How long does my company need to have been trading to borrow?

Why trading history matters

A lender is trying to answer one question: can this company repay? The easiest way to gain confidence in that is a record of the company trading, invoicing and receiving money over time. A longer, steady history shows how income behaves through good and quieter periods and demonstrates that the business is a going concern rather than an untested idea. That is why an established company generally finds it more straightforward to borrow than a brand-new one.

There is no universal minimum that applies to every lender or every product, and requirements vary. But as a rule of thumb, the more genuine trading history the company can show, the more comfortably a lender can size and price finance.

If your company is relatively new

A shorter history is not an automatic no, but a newer company can strengthen its position by keeping company records and filings current, running all income through the business bank account so trading is visible, and being clear and realistic about what the money is for and how it will be repaid. Where history is thin, expect the amount and terms to reflect that — building a clean repayment record on a modest facility is often the route to more finance later.

How Credicorp finance fits

Credicorp assesses each UK limited company on its trading and ability to repay, lending with no personal guarantee. A company with a steady record is straightforward to assess; a newer one is judged on the same underlying question of affordability. A short-term business loan or business credit facility is sized to what the company can demonstrably support. You can apply online as a company.