We offer access to commercial mortgages from leading UK lenders, niche lending providers and specialist sector lenders. This means we can source the most suitable option for your business.
Commercial mortgages are very different from their residential equivalent. Typically the way affordability is calculated and how loans are structured are far more varied, the market is also very differently regulated.
What Could I Borrow?
Naturally, if the answer was that simple then life would be too easy. What you can borrow will depend on;
- Your profits
- What you already pay in rent
- Business credit standing
- Cash generation
- Other borrowings your business may have
If you want a quick figure that you could borrow then get in touch, we can provide a realistic figure for you to work with. We can also provide this to the vendor or their agent, this can ensure you secure the property you want ahead of competitors.
As a good guide the following is possible;
- Up to 80% loan to value
- Up to 100% finance possible with additional security
- Rates vary based on proposal, typically from 2% upwards
- Repayments can be Interest Only, Capital Repayment or a mix between the two
- Terms up to 30 years
What Lime Consultancy Offer
In addition to having access to a wide range of commercial mortgage lenders, we will help in a far more practical role.
We will take a set amount of information from you, reinforce this with our own research and experience, then provide you with a guide as to what is possible. This is done without any credit searches or formal applications.
- Provide a quick response, giving you an outline of what is possible
- Help with preparing more detailed supporting information, including forecasts, cash flows and affordability analysis
- Manage the whole process for you
- Liaise with your accountant, solicitor and any other professional working with you to complete the purchase
- Provide practical guidance. Obviously not everything is possible, where what you want is not possible we will tell you quickly and guide you accordingly
When buying commercial property then you need to be aware of several things. Make sure you fully discuss these with your commercial estate agent, accountant or solicitor. It is important to take the right advice from the outset as getting it wrong can be costly.
- The level of business rates, they still apply as an owner occupier. Knight Frank have some great resources about business rates
- VAT. Some commercial premises are VAT registered, in addition properties under 3 years old are subject to VAT. Whilst you can claim back the VAT if registered yourself, you will need to finance the VAT until your next period ends. More VAT details are available here
- Different premises have different usage rights, be sure to check that the correct usage is in place for you. If you plan to change use then check it is viable before you buy. The Planning Portal offers more guidance