Metro Bank business loans: rates, eligibility and alternatives

Metro Bank does lend to businesses, and it splits its lending in two. Loans under £60,000 come at one published rate with no arrangement fee. Anything from £60,000 upwards is priced individually and can run for up to 30 years.

Both require you to hold an account with Metro Bank, and both will usually need some form of security.

All Metro Bank product details below are taken from its business and commercial loans page and documentation(1, 2), correct as of September 2026. 

The Metro Bank Business Loan

This is the smaller, and simpler, finance option from Metro Bank.

• Amount: £2,000 to £60,000

• Term: 1 to 5 years

• Rate: typically 9.6% APR fixed

• Arrangement fee: none

• Other fees: none

Metro Bank publishes a representative example using Metro Bank loan calculator: a £10,000 loan over 48 months at 9.6% APR fixed works out at £251.71 a month, with a total amount payable of £12,082.08.

Interest is calculated daily and charged monthly, and your annual statement sets out what you've paid.

One rate applies across all business customers and all amounts within the range, which is unusual. Most lenders price by risk, so your rate moves with your circumstances. Metro Bank's approach means you know the rate before you apply, though it also means a stronger business isn't rewarded with a lower one.

The Metro Bank Commercial Loan

For larger borrowing, the structure changes.

• Amount: from £60,000

• Term: 1 to 30 years

• Rate: tailored to each loan

Commercial loans are priced individually rather than at a published rate, and Metro Bank references its own base rate alongside the Bank of England base rate for variable pricing. You'll need a Commercial Current Account rather than a Business Bank Account to apply.

The 30-year term is worth noting. Very few business lenders go that long, and it puts this closer to commercial mortgage territory than to a conventional business loan.

Eligibility and how to apply

Metro Bank's published requirements are straightforward, but have restrictions that it’s worth being aware of.

• You need an account with them: A Business Bank Account for a business loan, a Commercial Current Account for a commercial loan. 

• Security is likely: Metro Bank states it will likely need some form of security for both products.

• Turnover guidance: Business Loans are generally aimed at customers with turnover of £2 million and under, though Metro Bank says it considers exceptions.

• Applications are in person: To apply for a business loan, Metro Bank asks you to come into a store. For commercial loans, you speak to a Local Director. 

Metro Bank has branches across England and two in Wales, though none in Scotland or Northern Ireland, so an in-store application process is easier for some businesses than others.

Since these are secured loans, it’s important to note that where property is used as security, and that can include your home, it may be repossessed if you don't keep up repayments. Metro Bank states this plainly on its own page, and it's worth taking independent legal advice before agreeing to any charge over property. 

Find out more about the difference between secured and unsecured loans here.

The Metro Bank business loan calculator

Metro Bank publishes a calculator covering loans from £2,000 to £60,000 over 1 to 5 years. It returns estimated monthly repayments, total amount payable and total interest.

Metro Bank carries out a full creditworthiness assessment during the application, and your actual offer comes from that rather than from the calculator.

How Metro Bank compares with Funding Circle

Financing your business with Funding Circle

• If you’re not a Metro Bank customer, or want a simple online process, Funding Circle business loans can help you access finance quickly and easily. The application is fully online, it takes around 7 minutes, and you keep your existing business banking exactly where it is.

• Borrow £10,000 to £750,000 over 6 months to 6 years

• Rates from 6.9% per year, fixed, so your monthly repayment doesn't move

• Decisions in as little as 1 hour

• Limited companies and LLPs can get a decision without affecting their credit score

• No additional fee to overpay or to settle the loan early in full

• Unsecured loans don’t require you to pledge assets as security

If the pressure point is a single bill rather than a lump sum, FlexiPay lets you pay virtually any business cost upfront, by card or by transferring funds straight to a supplier, then spread it over 1 to 12 months for a flat fee from 1.99% per use, with no interest.

Frequently asked questions

What is the Metro Bank business loan interest rate?

Metro Bank publishes a rate of typically 9.6% APR fixed for business loans under £60,000, with no arrangement fee. Commercial loans from £60,000 are priced individually. 

Can I get a Metro Bank business loan without banking with them?

No. A Business Bank Account is required for a business loan, and a Commercial Current Account for a commercial loan.

How do I apply for a Metro Bank business loan?

In person. Metro Bank asks business loan applicants to come into a store, and commercial loan applicants to speak to a Local Director. Metro Bank has stores across England and two in Wales.

Disclaimer

25/06/26 – While we want to help as much as we can, the information found here is provided solely for informational purposes and should not be considered financial or legal advice. To the extent permitted by law, Funding Circle does not accept any liability for any loss or damage which may arise directly or indirectly from the use of, or reliance on, the information contained here. If you have any questions, please speak to your professional adviser or seek independent legal advice.