Finance brokers act as the middleman between businesses and commercial finance products like a small business loan. They’re specialists in meeting the needs of business owners who require specific amounts, terms, and payout speed.

Beneath the surface, there are specific ways that finance brokers can help small businesses hugely.

They can be the key to securing funding and unlocking huge potential for businesses that are early in their growth, want smaller amounts, or have faced trouble getting finance in the past. Here are some of the reasons why.

Lender Placement

There are over 200 lenders across the UK and many of them rely solely on brokers to conduct their business. In 2024 commercial lenders relied on brokers for an average of 67% of their finance transactions.

With so many lenders available, it makes sense for them to trust professional brokers who know the market conditions and compliance procedures.

This benefits small businesses across the UK. Brokers refrain from submitting finance applications to multiple lenders and instead target those that are more likely to accept them. This can mean that you have access to their exclusive funding lines.

Time Saving

Finance brokers exist because the process of acquiring funding is a long one. There is compliance, documentation, and constant communication with different lenders.

Trusting a professional that has worked the process consistently is recommended when seeking a small business loan. Errors will be avoided, and you can use the saved time to focus on other important areas of your business.

Higher Chance of Approvals

Small businesses can utilise brokers’ financial expertise to increase their chances of application approval. Correctly following lenders’ rules and regulations can be the difference between getting funded or not.

We spoke to Mel Kirkby, an accountant that refers some of his businesses to Crispcap, about how brokers can impact the success rate of small business loan requests. He said:

“Sometimes businesses don’t have the strength on their balance sheets to withstand the scrutiny of major banks. Finance brokers are so invaluable because they know the market and can help people out.”

Why not get in touch with Crispcap and get help from a professional?

Personal Assistance

While there is a wide range of articles online that can give you advice on securing a small business loan, there are huge benefits to having a professional to rely on.

Any questions that you have can be answered over a simple phone call or email instead of endless research. You can also rest assured that your broker will give you the most up-to-date information on the ever-changing landscape of commercial finance.

Better Negotiation

It’s vital that you are satisfied with the amount, length, and fixed interest rate of your small business loan. However, barriers to this can sometimes exist, such as your business’s health, credit rating, and history of borrowing.

Finance brokers have years of experience in negotiating repayment terms that satisfy businesses and lenders. They’re experts at analysing businesses’ financial documents to find leverage that can make them more eligible for funding.

Faster Approval

Funding applications can get reviewed and approved at a much faster rate with finance brokers. Their expertise in negotiation and placement allows for a seamless process that can get applications approved in a matter of hours.

The trusted relationship that brokers have with their panel of lenders is of benefit to small businesses that need funding as quickly as possible.

Rapid Payout Times

Faster approval means faster payout times. When brokers package applications for lenders, they can authorise and transfer the funds far more quickly.

The more seasoned the broker, the more efficient the overall funding process will be. At Crispcap we have got some businesses funded in as little as 4 hours.

Finance brokers continue to prove their worth to small businesses as they account for most of the commercial finance issued every year. For SMEs, they’re a timesaving service to ensure compliance, efficiency, and maximum satisfaction with their finance product.

At Crispcap we’ve worked with thousands of customers across every industry to arrange SMEs with a small business loan. You can fill out our 30-second application here and check if you meet the eligibility criteria.