Professional Practice Loans

What is a Professional Practice Loan?

A Professional Practice Loan is a financing solution tailored for professionals who own or operate a practice-based business. This includes accountants, architects, barristers, care home operators, chartered engineers, dentists, doctors, opticians, pharmacists, solicitors, surveyors, and veterinarians.

These loans offer competitive interest rates and can be used to:

• Fund business growth or expansion.
• Cover operational costs and working capital.
• Acquire a new practice or buy into an existing one.
• Invest in equipment or upgrade facilities.
• Manage tax liabilities efficiently.

In addition to Professional Practice Loans, commercial mortgages are available for professional practices, offering up to 100% loan-to-value (LTV) in some cases, allowing you to purchase or refinance business premises with minimal upfront capital.

How does a Professional Practice Loan work?

A Professional Practice Loan functions similarly to an Unsecured Business Loan, meaning it does not require collateral. Loan terms typically range from 12 to 72 months, with funding amounts up to £2m. Interest rates are competitive and tailored to your financial profile, usually reflecting your professional standing and low-risk borrower status.

1. Application is submitted to the lender with required financial documents (see below).
2. The lender assesses your practice's financial health, revenue, and creditworthiness.
3. A decision is typically made within 24-72 hours.
4. Once approved and funds are drawn, your business pays a fixed monthly payment covering capital and interest over the agreed term.

Is a Professional Practice Loan suitable for me? 

To qualify for a Professional Practice Loan, you must currently own or plan to run a professional practice and require fast, cost-effective funding. This type of loan could be an excellent fit if you:

• Need quick access to capital without using assets as security.
• Prefer predictable monthly payments with competitive interest rates.
• Are looking to expand, acquire, or improve your practice.
• Need funds to cover tax bills, operational costs, or cash flow gaps.
• Are a qualified professional with an opportunity to buy into a practice.

What is required for an application?

To apply, you'll typically need to provide:

• 6 months' business bank statements
• Latest full accounts
• Up-to-date management accounts
• Director details, including residential status