A common way of funding a business is to borrow money from a bank.
Banks can offer:
- business credit cards
- invoice finance (using unpaid invoices to raise cash)
- asset finance (borrowing against something you own or plan to buy)
These types of borrowing are known as ‘debt finance’.
Before they lend you any money, banks will expect your business to meet certain criteria.
Contact the bank
Before you apply to a bank for money, it’s worth contacting them and explaining:
- who you are
- what you do
- what you’re looking for
This will help you work out if the bank is likely to lend your business money.