£100,000 Business Funding Secured After Previous Lender Rejection
Where it left the business
The Outcome The client successfully secured the £100,000 funding facility they needed, despite having recently been rejected by another lender. By using current company profitability and bank statement data to support an automated lending decision, the application was assessed on the business's present financial performance and ability to service the facility, rather than its previous lending history alone. The funding provided the client with the working capital required to increase stock levels and invest in growing market lines, giving them greater capacity to meet demand and pursue further growth. For the client, the result was more than simply securing finance. It provided access to the capital required to move forward with a clearly identified commercial opportunity that may otherwise have been delayed following the initial rejection.
Supporting facts
The ambition
The Challenge The client needed a £100,000 funding facility to invest in the continued growth of their business. Having identified strong opportunities across several growing market lines, the funding was required to increase stock holdings, strengthen availability and give the business the capacity to respond to increasing demand. The challenge was that the business had recently been rejected by another lender. This created an additional hurdle: the client needed access to meaningful funding, but their previous application had already demonstrated that a straightforward approach was unlikely to deliver the required facility. Rather than simply submitting another application, the requirement needed to be properly understood and presented around the strength of the underlying business, the purpose of the funding and the commercial opportunity it would unlock. The client therefore approached Sorbus Finance to explore whether the £100,000 facility could be structured and presented to a lender capable of understanding the wider opportunity.
How the finance was structured
The Solution Sorbus Finance took a technology-led approach to the application, using a combination of live company financial information and bank statement analysis to build a clearer picture of the business's current financial position. Rather than relying predominantly on the client's previous lending history or the fact that another lender had recently declined the application, the solution assessed the underlying strength of the business today. Company profitability, cash flow performance and banking activity were analysed to identify the business's ability to support the proposed borrowing. This information was then processed through an **automated lending decisioning process**, allowing the lender to assess the application against current trading data. The result was a decision based on the business's present financial performance and affordability, rather than the historic rejection alone. This enabled the client to secure the £100,000 facility required to invest in additional stock and expand into growing market lines, giving the business the funding capacity to pursue its next stage of growth.
What it made possible
The Outcome The client successfully secured the £100,000 funding facility they needed, despite having recently been rejected by another lender. By using current company profitability and bank statement data to support an automated lending decision, the application was assessed on the business's present financial performance and ability to service the facility, rather than its previous lending history alone. The funding provided the client with the working capital required to increase stock levels and invest in growing market lines, giving them greater capacity to meet demand and pursue further growth. For the client, the result was more than simply securing finance. It provided access to the capital required to move forward with a clearly identified commercial opportunity that may otherwise have been delayed following the initial rejection.
Client details are anonymised. Figures are the facility terms published for this case; lenders make their own credit decisions and every case is assessed individually.
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