1,000 to £150,000
    • Available Terms
      up to 12 months

    Company details

    Eligibility criteria

  • Ultimate Finance - The Ultimate Loan logo

    Ultimate Finance - The Ultimate Loan

    • Instant quote with approval by next working day
    • No setup fees, early repayment penalty or exit fees
    • Cash within 1 working day after approval
    • Interest rate from 1.5%
    • Dedicated customer support team
    • Repayment is monthly by debit card
    • Minimum Turnover
      No minimum
    • Available Amounts
      £5,000 to £100,000
    • Available Terms
      Up to 12 months

    Company details

    • Over £1 billion funded to date
    • 16 years working with UK businesses
    • 9 products to meet your needs

    Eligibility criteria

    • Available to limited companies or LLPs with 2 years minimum trading
    • Personal Guarantee required
  • Liberis logo

    Liberis

    • Supported by the UK Government-owned British Business Bank Investments
    • The UK's first provider of the Business Cash Advance
    • You must have at least one card terminal (chip and PIN machine)
    • Pay back an agreed % of your customer card transactions
    • Minimum Turnover
      Not applicable
    • Available Amounts
      £2,500 to £300,000
    • Available Terms
      4 to 12 months

    Company details

    • Pay back through your customer card transactions
    • One cost that never changes
    • Only pay at a rate your business can afford

    Eligibility criteria

    • Your business must have been trading for at least 4 months
    • You must have at least one card terminal (chip and PIN machine)
    • You must take at least £2,500 per month in card transactions
  • Funding Circle logo

    Funding Circle

    • Take your next step with Funding Circle's fast, affordable business loans
    • Apply in 10 mins, get a decision typically in 24 hours
    • Rates from 4.5% - no early repayment fees
    • Minimum Turnover
      £50,000 p.a.
    • Available Amounts
      £5,000 to £1,000,000
    • Available Terms
      6 months to 5 years

    Company details

    • Take your next step with Funding Circle's fast, affordable business loans
    • Apply in 10 mins, get a decision typically in 24 hours
    • Rates from 4.5% - no early repayment fees

    Eligibility criteria

    • Take your next step with Funding Circle's fast, affordable business loans
    • Apply in 10 mins, get a decision typically in 24 hours
    • Rates from 4.5% - no early repayment fees
  • Ferratum Business logo

    Ferratum Business

    • Free and no obligation application process, competitive rates
    • Complete the application form in 5 minutes, loan disbursed within one day of completed application.
    • Friendly and helpful customer service to help you at every turn.
    • Decisions based on cash flow, not credit scores.
    • Minimum Turnover
      £75,000 p.a.
    • Available Amounts
      £2,000 to £50,000
    • Available Terms
      6 to 18 months

    Company details

    • Free and no obligation application process, competitive rates
    • Complete the application form in 5 minutes, loan disbursed within one day of completed application.
    • Friendly and helpful customer service to help you at every turn.
    • Decisions based on cash flow, not credit scores.

    Eligibility criteria

    • Sole traders, partnerships and limited companies all welcome to apply.
    • Your company must have been trading for 2+ years.
    • Business owners must be UK based.
    • You must have a dedicated business bank account.
    • Business must have a physical presence.
  • Nucleus logo

    Nucleus

    • Fast service - receive your funding in 24 hrs
    • Human approach - Nucleus's in-house experts will guide you through the process
    • No early repayment fee
    • Minimum Turnover
      No minimum
    • Available Amounts
      £5,000 to £20,000,000
    • Available Terms
      3 months to 8 years

    Company details

    • Fast service - receive your funding in 24 hrs
    • Human approach - Nucleus's in-house experts will guide you through the process
    • No early repayment fee

    Eligibility criteria

    • Fast service - receive your funding in 24 hrs
    • Human approach - Nucleus's in-house experts will guide you through the process
    • No early repayment fee
  • Capital on Tap logo

    Capital on Tap

    • This is a business MasterCard
    • Credit limits up to £25,000
    • 0% Interest on all card purchases, when balance cleared in full each month
    • No monthly or annual fees, free UK ATM withdrawals and 0% commission on FX
    • Minimum Turnover
      £24,000 p.a.
    • Available Amounts
      £1,000 to £25,000
    • Available Terms
      1 month to 2 years

    Company details

    • Capital on Tap specialises in supporting the UK's SME's with business cards.
    • Offering Credit limits up to £25,000 with rates as low as 8.9%.
    • Since 2012, Capital on tap has provided more than 200M to over 30,000 UK businesses.

    Eligibility criteria

    • Limited Companies, Sole Traders, Partnerships and Limited Liability Partnerships all welcome to apply
    • No Outsanding CCJs
    • Minimum 12 months Trading History
  • Esme Business Loans logo

    Esme Business Loans

    • Simple, fast & fair business loans from Esme Loans
    • Apply for a 1 to 5-year business loan from £5,000 to £150,000. Limited Companies Only.
    • Our hassle free, paperless application takes just 10 minutes
    • Funds are sent within the hour if approved and you can receive faster payments
    • Minimum Turnover
      £15,000 p.a.
    • Available Amounts
      £5,000 to £150,000
    • Available Terms
      1 to 5 years

    Company details

    • Assessment will have no impact on personal credit score
    • No early repayment fees - pay off all or part of your loan early with no extra fees
    • Competitive rates, no hidden fees and simple terms.

    Eligibility criteria

    • Limited Companies Only. Applicants must be a Director of the Business, over 18 and be able to provide a personal guarantee.
    • Must be actively trading for at least 18 months with a current turnover of at least £15,000.
  • Fleximize logo

    Fleximize

    • Industry-leading flexibility - top-ups, repayment holidays, penalty-free early repayment, no set-up fees
    • Interest charged on reducing balance, not total loan amount - repay early and only pay for the time you had the loan
    • Apply online in five minutes, typically get a decision in 24 to 48 hours, receive funds the same day
    • Minimum Turnover
      £60,000 p.a.
    • Available Amounts
      £5,000 to £500,000
    • Available Terms
      1 month to 4 years

    Company details

    • Industry-leading flexibility - top-ups, repayment holidays, penalty-free early repayment, no set-up fees
    • Interest charged on reducing balance, not total loan amount - repay early and only pay for the time you had the loan
    • Apply online in five minutes, typically get a decision in 24 to 48 hours, receive funds the same day

    Eligibility criteria

  • NatWest logo

    NatWest

    • Designed for small business
    • No arrangement fees or security fees
    • Minimum Turnover
      No minimum
    • Available Amounts
      £1,000 to £25,000
    • Available Terms
      1 to 10 years

    Company details

    • Must be over 18 years old

    Eligibility criteria

    • Security may be required
    • Product fees may apply
  • MarketInvoice logo

    MarketInvoice

    • MarketInvoice is a business finance company offering finance solutions to UK businesses
    • Limits available from £5k to £4m
    • Hassle free experience, fast funding, help in real time, straightforward costs
    • Minimum Turnover
      £70,000 p.a.
    • Available Amounts
      £5,000 to £3,000,000
    • Available Terms
      1 day to 1 year

    Company details

    • MarketInvoice is a business finance company offering finance solutions to UK businesses
    • Limits available from £5k to £4m
    • Hassle free experience, fast funding, help in real time, straightforward costs

    Eligibility criteria

    • Limited or LLP company based in the UK or Ireland
    • Have £100,000+ turnover, filed with Companies House
    • Sell goods or services to other businesses on terms
    • Have at least 12 months of trading history
  • The Start Up Loans Company logo

    The Start Up Loans Company

    • Interest rate of fixed 6% per annum
    • Borrow Between £500-£25000
    • Receive business mentoring and support after drawing down your loan
    • No application fees or early repayment fees
    • Minimum Turnover
      No minimum
    • Available Amounts
      £500 to £25,000
    • Available Terms
      1 to 5 years

    Company details

    • Start Up Loans is a Not-For-Profit Company offering a finance and mentoring solution to start and grow a business
    • Start Up Loans have helped over 40,000 businesses get started in the UK
    • Free application support
    • Free post-loan business mentoring

    Eligibility criteria

    • Business is based in the UK
    • Trading for under 24 months
    • 18 years and over

Our comparison service features a selection of providers from whom we receive commission. This table is initially ordered according to our commercial arrangements. You can use the options above the table to order it according to various criteria.

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Commercial Mortgages FAQ

If you want financing to help you purchase a non-residential property for your business then you'll probably need a commerticla mortgage. If you need more information on commercial mortgages, our brief selection of frequently asked questions below is a good place to start.

What is a commercial mortgage?

A commercial mortgage is a loan that is secured on a non-residential property. This kind of business loan can be used to fund a huge variety of different buildings and properties, so each loan must be individually assessed and the interest rates you access will depend on the level of risk your purchase represents.

As with residential mortgages, your lender will often take the property that you are buying as the only security required for the loan, and a cash deposit will be required. In some cases, if you have no cash, you may be able to offer the lender additional security in the form of another property that you have considerable equity in.

How long can I get a commercial mortgage for?

Commercial mortgages offer terms that range from three to 25 years. If you're looking for a shorter-term financing solution, a bridging loan might be more appropriate; these offer finance for anywhere from a few weeks to 24 months.

Do all commercial mortgages have variable rates?

No, but most will. Typically, your rate will be quoted as a percentage over LIBOR, which is what would be called a tracker mortgage in residential purchasing terms. Although fixed-rate mortgages are available they can sometimes come with higher interest rates, and can sometimes only be accessed on properties worth less than £500,000.

Will I need to pay arrangement fees?

Although arrangement fees are usually added to the overall cost of the commercial mortgage loan, some lenders will want money to cover the work they do if you do not accept the offer given. In these circumstances, you may be charged a commitment fee which is payable with your application, and is non-refundable. Most arrangement fees are then lumped into the loan itself and usually come in at about 1-2% of the total loan amount.

How much can I borrow?

For an owner-occupied property, you may be able to receive a 70-75% mortgage. This would be the case if you were renting office premises for your own company to operate out of, for example. However, if you are purchasing a property as an investment, then the amount you will be permitted to borrow will be determined by the rental income that can be generated from the investment. However, it is unlikely that you will be able to access more than 65% of the purchase price of an investment property

What will I need to pay for valuation?

Because commercial properties are typically more expensive and subject to more price variability than their residential counterparts, a value expert will need to write a long-form report about the property to submit to the lender. Commercial valuations can start at around £500 for a simple case, but these prices can vary drastically as they are often based on bespoke quotations.

Why can't I find a definite commercial mortgage rate?

The rates that are typically charged for commercial mortgages are not pre-determined like most residential mortgages. In each case, when applications are processed for commercial mortgages, the lending manager must carefully evaluate and assess the unique level of risk represented in agreeing to the proposed loan.

Lending managers have to consider a multitude of factors to evaluate the riskiness of the loan, and large loans with low risk levels will receive the best interest rates.

Will I need to pay legal fees?

With commercial mortgages, borrowers are required to pay both their own legal fees, and the legal fees of the lender. Because of the variety of property available in the Commercial market, your legal fees will vary depending on the complexity of the work involved.

Can I use a commercial mortgage broker?

Some businesses may choose to use a specialist commercial broker who can give them access to the contacts that are required to get the best deal. Your broker will be responsible for presenting your case to lenders so you need to provide all the information required when filling out forms and making declarations.

Although many companies consider commercial mortgage brokers to be a worthwhile investment, it's worth noting that they will charge you for finding the right mortgage, and you should expect to pay a fee that is anywhere up to 1% of the loan value.

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