Can start-ups get business finance?
Yes — start-ups can access funding through loans, grants, and specialist lenders who support early-stage businesses. While it’s true some high street banks prefer trading history, there are many alternative lenders who focus on potential rather than just past performance. Birmingham brokers help new ventures navigate this landscape, finding finance that supports growth without overburdening cash flow. Whether you’re launching a tech start-up in Digbeth or opening a café in Sutton Coldfield, a broker can help you secure the capital to get started. They’ll also guide you on presenting your business plan, forecasts, and funding needs clearly to maximise your chances of approval.
What types of funding are available for new businesses?
New businesses can access start-up loans, government-backed schemes, grants, crowdfunding, and even asset finance. The right option depends on your sector, business model, and how much you need. Birmingham brokers often help start-ups apply for Start Up Loans (a government-backed scheme) or secure flexible short-term lending. They can also explore local grant options, match you with lenders who support new companies, and advise on leasing or equipment finance to reduce upfront costs. Many start-ups use a mix of funding types to build a stable financial foundation. A broker helps you explore every avenue without wasting time or applying blindly.
Do I need a business plan to get finance?
In most cases, yes — especially when applying for a start-up loan or any funding based on future projections. Lenders want to see that you’ve thought through your idea, understand your market, and have realistic goals. A Birmingham broker can help you create or polish your business plan to match lender expectations. This includes clarifying your costs, projected income, target market, and how the loan will be used. A strong business plan builds lender confidence and can unlock more funding on better terms. Even if you’re already trading, having a clear, structured plan makes your application stand out.
Can I get finance with no trading history?
Yes — there are lenders who work specifically with pre-revenue or newly launched businesses. You may need to offer a personal guarantee or show strong personal credit. A Birmingham broker will help you identify lenders that consider your industry, background, and business idea — not just time in business. They’ll also help strengthen your application by ensuring your forecasts are realistic and your financials are well presented. While no trading history can limit your options slightly, it’s not a barrier. With the right approach and support, many new businesses secure funding before they’ve made their first sale.
Are personal guarantees required for start-up finance?
Often, yes — especially when the business itself has no credit history or security. A personal guarantee means you agree to repay the loan personally if the business can’t. Birmingham brokers will explain the implications and help you understand the risks before committing. They’ll also explore funding options that minimise personal exposure — such as government-backed Start Up Loans or grant schemes. If you’re uncomfortable offering a guarantee, a broker may suggest secured lending or lower-risk options. The key is transparency — knowing what you’re agreeing to and choosing funding that works for your comfort level and future plans.
Are there government-backed schemes for new businesses?
Yes — the UK government offers various schemes to support new businesses, including Start Up Loans, R&D tax credits, and regional grant funding. Birmingham brokers stay up to date with local and national initiatives and can help you access funding that fits your business. Some schemes provide mentoring and business support alongside finance. Others are sector-specific or aimed at innovation, green energy, or job creation. A broker will help you navigate the criteria and application process, giving you the best chance of securing support. Government-backed funding can offer favourable rates and lower risk — ideal for new businesses finding their feet.
How much can I borrow as a start-up?
Start-up loans typically range from £500 to £25,000, though some lenders may offer more with a strong application. If you’re applying through the government-backed Start Up Loans scheme, each director can borrow individually — potentially increasing the total available. Birmingham brokers will assess your funding needs, review your plan, and match you with lenders whose limits and terms fit your growth goals. They’ll also explain how much is realistic to borrow based on your forecasted income and current commitments. Getting the right amount — not just the most — helps you build a sustainable business from day one.
What if I’ve been declined elsewhere?
Don’t worry — many start-ups are declined by banks before finding success with alternative lenders. Rejections often come down to rigid criteria, incomplete applications, or missing documents. A Birmingham broker will review what went wrong and help you reapply strategically. They know which lenders are more flexible and how to tailor your application for a second attempt. In many cases, a clearer business plan or more accurate financial projections are all that’s needed to turn a “no” into a “yes.” A previous rejection doesn’t mean your business idea is unviable — it just means you need the right support.
Why use a broker for start-up and new business finance?
Start-up finance can be tricky to navigate alone. Brokers bring experience, lender access, and local knowledge — giving your application a stronger chance of success. Birmingham brokers know which funders support new businesses and how to prepare compelling applications. They’ll save you time, avoid costly mistakes, and help you build a funding strategy that supports long-term success. Whether you need a small loan, asset finance, or a blended solution, a broker will guide you step by step. Most importantly, they give you confidence — so you can focus on growing your business, knowing the funding side is in safe hands.
