UK business loans by sector

Most UK SMB lenders accept most sectors. But specialist lenders exist for hospitality, construction, recruitment and manufacturing in particular, and their underwriting is tuned to the sector's cash-flow patterns. These guides surface the specialists.

Hospitality

UK hospitality business loans (restaurants, pubs, gastropubs, cafés, hotels, B&Bs) are dominated by merchant cash advance against card-machine takings. Capify and 365 Business Finance lead on hospitality MCA; iwoca covers working capital and VAT bill timing; Allica Bank handles commercial mortgages for owner-occupied premises and asset finance for kitchen equipment and fit-out. Typical tickets £25k to £250k for working capital, £150k+ for commercial mortgages. Sole-trade pubs face a smaller lender panel than Ltd companies.

Construction

UK construction business loans (general trades, subcontractors, main contractors) are shaped by CIS retentions and stage-payment cycles, with sub-contractors facing main-contractor payment terms of 60 to 90 days. Invoice finance against quality main-contractor invoices solves the headline cash trap; Allica Bank covers asset finance for plant; iwoca and Funding Circle handle working-capital term loans bridging stage payments. Typical tickets £25k to £500k. Recent CCJs from supplier disputes are common and route to specialist post-decline lenders.

Recruitment

Agencies funding payroll while waiting for end-client invoice payment. Invoice finance dominates this sector and is covered in depth on our sister site MarketInvoice. Specialty bridges fill specific gaps.

Manufacturing

Equipment finance, working capital against orders, asset-backed lending against plant and machinery. Capex-heavy where asset finance is often the right answer over unsecured term debt.

Professional services

Accountants, consultants, agencies, law firms, architects. Mostly unsecured term loans against forecast revenue. Asset-light underwriting; balance sheet often thinner than other sectors.

Retail

UK retail business loans (bricks-and-mortar shops, e-commerce, hybrid) are dominated by merchant cash advance against daily card flow for established retailers. Capify and 365 Business Finance lead on bricks-and-mortar MCA; YouLend and Liberis cover embedded MCA inside Amazon, Shopify, eBay, Worldpay and Sage. Stock and inventory finance fills seasonal Q4 build-up gaps; asset finance funds fit-out cycles; Allica Bank handles commercial mortgages for shop owner-occupiers. Typical tickets £10k to £250k. Marketplace concentration (Amazon-only) underwritten as fragile.

HGV operators and logistics

HGV haulage, logistics fleets, owner-driver subcontractors. Vehicle asset finance dominates the lending picture. Working-capital term loans fill specific gaps.

Taxi and private hire operators

Black cabs, private hire fleets, single-driver operators. Vehicle finance dominates; single drivers face different lender appetite from fleet owners.

Veterinary practices

Independent and chain vet practices. Equipment finance dominates capex; goodwill loans for practice acquisition; commercial mortgages for owned premises.

Opticians

Independent opticians, chain operators, dispensing-only practices. Asset finance for diagnostic equipment; commercial mortgages for owned premises; working capital for stock cycles.

Nurseries and childcare

Day nurseries, after-school clubs, holiday clubs, childminders. Capex-heavy on premises and equipment; working capital for term-fee timing.

Franchisees

Buying or growing a franchise unit. Specialist franchise lenders work with major UK franchisors; mainstream lenders engage with established systems.

More sectors are added as we research and publish; suggest a sector via contact.

Trusted comparison data sourced from

UK FinanceABFABusiness MoneyFundInvoiceBCR PublishingThe Gazette
85 providers compared Updated April 2026 Independent editorial