Insights for Businesses

Here at Aldermore, our enduring purpose is to back more people to go for it, in life and business. We help individuals and organisations secure the finance they need to take action. So, if you run a company and are researching financial products, you’ve come to the right place.

Understanding your options and which is best suited to your needs can sometimes be hard to navigate. So, we’re here to guide you through the maze to reach your goal and make steps towards a more prosperous future.

Where better to start than explaining the different types of business finance available, and to provide some tips on how to manage them?


How to manage business finances

How can you keep on top of your different loans and accounts? Here are a few top tips:

  1. Keep records, then plan and forecast – keeping track of what is coming in and what is going out will avoid any nasty surprises. Done over a period of time, record keeping will help you predict seasonal fluctuations and highlight when you may need to apply for finance.
  2. Be realistic – while ambition is great in business, it’s also important to be realistic about what your business can afford.
  3. Review your finances regularly – incomings and outgoings change, so knowing your current business expenditure will ensure your plans and forecast stay up-to-date.
  4. Solve problems when they arise – with so much that goes into running a business it is easy to put certain tasks aside and forget about them. However, when it comes to finance, this can have a huge impact. So, make sure to seek help and advice as soon as possible to avoid snowballing debt.


Types of business finance

‘Business finance’ is an overarching term that we use to describe any form of company funding or credit that is required for running operations.

The types of business finance we can offer are as follows…



What is asset finance?

Asset finance is what it says on the tin. This is a loan to buy business equipment. Secured against your current assets, it allows you to spread the costs over a long period, potentially securing tax benefits as a result.

Many people choose to take out asset finance as it helps to maintain cash flow when purchasing the latest innovations to gain a competitive edge and boost efficiencies. You also minimise purchase risk and avoid depreciation, removing the uncertainty of levelling up your business.

Types of asset finance include:

Hire purchase – hiring with the aim of owning an asset outright at the end. At the end of an agreed term, a nominal fee may be required.

Finance and operating leases – similar to hire purchase, but you won’t own the asset outright at the end of the term. We would make the purchase and lease it back to you for a set term.

Refinance – releasing equity in existing hard assets to free up cash.

Some examples for taking out an asset loan include:

Transportation– from expanding a fleet to switching to electric vehicles.

Specialist equipment – like farming machinery to construction tools.

Energy – helping to achieve sustainability goals, like reducing a business’ carbon footprint or reaching a net zero goal.

Farmer feeding cows
Professional working on laptop

What is invoice finance?

Invoice funding allows you to release the cash in unpaid bills. With invoice finance, a lender uses an unpaid invoice as security for funding and releases it quickly.

The main business benefit of this is that you can  get quick access to the cash you need, to concentrate on running and growing the company.

Our invoice finance options include:

  • Invoice discounting – releasing the capital tied up in unpaid invoices.
  • Invoice factoring – similar to discounting, with the added benefit of outsourced credit control to chase customers for outstanding payments.
  • Asset-based lending - works in conjunction with invoice financing for a higher level of funding, fast. Funds can be secured against assets like plant, machinery, and property.
  • Receivables finance – releasing the capital tied up in contractually complete deferred payments.

What is commercial real estate finance?

In short, commercial real estate finance refers to a loan for a business premises. This could include:

  1. Debt solutions to buy or refinance a business premises or a property portfolio.
  2. A property development loan to fund the build or refurbishment of a commercial building.


Aldermore offers commercial real estate loans up to £50m with flexible repayments up to 20 years, but each application is assessed on a case-by-case basis.

So, whether you’re expanding your portfolio or want to purchase your first commercial property, reach out to our friendly team to get a bespoke quote.

Landlord viewing a property

What is a business savings account?

While a current account is great for day-to-day cash flow, a savings account is a pot of money that you can set aside from the day to day running of your business.

The goal is for this account to gradually grow over time (often years), to earn interest, provide an emergency fund, and/or finance major purchases.

All Aldermore business savings accounts can be opened online at your convenience and are rated ‘excellent’ by customers on Trustpilot. And, you can rest assured your money is safe with us as it is FSCS protected up to £85,000.

Going for growth?

Let’s go for it! Get in touch with our team and let’s discuss your business finance needs. We’re here to back you.

Subject to status. Security may be required. Any property or asset used as security may be at risk if you do not repay any debt secured on it.