What is a
Short-Term Business Loan?

Short-term business loans are designed to fulfil a more immediate need than that of a long-term business loan. Long-term business loans are usually requested for business acquisition or large expansion projects that take place over an extended period of time whereas a short-term loan would be used for a quick cash injection needed to acquire staff, purchase equipment or simply to maintain healthy cash flow.

Short-term loans are also typically paid over a shorter period of time whereas long-term loans are paid over an extended period of time. The duration of a short-term loan is typically a year - but Merchant Money does offer you longer terms should you prefer. A long-term loan is typically over a period of about 5 years or so.

What we offer:

  • Short-term finance from £3,5k up to £150k
  • 24-hour approval
  • 90% approval rate


A recent study conducted by the Genesis Initiative which included MPs and Peers, UK Finance, the British Business Bank and Heads of SME Groups,
found that:

  • More than half of small business owners (52.5%) approach their high street bank first, despite the growth in alternative sources.
  • But just under half (46%) who applied to their banks were declined.
  • Half of those who were declined then chose to look no further for funding believing that there were no other avenues to explore.
  • Asked why they had given up looking, SME owners cited accessibility, lack of understanding and confidence in lenders they had not heard of, as contributory factors.
  • 31% believed fees and/or interest rates charged by non-high street lenders would be too high. 26% were not confident of lenders that were non-mainstream and 11% were concerned about the longevity of new lenders.

can apply?

At Merchant Money we understand how you have registered your business, should not impact your opportunity to get business finance. That is why our short-term business loans can be used by any business, from limited companies and sole traders to (incorporated) partnerships. Businesses usually apply for a limited term business loan if they need working capital or need to manage cash flow constraints. Apply online using our simple application form, and we will get back to you within a day to find a suitable term for your business, as well as the right interest rate.

How do
I apply

Our process fits into the busy lives of a business owner on the move. We do not require detailed business plans nor is there a need to make an appointment. Our process is flexible, quick, affordable and fully transparent - all of this without compromising on quality of service.

Step One

Apply in minutes using our online application form

Step Two

Same day call from us to discuss your application

Step Three

Receive a decision within 24hours once required documentation is submitted

How do
I qualify?

Merchant Money was established specifically to empower businesses such as yours to reach its goals by offering momentary business finance. We are proud of our commitment to your business and feel it’s the critical factor that sets us apart from other lenders.

  • Your company is registered in the UK
  • Your current debt obligations are affordable
  • You have a minimum of one year’s accounts
  • Your minimum annual turnover is £100,000
  • You don’t have a previously liquidated business with outstanding creditors
  • Your Director or Shareholder is a homeowner and over 18 years of age

What are the
benefits of a Short-Term Loan?

When applying for a business loan, you would typically need to provide evidence of healthy cash flow or a substantial amount of capital already in the business. If your operation is already lean and you don’t need the additional assets but are still competing with more prominent players in the market, then this may not be possible.

  • Smaller Loan amounts: This is ideal for any business that requires a smaller loan amount.

  • No risk of losing assets: Because you need not put up any collateral, there is no risk of losing any property or assets if the event of non-payment.

  • Simple Process: Our process is as simple as it gets, all you need to provide is a personal guarantee from two of your company’s directors.

  • Quick turnaround time: The approval process is swift, without any lengthy or unnecessary processes and laborious legalities.

  • Flexibled repayment: These loans can be repaid over a period of up to five years. The longer the period the lower the interest rate you will be charged on the loan.

When is alternative
finance right for your business?

Your business is doing well, and you are looking at expanding your team or physical space. Perhaps you need to outsource a function of your business, so you have your hands free to oversee the day-to-day running of it. Or cash flow has temporarily stalled, which can stop you making the much-needed next steps to grow your business or merely pay the bills.

Whatever the reason, a short-term business loan is precisely what your SME needs, offering a kick-start that solves problems and achieves immediate goals. A flexible and agile small business needs equally flexible finance to remain competitive.


asked questions

When it comes to securing business finance, it’s vital to make an informed decision. We’ve answered some of the most commonly asked questions to help you in that task.

When do I qualify for a business loan?

We welcome all UK based sole traders, limited companies or partnerships. We require an annual turnover of £100,000 and a minimum of one year’s financial accounts.

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How much can I borrow?

Our Unsecured Business Loans vary from £5,000 to £150,000 and we offer Secured Business Loans up to £500,000. We also offer regulated business loans to sole traders up to £25,000.

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How long can I take the loan out for?

We offer terms from 1 to 36 months, You can always repay early. We only charge interest on the outstanding balance.

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