Keep the ship steady with a business cash flow loan

Borrow from £1,000 to £500,000 to bridge any short-term gaps – we’ve designed our cash flow loans to help small businesses in the UK.

  • Fix cash flow problems
  • Borrow from 1 day to 24 months
  • Repay early without a fee
  • Have money in your account quickly (our record is 2 minutes and 37 seconds)
Apply nowSee how much you could get

Applying won't affect your credit score

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Loved by over 90,000+ small businesses
(and big names) since 2012

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What's a cash flow loan?

According to the Xero Small Business Insights report, the average small business is cash flow negative for 4.5 months per year in the UK. This could be attributed to factors such as seasonality, fluctuations in sales, or unexpected costs. Whatever the reason, it’s important to stay financially secure and manage any short-term cash needs.

Cash flow loans are designed to help business owners manage these short-term needs and reduce the financial impact of a poor cash month. This type of loan can be used to purchase extra inventory, pay employees, or cover unplanned expenses.

One of the main benefits of cash flow loans for small businesses is that they’re fast and flexible. Because they’re usually smaller and taken over a shorter period of time, they’re usually easier and quicker to access (subject to approval).

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How do cash flow loans work?

  1. Figure out your business's needs

    Before applying for a cash flow loan, you’ll need to figure out exactly how much money your business requires. This helps you determine the right financing option for you and will make the application process go smoothly.

  2. Submit your application online

    Now comes the easy part! Simply submit your application online and you'll receive a response within one working day. This process is quick and easy, with no collateral needed. Once you're approved, the funds can be transferred to your bank account.

  3. Use your funding

    Once you've received the funds, it's time to put them toward their intended purpose. This could mean paying expenses, investing in new equipment or hiring employees - whatever you feel is the best investment for your business.

  4. Pay back what you owe on a monthly basis

    You'll need to repay your cash flow business loan on a monthly basis. However, we understand that sometimes businesses experience fluctuations in their income. That's why we offer flexible repayment options, with no penalties for early repayments and top-ups available (subject to reapproval).

What can you use a cash flow loan for?

Cash flow loans can be pretty versatile and can help you manage your day-to-day operations or even fund growth opportunities. Here are some common uses for cash flow loans:

  • Managing cash flow fluctuations: if your business has seasonal ups and downs, or you experience unexpected changes in revenue, a cash flow loan can help you cover expenses during those lean periods.
  • Covering payroll: sometimes, you might find yourself short on cash when it's time to pay your employees. A cash flow loan can help you cover payroll expenses and keep your team happy and motivated.
  • Purchasing inventory: if you need to stock up on inventory, especially for seasonal sales or to fulfill a large order, a cash flow loan can provide the funds you need to buy the products or materials without straining your budget.
  • Expanding or improving your business: a cash flow loan can give you the financial flexibility to invest in growth opportunities like opening a new location, launching a new product line, or upgrading your equipment.
  • Marketing and advertising: to attract new customers and boost your sales, you might need to invest in marketing and advertising campaigns. A cash flow loan can help you fund these initiatives without cutting into your operating budget.
  • Emergency expenses: sometimes, unexpected expenses pop up, like a broken piece of equipment or a sudden need for extra staff. A cash flow loan can help you cover these costs without derailing your budget.

Fund your future with a cash flow loan

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Frequently asked questions

How much can I borrow with a cash flow loan?

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This will depend on your business's needs and eligibility. With an iwoca Flexi-Loan, you can borrow from £1,000 to £500,000 with terms from 1 day up to two years.

How to improve cash flow?

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There are several ways that you can improve business cash flow - some of which may not require external funding. We discuss these in our article on how to overcome cash flow problems, which includes things like reducing expenses, improving revenue, and when it’s worth considering external funding.

What are the repayment terms on a cash flow loan?

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You'll need to repay your cash flow business loan on a monthly basis. There’s no fee for early repayment and you’ll only be charged interest for the days that the money is in your account.

Advantages and disadvantages of cash flow loans

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  • Fast access to funds: cash flow loans are usually quicker to process than traditional loans, meaning you can get the funds you need faster, often within a few days.
  • Less strict requirements: these loans often have more lenient credit requirements, so even if your credit score isn't perfect, you might still be eligible.
  • Flexible use: you can use the funds for various purposes, like managing cash flow fluctuations, covering payroll, purchasing inventory, or investing in marketing and advertising.
  • No collateral needed: many cash flow loans are unsecured, which means you don't need to put up collateral like your business assets or personal property.


  • Shorter repayment terms: cash flow loans often have shorter repayment terms than traditional loans, which means you'll need to pay back the borrowed amount (plus interest) within a relatively short time frame.
  • Higher interest rates: since cash flow loans are often seen as riskier by lenders, they usually come with higher interest rates compared to traditional loans. This can make them more expensive in the long run.
  • Can lead to debt cycle: if you rely too heavily on cash flow loans to cover your day-to-day expenses, you may find yourself stuck in a cycle of borrowing and repaying, which can hurt your business's financial health in the long run.
  • Not ideal for long-term investments: due to their short repayment terms and higher interest rates, cash flow loans may not be the best choice for long-term investments or large capital expenditures

How does a cash flow loan differ from a small business loan?

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A cash flow loan is a type of short-term financing designed to help businesses manage their cash flow needs, such as covering payroll, purchasing inventory, or dealing with unexpected expenses. These loans usually have more relaxed eligibility requirements and can be processed quickly, which is great when you need fast access to funds.

On the other hand, a small business loan is a more general term that covers a range of financing options for businesses, including term loans, lines of credit, and equipment financing, among others. Small business loans can be used for various purposes, such as expanding your business, buying equipment, or refinancing existing debt.

With iwoca you can orrow up to £500,000 and repay over two years. If you want to repay early – we won’t charge you extra

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With iwoca's cash flow loan you can:

  • Borrow from £1,000 to £500,000 over 24 months
  • Get a decision in 1 working day
  • Repay early with no fees

The iwoca story

Over the past eleven years iwoca has grown from an ambitious fintech start-up to one of the fastest-growing and biggest business lenders in Europe. Now we're a team of around 400 in London, Leeds and Frankfurt working towards the goal of funding one million small businesses.

Learn more
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Questions? We're here to help

Call us at 020 3397 3375 from Monday to Friday (9am - 6pm). We can take your business loan application over the phone, or answer your questions about applying online.

£3 billion+

approved small business loans


businesses approved

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Let’s get started

Applying won’t affect your credit score

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Get approved in 24 hours

Applying won’t affect your credit score

What's next?

  • Apply in 5 minutes
  • Meet your account manager
  • Get money in the bank in hours

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