Lender review · Flexi-loan / line of credit
iwoca
- Reviewed April 2026
- Editor Oliver Mackman
- Companies House 07798925
- Methodology Public
iwoca is a UK flexi-loan and line-of-credit provider founded 2011, FCA regulated, tickets £1k to £500k with same-day to 24-hour decisions. The draw-as-you-go structure makes iwoca the best mainstream option for working capital and cashflow gaps rather than fixed-term project finance. Rate is quoted per month (from 2%), not APR, so direct comparison takes maths. Best fit: Ltd companies trading 12 months+ needing flexible draw-down. Companies House 07798925.
Director, BestBusinessLoans
Oliver leads BestBusinessLoans's editorial reviews and methodology. With a background in UK commercial finance, he oversees lender research, rate verification and review independence.
Last reviewed: 26 April 2026
At a glance
- Product
- Flexi-loan / line of credit
- Ticket size
- £1k to £500k
- Typical rate
- From 2% per month
- Decision time
- Same day to 24 hours
- Soft search at quote
- Yes
- Limited companies only
- No
- FCA regulated
- Yes (check the FCA Register)
- Companies House
- 07798925
- Founded
- 2011
Scores against our methodology
- Rate transparency4/5
- Eligibility clarity4/5
- Decision speed5/5
- Decline handling4/5
How iwoca works
iwoca operates as a flexi-loan / line of credit provider in the UK SMB market. iwoca is a UK flexi-loan and line-of-credit provider founded 2011, FCA regulated, tickets £1k to £500k with same-day to 24-hour decisions. The draw-as-you-go structure makes iwoca the best mainstream option for working capital and cashflow gaps rather than fixed-term project finance. Rate is quoted per month (from 2%), not APR, so direct comparison takes maths. Best fit: Ltd companies trading 12 months+ needing flexible draw-down. Companies House 07798925.
The product mechanic is straightforward in shape but the underwriting is sector-specific. Tickets sit in the £1k to £500k band, decisions land within Same day to 24 hours, and the published rate range is From 2% per month. Soft search at quote means no impact on your credit file at the eligibility stage. iwoca is FCA regulated.
Where iwoca fits best: working capital and cash-flow gaps, newer ltd companies (12 months+), flexible draw-down. Where it does not fit: fixed-term project finance, rate-shopping borrowers.
Pricing examples
Worked examples using iwoca's published rate range (From 2% per month). Simple-interest approximation, mid-band rate. Real offers will differ and should be confirmed on the lender quote.
| Ticket | Term | Estimated total cost | Approx monthly |
|---|---|---|---|
| £25,000 | 24 months | £37,000 | £1,542 |
| £50,000 | 36 months | £86,000 | £2,389 |
| £100,000 | 48 months | £196,000 | £4,083 |
Indicative only. Confirm on a iwoca quote.
Eligibility
- Trading time: typically 12 to 24 months minimum for the cleanest pricing.
- Turnover floor: not always published. As a working figure, expect a £100k+ turnover requirement for term loans of £50k+. Smaller tickets and MCA structures have lower floors.
- Sector exclusions: Fixed-term project finance; Rate-shopping borrowers.
- Credit profile: Clean credit preferred; older satisfied items often acceptable.
- Company structure: Limited companies and (in some cases) sole traders / partnerships.
- Best fit: Working capital and cash-flow gaps; Newer Ltd companies (12 months+); Flexible draw-down.
Pros
- + Same-day decisions for most applicants.
- + Flexi-loan: only pay interest on what you draw.
- + Soft-search at quote.
- + Strong for sub-2-year trading and lighter credit profiles.
Cons
- − Per-month rate looks low but compounds; effective APR is materially higher than the headline.
- − Lower max ticket than Funding Circle for top-tier borrowers.
- − Personal guarantee required.
Best for
- · Working capital and cash-flow gaps
- · Newer Ltd companies (12 months+)
- · Flexible draw-down
Weak at
- · Fixed-term project finance
- · Rate-shopping borrowers
When to use iwoca
Use iwoca when
Your application matches the best-fit profile: working capital and cash-flow gaps, newer ltd companies (12 months+), flexible draw-down. The published ticket range (£1k to £500k) covers your ask, the decision speed (Same day to 24 hours) fits your cash-gap timeline, and the rate range (From 2% per month) is acceptable to you given your credit profile. Soft search at quote means there is no downside to running an eligibility check before committing.
Do not use iwoca when
Your profile sits in the weak-at list: fixed-term project finance, rate-shopping borrowers. iwoca will likely decline, and the decline itself can sit on broker records for 90 days. If you have any of these flags, route directly to a specialist (post-decline lender, MCA against card flow, asset-backed alternative) rather than using iwoca as a screen.
FAQs
What is the minimum trading time for iwoca?
iwoca typically asks for 12 to 24 months of trading. Newer businesses can sometimes qualify against alternative underwriting (card flow for MCA, asset security for asset finance), but the cleanest pricing tends to require two full sets of accounts.
Does iwoca require a personal guarantee?
Most UK SMB lenders require a personal guarantee from at least one director. iwoca is no exception in the standard case. The few exceptions: asset-backed lending where the asset itself stands as security, and a small number of MCA structures where card flow is the underwriting basis. For flexi-loan / line of credit specifically, expect a PG to be requested.
How fast does iwoca fund?
iwoca quotes Same day to 24 hours for an underwriting decision. Funding to bank account typically follows within one to three working days of acceptance, subject to KYC, signed documents, and (where applicable) registration of any debenture or charge.
What rate should I expect from iwoca?
iwoca's published range is From 2% per month. The headline number is rarely the offered number. Rate transparency on this lender scores 4/5 in our methodology. Expect the cleaner end of the band only if you have 2+ years of trading, clean credit, and turnover comfortably above the lender's stated floor.
What happens if iwoca declines me?
If iwoca declines, you have three realistic next steps. First, ask for the decline reason in writing, most reputable UK lenders will tell you. Second, route the application to a specialist post-decline lender (Bizcap, JPM Capital, Bolton Finance) where credit issues are the constraint, or to an asset-backed alternative where security is available. Third, use a broker panel to fan the application across the lenders most likely to accept your specific decline reason. iwoca scores 4/5 on decline handling in our methodology.
Where to apply
Apply directly via www.iwoca.co.uk, or use our free quote form to be matched across the UK broker panel most likely to approve your specific profile, not just iwoca.
Specialty alternatives
See all lender reviews for alternatives.
iwoca compared head-to-head
Side-by-side breakdowns of rate, ticket band, decision speed, eligibility and best-fit for UK SMEs.
Reviewed by Oliver Mackman, Director. Last reviewed: 26 April 2026. Lender website: www.iwoca.co.uk.