Lender review · Asset finance + commercial property + development finance
Paragon Bank
- Reviewed May 2026
- Editor Oliver Mackman
- Companies House 05390593
- Methodology Public
Solihull-based specialist bank with strong asset finance, commercial property and development finance lines. Listed parent (Paragon Banking Group plc) gives funding stability and filing transparency. Broker-distributed for most product flow; not a self-serve fintech experience.
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: 8 May 2026
At a glance
- Product
- Asset finance + commercial property + development finance
- Ticket size
- £25k to £25m
- Typical rate
- Bespoke
- Decision time
- 5 to 15 business days
- Soft search at quote
- No
- Limited companies only
- Yes
- FCA regulated
- Yes (check the FCA Register)
- Companies House
- 05390593
- Founded
- 2005
Scores against our methodology
- Rate transparency3/5
- Eligibility clarity4/5
- Decision speed3/5
- Decline handling4/5
How Paragon Bank works
Paragon Bank operates as a asset finance + commercial property + development finance provider in the UK SMB market. Solihull-based specialist bank with strong asset finance, commercial property and development finance lines. Listed parent (Paragon Banking Group plc) gives funding stability and filing transparency. Broker-distributed for most product flow; not a self-serve fintech experience.
The product mechanic is straightforward in shape but the underwriting is sector-specific. Tickets sit in the £25k to £25m band, decisions land within 5 to 15 business days, and the published rate range is Bespoke. A hard search may apply at quote stage; ask before you submit if credit-file footprint matters to you. Paragon Bank is FCA regulated.
Where Paragon Bank fits best: asset finance for established ltd companies, commercial property £500k+, development finance. Where it does not fit: self-serve sub-£100k tickets, sole traders, speed-prioritised cases.
Pricing examples
Worked examples using Paragon Bank's published rate range (Bespoke). This lender prices by factor rate or bespoke quote, so we show the structure, not a worked APR.
| Ticket | Term | Estimated total cost | Approx monthly |
|---|---|---|---|
| £25,000 | 24 months | See lender quote | See lender quote |
| £50,000 | 36 months | See lender quote | See lender quote |
| £100,000 | 48 months | See lender quote | See lender quote |
Indicative only. Confirm on a Paragon Bank 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: Self-serve sub-£100k tickets; Speed-prioritised cases.
- Credit profile: Clean credit preferred; older satisfied items often acceptable.
- Company structure: Limited companies only.
- Best fit: Asset finance for established Ltd companies; Commercial property £500k+; Development finance.
Pros
- + Listed PRA-regulated banking group with stable funding.
- + Strong asset finance product covering vehicles, plant and equipment.
- + Established commercial property and development finance teams.
- + Sector specialism in transport, manufacturing and care.
Cons
- − Broker-distributed for most product flow; less direct-channel access.
- − Pricing not headlined.
- − Slower than fintech alternatives.
Best for
- · Asset finance for established Ltd companies
- · Commercial property £500k+
- · Development finance
Weak at
- · Self-serve sub-£100k tickets
- · Sole traders
- · Speed-prioritised cases
When to use Paragon Bank
Use Paragon Bank when
Your application matches the best-fit profile: asset finance for established ltd companies, commercial property £500k+, development finance. The published ticket range (£25k to £25m) covers your ask, the decision speed (5 to 15 business days) fits your cash-gap timeline, and the rate range (Bespoke) is acceptable to you given your credit profile.
Do not use Paragon Bank when
Your profile sits in the weak-at list: self-serve sub-£100k tickets, sole traders, speed-prioritised cases. Paragon Bank 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 Paragon Bank as a screen.
FAQs
What is the minimum trading time for Paragon Bank?
Paragon Bank 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 Paragon Bank require a personal guarantee?
Most UK SMB lenders require a personal guarantee from at least one director. Paragon Bank 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 asset finance + commercial property + development finance specifically, expect a PG to be requested.
How fast does Paragon Bank fund?
Paragon Bank quotes 5 to 15 business days 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 Paragon Bank?
Paragon Bank's published range is Bespoke. The headline number is rarely the offered number. Rate transparency on this lender scores 3/5 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 Paragon Bank declines me?
If Paragon Bank 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. Paragon Bank scores 4/5 on decline handling in our methodology.
Where to apply
Apply directly via www.paragonbankinggroup.co.uk/business, or use our free quote form to be matched across the UK broker panel most likely to approve your specific profile, not just Paragon Bank.
Specialty alternatives
See all lender reviews for alternatives.
Reviewed by Oliver Mackman, Director. Last reviewed: 8 May 2026. Lender website: www.paragonbankinggroup.co.uk/business.