Can I apply for a loan to refinance existing business debt?

What refinancing does

Refinancing takes existing borrowing — perhaps several facilities on different rates and dates — and replaces it with one new loan, ideally at a lower rate or with a repayment that fits your cash flow better. The result can be a smaller monthly burden and one date to manage instead of many. Model the effect on the debt consolidation calculator.

How lenders assess it

The lender looks at the new total and how comfortably your cash flow services it, plus how the existing debt was handled. A history of paid-on-time facilities helps; a pattern of missed payments does not. A recent refinance can itself be a factor in a later application — see how a recent refinance is viewed.

When it is worth doing

Refinancing pays off when it genuinely lowers cost or eases servicing — not when it merely defers a problem or extends expensive debt to reduce the monthly figure while raising the total. Compare the full cost, including any arrangement fee and early-settlement charges on the old debt, on the repayment calculator.