Our supercharged business accounts: Flexible loans and a smarter overdraft header image

Whether 2020 is the year you hire your first employee, start exporting or secure another contract, we want to give you the tools to make it happen. That’s why, for limited companies and limited liability partnerships (subject to eligibility), we’re expanding our maximum business overdraft limit to £150,000 and launching unsecured business loans of £5,000 up to £250,000.

It’s also why we’re building a toolkit for creating invoices, tax and VAT estimation and a Making Tax Digital submission.

Can Starling help my business?

Getting a business off the ground, running it and then expanding sometimes calls for extra investment. Some people use savings, others need a loan, many use both.

At Starling, we want you to think about exactly how you can grow your business and if a loan is part of that, how much you need and how it fits with your business plan. If you have a specific purpose for funds, then a Starling loan could be your solution.

Our loan is designed for needs such as:

  • A defined amount of working capital
  • Securing a new contract/income stream
  • Growth/international expansion
  • Machinery or equipment purchase
  • Premises refurbishment or expansion

Depending on the criteria above, we’re offering limited companies and limited liability partnerships that have been trading for at least 18 months unsecured loans of up to £250,000.

Our loans are about financial support for growth and the long-term success of your business. However, if you’re looking for everyday working capital, then take a look at Starling business overdrafts. Our maximum business overdraft limit for eligible limited companies is now £150,000. This could be particularly useful for businesses that may have gaps in their cash flow across the month or for a period of months.

How much do Starling business overdrafts and loans cost?

For all our business lending, we use risk-based pricing. To work out what interest rate we can offer we look at a number of factors when assessing your business, including information taken from credit reference agencies. For our unsecured business loans up to £25,000 the Representative APR is 7% (fixed). For loans above £25,000 we’ll discuss the rate we can offer once we have assessed your application.

You can use the handy business loan calculator to estimate how much a loan would cost you depending on how long you might need it for.

Limited companies and limited liability partnerships could be eligible for an overdraft of up to £150,000, subject to checks. The interest rates are 5%, 10% or 15% EAR (variable), dependent on our assessment of each business. The Representative EAR is 10% (variable). There’s a fee of 1.5% (minimum of £50) of any agreed overdraft limit, charged at initial set up and then annually. Sole traders could be eligible for an overdraft limit of up to £10,000, with an interest rate of 15% EAR (variable).

How do I apply for a Starling business loan or overdraft?

If your business meets our criteria and you’re an existing Starling business current account holder, you can apply for a Starling loan or overdraft through the application form on our website.

Our lending team works Monday to Friday, 9am-5.30pm and will get back to you on specific enquiries as soon as possible. They can be contacted on lending@starlingbank.com.

These new products and services are a huge step for Starling towards our goal of helping small businesses, freelancers and contractors thrive. We want to support you as you take your business to the next level.

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