BIZL

The Bank of England is currently holding the Base Rate at 3.75%, with its next decision due on 17 September.

Whilst many businesses have become accustomed to a higher interest rate environment, hopes of rapid rate cuts have faded. In fact, wholesale funding costs and swap rates have been moving upwards in recent weeks, suggesting lenders may not see materially cheaper funding in the near term.

Why does this matter?

Interest rate movements can have a significant impact on:

• Commercial mortgage pricing
• Development finance costs
• Business loan affordability
• Refinancing opportunities
• Investment and acquisition plans

Many borrowers have spent the last 12 months waiting for rates to fall before refinancing or pressing ahead with growth plans. However, lending costs are influenced by far more than the Bank of England's Base Rate, and waiting for cheaper borrowing doesn't always deliver the outcome businesses expect.
That doesn't mean rushing into new debt. It does mean having a clear funding strategy rather than trying to perfectly time the market.

Whether you're approaching a refinance, funding an acquisition, investing in property, or supporting future growth, understanding your options now can put you in a stronger position regardless of where rates move next.

Our view remains simple: make funding decisions based on your business objectives, not on the assumption that rates will be significantly lower in a few months' time.

Are you waiting for rates to fall before making your next move, or is the right opportunity worth pursuing today?

Rachel recently helped a Bedford-based business secure funding to purchase the commercial property they trade from, turning a monthly overhead into a long-term asset for the business.

The transaction involved a £275,000 purchase, supported by a 25% deposit. Alongside the commercial mortgage, a £55,000 VAT facility was arranged. This covered the VAT due on completion, which can then be reclaimed from HMRC after the purchase has completed.

With strong trading performance, the business was well positioned to make the move from tenant to owner-occupier. By structuring the funding correctly, Rachel helped secure a solution that worked comfortably alongside the business's cash flow while supporting its future growth plans.

For many business owners, owning their premises is about more than property. It's about control, security and investing in the future of the business.
A fantastic outcome for the client and a great piece of work from Rachel in guiding the transaction through to completion.

Could owning your business premises put your business in a stronger position for the future?

Our client had previously secured a Growth Guarantee Scheme (GGS) facility, but as the business evolved and plans were put in place to bring new investment into a subsidiary company, the existing banking structure created a challenge.

With debentures held across both the main company and subsidiary, it was creating a conflict for incoming investors. The solution required a refinance that would support the wider business while releasing the subsidiary from the existing security structure.

This wasn't a straightforward lending request. It required careful planning, lender discussions and a clear understanding of the client's future growth ambitions.

A special mention to Josh, who worked closely with the client throughout the process, providing invaluable support, guiding negotiations and helping navigate a complex situation with a clear focus on finding the right outcome.

Thank you, Andy, for the kind words and for trusting Josh and the BIZL team throughout the process.

Meet Pratik

Pratik began his career on the RBS Leadership Graduate Programme, supporting innovative and disruptive businesses as they explored opportunities to partner with the bank through proof of concepts and pilot studies.

After moving into a technology-focused relationship management role, working with ambitious businesses across London, he found his passion in commercial and property finance. Today, he leads BIZL's Commercial Finance Broker team, bringing extensive specialist property finance expertise and an unwavering determination to get deals done.

What truly sets Pratik apart is his mindset.

When others see obstacles, Pratik sees opportunities. Rather than focusing on why something can't be done, he focuses on finding a way to get it done. Even when a case seems impossible, he embraces the challenge, exploring alternative routes and working tirelessly to find the best possible outcome for his clients.

His reputation has been built on persistence, creativity and results. Clients know that when Pratik is involved, they have someone fighting in their corner from start to finish.

Pratik is a natural people person. His approachable nature, extensive knowledge and genuine commitment to helping others have allowed him to build lasting relationships and is exactly the sort of broker you'd want on your side when it really matters.

Outside of work, Pratik enjoys spending time with family, discovering great food and new restaurants, talking cars, and following and playing football. His competitive nature means he's always up for a challenge, a trait that serves him just as well in sport as it does when fighting to get the best results for his clients.

We're proud to have Pratik leading our Commercial Finance Broker team, helping clients achieve funding solutions and navigating complex deals.

Should You Use Debt Finance to Grow Your Business?

Growth often requires funding. Whether it's new equipment, more stock, additional staff or larger premises, many businesses reach a point where extra capital is needed.

Debt finance can be a useful tool because it allows you to access funding without giving away ownership of your business.

Some of the benefits:

• Retain full ownership and control
• Predictable repayments help with planning
• Interest costs may be tax deductible
• Can help build your business credit profile

However, it's important to remember:

• Repayments must be made regardless of performance
• Borrowing comes with interest costs
• Security or personal guarantees may be required

In simple terms, debt finance works best when it's supporting a clear growth plan and creating long-term value for the business.

At BIZL, we help businesses explore funding options for growth, acquisitions, working capital and commercial property purchases.

Would debt finance help take your business to the next level?

Nimish recently helped a client secure funding to purchase the freehold premises for their convenience store in Norfolk.

Buying the property your business trades from can be a big step, helping to create long-term stability while giving you the opportunity to build value in both your business and property.

In this case, the transaction was structured with the property being purchased through a dedicated property holding company, while the trading business continued to operate separately.

The outcome:

• £173,600 commercial mortgage secured
• Freehold property purchased for £248,000
• Property acquired through SPV (Special Purpose Vehicle)

A great example of how the right structure and funding can help business owners take control of their premises and invest in their future.

Looking to purchase your business premises or refinance an existing commercial property?

We'd be happy to explore your options.

Meet Rachel

With over 20 years of experience across retail and commercial banking, Rachel brings a wealth of knowledge and a practical, no-nonsense approach to helping businesses secure the finance they need.

Having held senior banking roles at Santander, Metro Bank and NatWest, Rachel has extensive experience in credit risk, underwriting and complex lending. She has worked closely with a wide range of trading businesses and has developed a particular expertise in agricultural finance, making her a valuable asset for clients operating within the sector.

What sets Rachel apart is her straightforward approach. She believes in being honest, transparent and solution-focused, helping clients understand their options and navigate the funding process with confidence.

Outside of work, Rachel is someone who enjoys testing her own boundaries. Whether it's on the rugby pitch or training for her next swimming marathon, she's always looking for ways to challenge herself and see what's possible, proving that determination isn't just something she brings to her clients.

We're delighted to have Rachel as part of the BIZL team, supporting businesses with the expertise, guidance and funding solutions they need to grow.

We recently got the team together for lunch with Lendhub.

We've worked with Lendhub on many bridging & development transactions over the past year and have always valued their professionalism, reliability, and commitment to finding solutions that help our clients achieve their goals.

A big thank you to the Lendhub team for their hospitality. The food was excellent, but the discussions around delivering better outcomes for our clients and creating new opportunities together were the real highlight of the lunch.

We're looking forward to working together on more deals in the future.

Could the expanded Growth Guarantee Scheme make funding easier to access this year?

The Government has announced a major expansion of the British Business Bank's Growth Guarantee Scheme (GGS), giving more businesses access to government-backed funding.

At its core, it means lenders may be able to support more businesses that would previously have struggled to secure finance.

Here's what that looks like:
• £2bn of additional SME lending expected each year by 2028/29
• Government guarantee remains at 70% on eligible facilities
• Loan terms extended from 6 years to up to 10 years on some products
• Eligibility increased to businesses with turnover up to £54m (previously £45m)
• Expected to support an additional 12,000 businesses annually

In short: more funding options, longer repayment terms, greater accessibility.

We're already seeing opportunities for businesses looking to:
• Acquire another company
• Fund growth and expansion plans
• Purchase commercial property
• Improve cash flow with lower monthly repayments

The message is clear - finance options continue to evolve, and businesses that may have been overlooked before could now have new opportunities available.

Could this open the door for your next growth project?

Josh recently helped a portfolio landlord secure bridging finance to purchase a flat in South East London, with a plan to add a bedroom and refinance onto a buy-to-let mortgage.

The Details:

• £310,000 purchase price
• Bridging secured for 80% net day one, 248k including a £20,000 refurb.
• Value-add through reconfiguration
• Target GDV (Value after refurbishment) of £450,000
• Refinance onto Buy-To-Let after 3 months

A clear strategy, with a defined exit from day one.

Considering a similar bridge-to-BTL project? Feel free to DM us with any questions.