Bad Credit Guide

Business Funding with Bad Credit UK 2025

80% approval rate for bad credit businesses. iwoca, YouLend, 365 Finance focus on revenue, not credit scores. £3k-£500k available even with 400-600 credit score for your business growth.

80%
Approval rate
£3k-£500k
Funding range
400-600
Credit score OK
Revenue
Matters more

Best Bad Credit Funding Providers

1

iwoca

BEST

Approval Rate:85%

Rates:1.08-1.25x (best rates)

Accepts:CCJs/defaults

2

YouLend

Approval Rate:80%

Rates:1.10-1.35x

Accepts:Credit score less important

3

365 Finance

Approval Rate:75%

Rates:1.25-1.40x

Accepts:Challenged credit

4

Capify

Approval Rate:70%

Rates:1.20-1.45x

Accepts:Bad credit businesses

Approval Rate by Credit Score

700+95%

Excellent credit

650-70085%

Good credit

600-65075%

Fair credit

550-60065%

Poor credit

500-55050%

Bad credit

Under 50030%

Very bad credit

What Matters More Than Credit Score

1. Monthly Revenue

£10k+/month = 80% approval even with 500 score

2. Sales Trend

Growing = approved. Declining = declined

3. Time Trading

12+ months = overcomes poor credit

Real Example: 480 Credit Score Approved

Business Profile

Credit score: 480 (very poor)

CCJs: 4 satisfied, totaling £18k

Monthly revenue: £14,000 (stable)

Trading: 18 months

Applied to: iwoca

✓ APPROVED

£30k at 1.28x factor rate

Conclusion

Bad credit doesn't block MCA approval.

If revenue is £5k+/month and stable, you have 70-80% approval chance from iwoca/YouLend/365 Finance regardless of credit score. Focus on revenue growth, not credit score.

Get Approved with Bad Credit

80% approval rate for poor credit businesses

Revenue matters more than score • £3k-£500k available

Apply Now

Frequently Asked Questions

Can I get business funding with bad credit?
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Yes! 80% approval rate for bad credit businesses. MCAs from iwoca, YouLend, and 365 Finance focus on revenue, not credit scores. £3k-£500k available even with 400-600 credit score.

What credit score do I need for business funding?
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MCAs don't have strict credit score requirements. Approval is based on monthly card sales, not credit score. Even with 400-600 credit score, if you have £5k+/month revenue, you likely qualify.

Which provider is best for bad credit?
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iwoca has the highest approval rate (85%) for bad credit businesses with best rates (1.08-1.25x). Also accepts CCJs/defaults. YouLend (80% approval) and 365 Finance (75% approval) also work well with challenged credit.

Business Funding & Payment Solutions UK | Fast Approval | CapExpand