Business loan declined: sub-12-month trading

Your Ltd company has been trading for less than 12 months. Most UK SMB lenders set 12 to 24 months as a minimum.

Why this triggers a decline

Underwriting models lean heavily on year-on-year trading patterns and seasonal trends. Without a full year, the data is too thin for mainstream credit decisions.

Alternatives that work

  • Start Up Loan (government backed)
  • iwoca (will engage at 12 months)
  • MCA against established card flow
  • Asset finance (asset is the security)

Lenders that may consider this

  • Start Up Loans Company
  • iwoca
  • 365 Business Finance (6+ months trading with card sales)
  • Selected asset finance lenders

What to do first

  1. Wait until you cross the 12-month trading mark if the cash gap allows.
  2. Build card-machine history if you take card payments; some lenders accept 6 months card flow in lieu of trading time.

Not for

Pre-trading companies; companies dormant for most of the period.

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