Why are your interest rates higher than a bank?
If you’re a business owner looking for funding, you might wonder why we charge higher rates than banks. It’s a fair question. After all, wouldn’t it be easier (and cheaper) to secure finance from a high street bank?
The reality is that our approach is very different from that of traditional banks. Our goal isn’t just to lend money – it’s to help businesses thrive, create jobs, and support economic growth. Here’s why our funding may cost more and why that cost comes with added value.
You want a traditional bank loan
Banks tend to favour businesses that already have assets, strong credit scores, and a long financial history. But what if you’re a start-up, a growing SME, or a business that doesn’t fit a bank’s strict lending criteria? That’s where we come in.
BEF specialises in supporting businesses that might not get funding elsewhere. We look beyond credit scores and balance sheets – we focus on potential. This means we take on more risk, which naturally results in slightly higher costs.
Tailored financial support (not just a transaction)
Banks operate at scale, offering a one-size-fits-all approach to lending. You might get approved (if you meet the criteria), but you won’t necessarily get the flexibility or support you need.
At BEF, every funding decision is made with your business’s unique needs in mind. We take the time to understand your cash flow, growth plans, and challenges. Our support goes beyond the money – we provide mentoring and guidance to help your business succeed.
Speed and accessibility matter
Banks often have lengthy approval processes, requiring extensive paperwork and credit history checks. This can delay funding at critical times when businesses need cash flow support.
We prioritise speed and accessibility. Our application process is straightforward, and our decision-making is faster than most banks. That means you get the funding you need when you actually need it – not months down the line.
We reinvest in businesses, not shareholders
Unlike banks, we are a mission-driven lender. We’re not here to maximise profits for shareholders – our goal is to reinvest funds into helping more businesses grow. The interest we charge allows us to continue supporting businesses that might otherwise struggle to access finance.
Every time we fund a business, we’re reinvesting in the local economy, creating jobs, and strengthening communities.
Flexibility when you need it
Banks are rigid with their repayment terms. If your business faces unexpected challenges, a bank is unlikely to adjust your repayment schedule. Alternative lenders like BEF take a more personalised approach.
If you experience seasonal fluctuations or unexpected setbacks, we work with you to adjust your terms and find a solution that keeps your business moving forward.
You’re not interested in social impact
We reinvest our profits into communities and focus on funding businesses that make a difference. If you’re not interested in being part of something bigger – creating jobs, supporting local economies, and making a real impact – our approach may not align with yours.
Is BEF the right choice for your business?
If you have access to low-cost bank finance, that’s great – take it! But if your business doesn’t fit a bank’s strict criteria, needs funding quickly, or would benefit from tailored financial support, then a provider like BEF can be a game-changer.
Yes, our rates may be higher, but that cost comes with accessibility, flexibility, speed, and support – all designed to help your business grow.
Looking for funding? Let’s talk.
If you want to explore funding options tailored to your business, get in touch today. Let’s discuss how we can help you achieve your business goals with the right financial support.