New advice on how credit scores can affect access to business loans
Finpoint, the Chamber 's preferred business finance hub, has issued new advice for firms who are worried that their credit score may affect their ability to access business loans.
Access to finance important can be important to many small businesses who are striving for growth.
But bad credit history can negatively impact some businesses ' ability to secure business finance loans through a traditional bank - who will view them as 'higher risk '.
However, Finpoint says businesses can improve their chances by taking advantage of open banking technology.
By connecting to banks directly on the Business Finance Finder 's platform, all of the business ' historical financial information is shared securely to lenders so that they can get a broader insight of prospective lending capabilities.
Finpoint adds that alternative lenders provide more choice and flexibility in regards to funding business loans to those with a poor credit history and are typically more attuned to responding to open banking API and company house data to access portable credit files.
Read the advice in full now.
A Finpoint spokesperson said: “Alternative funding is the most accessible option for early start businesses and businesses with a low credit history.
“With alternative funding, you have the ability to unlock faster and more flexible lending options than you would with traditional banking ”.
Chamber members can use Finpoint 's service for free and save time with one simple online application.