What questions should I ask before taking a business loan?

Ask for the total repayable, every fee, whether a personal guarantee is needed, the early-repayment terms, and what happens if you hit difficulty. The answers reveal the real deal behind the rate. Put these to any lender: What is the total repayable in pounds? What are all the fees? Is a personal guarantee or security required? Can I repay early without penalty? Are there covenants? And — often overlooked — what happens if I hit difficulty?

What questions should I ask before taking a

2 min read

Total costIn pounds

Any guarantee?Personal risk

If I struggle?Hardship stance

The questions that matter

Put these to any lender: What is the total repayable in pounds? What are all the fees? Is a personal guarantee or security required? Can I repay early without penalty? Are there covenants? And — often overlooked — what happens if I hit difficulty?

Why they matter

The rate is only the surface. These questions surface the fees, risks and flexibility that decide the real cost and how the loan feels if things get tight. A lender that answers all of them plainly, in writing, is showing you a fair deal. One that dodges them is telling you something too. Line up offers on the answers with the loan comparison calculator.

What it means for you

Credicorp lends to your company, not to you personally, and takes no personal guarantee. See business loans or apply online.

Frequently asked questions

What's the single most important question?

'What's the total repayable in pounds?' It cuts through rates, factor rates and fees to the real cost. Follow it with whether a personal guarantee is required — the two together tell you most of what you need.

Should I ask what happens if I struggle to repay?

Yes, and it's often skipped. A lender's answer reveals how it treats customers in difficulty. A clear, humane hardship policy is a sign of a responsible lender worth choosing over a marginally cheaper one.