As part of our ongoing commitment to supporting businesses, we have provided a list of answers to commonly asked questions about our financial services


Does LDBF offer business Grants?

No, unfortunately not; we offer repayable business loans.

Why are some of your interest rates higher than the banks rates?

Because we lend when the banks will not, so the lending risk is higher and this is reflected in the interest rate.

Do I need to provide a Credit Report?

No, but do provide full details of all arrears, bad debts and county court judgments in your application.

Do I need to provide a Reference?

No

Does LDBF take security?

Yes, if security is available. Under certain circumstance we can use the Government’s Enterprise Finance Guarantee Scheme.

Can the loan be repaid early and, if so, is there any penalty?

Yes, it can be repaid early and without penalty. Call us on 0845 6018326 for a settlement figure.

What happens if I can’t get a decline letter from the Bank?

We will accept a letter or email from you confirming that you have applied to the bank and that they have declined your application.

Can the Arrangement fees, etc be added to the loan?

Yes, please ask when you apply for your loan.

How long does the Application process take?

Once we have all the information we have asked for from you, you will be advised whether or not the loan will be passed to our Loan Panel for further consideration. You may be invited to attend the Loan Panel meeting.

How will my Loan application be assessed?

We carefully consider the applicant and their business, and assess the risks of lending.

What can I use the business loan for?

Any purpose related to starting or running your business, including working capital, but excluding training and research & development where this expenditure is a prerequisite to the business starting.

Can I use the loan to buy a vehicle for my business?

Yes, provided you do not have more than 6 current penalty points showing on the counter-part of your driving licence. If you are using the loan to purchase a vehicle we will need a copy of this document.

Does a poor Credit History affect my chances of getting my loan?

Not always; we treat each application on its merits – we are interested in the steps you have taken to address any credit problems, however it is vital that you declare everything in the application, including where you have made arrangements with your creditors.

If, in addition to my loan, I am borrowing additional funds from a different source in order to start my business, will I need to prove I have obtained these other funds before my LDBF Loan is paid out?

Yes, in our offer letter we will ask you to provide proof that the other funding is already available in your bank account; or that the other loan has been approved.

If, in addition to my LDBF loan, I am using my own savings to start my business, will I need to prove I have these other funds available before my Loan is paid out?

Yes, in our offer letter we will ask you to provide proof that the other funding is already available in your bank account.

Do I need to have been declined by a bank to qualify for the loan?

Sometimes, and you will need to ask the bank for a letter confirming their decline, but please check with us first.

Can I increase my monthly payment to pay the loan off early?

Monthly payments can be increased or extra payments made, without incurring any penalty charges. Call us on 0845 6018326 to make arrangements.

How is interest charged on my loan?

Interest is calculated on a daily basis and is charged on a monthly basis meaning that if you repay early or at a faster rate, you benefit from a lower overall cost.

What happens if I take out the loan but my business proves to be unsuccessful?

You are still responsible for repaying the loan.

Does LDBF offer business Grants?

No, unfortunately not; we offer repayable business loans.

Whilst my Bank will lend to me, they will not lend the whole amount that I need. Can you help me?

Yes, we work alongside other organisations such as Banks to help provide the total funding a business requires.

I am an existing business and I need to finance my working capital requirements. Will you consider an application for these purposes?

Yes we can consider loans applications for working capital.

My business is/will be located outside Sussex, Kent and Surrey. Can you help me?

These are our key target areas and so we will only consider requests from outside these where it is commercially viable to do so. Visit the BIS website for details of accredited EFG lenders in your area.

I require finance in excess of your maximum. Can you still help me?

Only in very exceptional circumstances will we consider proposals in excess of our limits.

Can I borrow for personal requirements?

No, the scheme is only available to businesses and social enterprises.

Can I take out more than one loan?

Yes, but this will be subject to continuing to meet our criteria and the satisfactory conduct of any existing loans.

Do you lend to undischarged or discharged bankrupts?

Let’s Do Business Finance will consider loan applications once you have been discharged and can provide evidence of this. However, the government Start Up Loan Scheme rules excludes anyone from accessing the scheme who has been, or who is currently, bankrupt or who has had an IVA.

What happens if I cannot meet the loan repayments?

Please contact us immediately on 0845 601 8326 to discuss the situation.

What happens if I fail to repay the loan?

Whilst we will work with you to obtain repayment of any loan, we are providing commercial finance and reserve the right to take the appropriate legal action in order to recover the debt.

Can I renegotiate the loan?

We will consider such requests however only where there is a clear business case that it makes sense for all parties.

My loan application has been declined, can I appeal?

We’re committed to treating our customers fairly and as part of our loans application process, if you’ve been declined you can appeal against the lending decision. View our appeals process below.

Complaints Policy

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