Nationwide business loans: overview and alternatives

When searching for Nationwide business loans, it's important to understand a key difference: Nationwide Building Society doesn't offer business loans directly. However, Nationwide Finance, a separate entity, does. This guide explains what Nationwide Finance offers, how their business loans work, and what alternatives are worth considering.

Does Nationwide Building Society offer business loans?

Nationwide Building Society doesn't provide business loans. However, Nationwide Finance, a   completely separate entity, does offer business lending.

What is Nationwide Finance?

Nationwide Finance is a direct lender specialising in business loans for UK companies. As a direct lender, Nationwide Finance provides its own capital for loans, so you won't pay broker fees as you might with a finance broker. The company is registered at Companies House (Company Registration No: 12199793) and focuses on lending to limited companies, including start-ups.

Nationwide Finance handles over 50,000 businesses each year, making it one of the UK's larger direct business lenders. The company is regulated and doesn’t provide consumer agreements while all lending is for business use only.

Nationwide Finance business loan features

Loan amounts and terms

Nationwide Finance offers secured business loans ranging from £8,000 to £10 million, with repayment terms from 1 year to 6 years. Their loans cater to various business sizes and funding needs, from small businesses to larger operations.

Approval and funding speed

Decisions are typically made within 4 hours of application, with funds potentially available within 24 hours of approval. The online eligibility checker lets you see if you might qualify, without affecting your credit score.

Security requirements

Nationwide Finance's loans are primarily secured. This means you'll need to provide collateral, typically a legal charge over residential or business property. All applicants will need to provide personal guarantees as part of the agreement. A security fee of 10%applies when the security is removed (based on future interest).

Fixed monthly repayments

Loans come with fixed monthly repayment amounts, making budgeting predictable. Early settlement is possible, though a 10% discount on remaining future interest is applied to calculate the settlement figure.

Unsecured options

While rare, Nationwide Finance does offer unsecured loan options, but only to larger, more established entities such as listed companies, FTSE 250 firms, charities, non-profits, and Community Interest Companies (CICs).

Who is eligible for a Nationwide Finance business loan?

Business structure

You’ll need to be a limited company or consider incorporating as one. Sole traders and partnerships generally won't be able to  access Nationwide Finance loans unless they register as limited companies first.

Trading history

Nationwide Finance considers applications from start-ups as well as established businesses. The company has a dedicated start-up department to support new ventures, whether for purchasing a business, raising capital, or managing cash flow.

Credit requirements

Nationwide Finance states that businesses of all credit profiles can apply. The eligibility checker will help you understand whether you meet their criteria before you apply.

Asset requirements

For secured loans, you'll want assets of sufficient value to use as collateral – typically property, though business assets may also be considered depending on circumstances.

How to apply for a Nationwide Finance business loan

The application process

1. Start your application online through the Nationwide Finance website or by telephone

2. Receive an email outlining key loan terms, security requirements, and guarantor obligations

3. A Nationwide Finance account manager contacts you to explain the loan features and assess suitability

4. Provide business details, financial information, and guarantor details

5. Sign loan agreements (all parties, including guarantors, need to do this)

6. Funds are typically released within 24 hours of final approval

What you'll need

Nationwide Finance typically requests:

• Three months of up-to-date business bank statements

• Personal statement of net worth for each applicant and guarantor

• General business information and trading history

• Affordability information

Information may also be obtained through Companies House searches if you're a registered limited company.

Repayment

Monthly payments are collected by Direct Debit on either the 14th or 28th of each month – the date is set based on preference. Nationwide Finance doesn’t offer payment holidays or payment breaks due to external funding requirements.

Alternatives to Nationwide business loans

While Nationwide Finance offers fast access to larger loan amounts, the security requirements might not suit every business. Here are genuine alternatives worth considering:

• Small business loans like those from Funding Circle from a range of lenders are available for businesses looking to compare their options. Many alternative lenders offer unsecured options without requiring property charges.
• Business overdrafts and lines of credit provide flexible financing for businesses with fluctuating cash flow. Unlike fixed-term loans, you only pay interest on what you use.
• Invoice finance helps businesses release cash tied up in unpaid invoices. This is particularly useful for construction, manufacturing, and hospitality businesses with long payment terms.
• Government-backed lending through Funding Circles Growth Guarantee Scheme is another avenue worth considering, subject to eligibility. 
• Merchant cash advances work well for retail and hospitality businesses, providing upfront capital repaid as a percentage of future sales.

It's also worth exploring alternative finance options, which can include unsecured loans, asset finance, and flexible credit.

Also read

• Alternatives to bank loans: what's right for you

• How to get a small business loan: step by step

• What is the right finance for your business?

• Lloyds business loans and alternatives

• Monzo business overdrafts and alternatives

FAQs

Does Nationwide offer loans to small businesses?

Nationwide Finance serves small businesses, including start-ups. Loans start from £8,000, though terms and conditions apply. You’ll need to be registered as a limited company to qualify.

What are the interest rates on a Nationwide Finance loan?

Nationwide Finance doesn’t publicly advertise fixed interest rates. Rates are assessed on a case-by-case basis depending on your credit profile, loan amount, term, and security offered. Contact Nationwide Finance directly for a personalised quote.

Do you need a Nationwide account?

You don't need to be a Nationwide Building Society customer to apply for a Nationwide Finance business loan. However, you will need to set up a Direct Debit with your bank for repayments

Disclaimer

02/07/2026 – 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 doesn’t 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. All information is correct at time of publishing, and customers should do their own research before making financial decisions. If you have any questions, please speak to your professional adviser or seek independent legal advice.