The 2025 UK business debt report: 52,000+ businesses analysed


The UK economy has encountered a complex set of challenges in recent times. However, there are signs of cautious optimism on the horizon. The UK is now projected to see GDP growth of 1.6% in 2025—making it the third strongest performer among G7 nations*.

A range of factors have shaped the current economic climate, including the lingering impact of interest rate increases, global uncertainties, and the recent introduction of new tariffs by the US administration. These shifts continue to influence businesses and employees across the country.

In response, many businesses are turning to financing not out of necessity, but as a strategic choice—using debt to invest in growth, manage cash flow, and stay competitive in a changing environment. Far from being a sign of distress, taking on debt in this context can be a smart and forward-looking move.

To better understand how UK businesses are adapting, Swoop analysed internal data from 52,143 companies to assess the current state of business debt across the country.

Aiming to shed light on average debt per company, business age, leadership gender, industry sectors, and regional variations, we’ll examine where in the UK has the greatest level of business debt, as well as provide key insights into how to best utilise and manage debt to grow your business.

UK company debt: A deeper look

In order to get a full picture of the state of UK business debt, our analysis covered industries as expansive as the technology and food sectors, as well as more traditional areas such as mining and aerospace.

It revealed that the average debt per company stands at £365,375 – a figure that really underscores the heavy financial pressures many businesses are currently experiencing.

Specific geographical analysis shows that London businesses have, unsurprisingly, the highest amount of debt in the UK (£4.94 billion), followed by Manchester (£370 million) and Birmingham (£346 million), with Leeds (£276 million) and Bristol (£249 million) rounding out the top five.

Which UK industries carry the most debt?

As you might expect, certain UK industries are shouldering more debt than others. The wholesale and retail trade is way ahead of the pack with a combined debt of over £2.7 billion, while the manufacturing trade sits at £2.6 billion behind, reflecting the capital-intensive nature of the industry.

There are also interesting patterns to be teased out between the size of debt and the age of the company. Are established firms taking on more debt than new businesses, or are startups struggling for cash?

Well, our research reveals a complex state of affairs. For example, businesses in their first five years have already amassed over £2.5 billion in debt, but by far the largest debt is held by those companies that are aged 21-25 years, with in excess of £1.5 billion.

The lowest debt? Businesses aged 46 to 50 years old.

Again, there are also wide regional differences among these. Unsurprisingly, startup-heavy London sits at the top, seeing young companies carrying £761 million in debt, while Tunbridge Wells is the location with the largest tally of old business debt – some £45 million.

This comparison further highlights that, while established businesses can carry significant levels of debt, newer enterprises are potentially amassing greater levels of debt at a faster rate.

Is gender a factor in business debt?

Examining the leadership of these businesses, we found that 45% of those asses were owned by men, compared to just 4% being owned by women, while 49.8% had joint male and female leaders.

But while the average debt of female-led businesses stood at £91,755, and the figure for those run by men stands at £315,246, it’s businesses with joint ownership that carry by far the most debt with an average of £698,502 – over double that of male-run businesses!

Tips for better-navigating business debt

Understanding the nuances of business debt is crucial in today’s economic climate, and our study illuminates the financial landscapes in which UK businesses are operating in. That’s why it’s essential for businesses to recognise that guidance and support are available to help manage and overcome challenging financial situations:

  1. Assess your financial position: Regularly review your financial statements to understand your debt levels and overall financial health.
  2. Prioritise clearing high-interest debt: Focus on paying off debts with the highest interest rates first to reduce overall financial burden.
  3. Explore refinancing options: Consider refinancing existing loans to secure better interest rates or more favourable terms. Our guide on how to refinance a business loan offers detailed insights.
  4. Seek professional advice: Engage with funding specialists to explore tailored solutions for your business. Our guide to small business loans provides valuable information.
  5. Develop a repayment plan: Create a structured plan to manage repayments, ensuring they align with your business’s cash flow and operational needs.

Navigating business debt can be daunting, but with informed strategies and the right support, it’s possible to manage and even leverage debt to foster growth. At Swoop, we’re committed to empowering businesses to make better and more informed financial decisions. Subscribe to the newsletter and join the 95,000+ businesses staying in the know.

Our methodology

Average debt by city and business

We analysed the number of businesses in each city and the total debt within that city to determine the average business debt. This approach ensures a fair comparison, preventing cities with more businesses from appearing to have disproportionately higher debt levels.

Industry debt

This data reflects the total debt across various industries for all businesses using Swoop Funding.

Industry debt by city

We compiled this data into a table to allow for easy filtering. By sorting from high to low, you can identify the top industries with the highest debt in specific cities. For example, “These are the top five industries in debt in London.”

We also have data on industries and how much debt companies have between years founded.

Debt by gender

This data examines total debt by gender, considering the number of male- and female-owned businesses among Swoop Funding clients. Since we have more male-led businesses in the dataset, we calculated an adjusted average to ensure a fair and balanced comparison.

City data

This dataset includes:

  • Average business debt per city
  • Debt levels adjusted for the number of businesses
  • Debt trends over time
  • Age of business

Article sources*
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Swoop requires writers to use primary sources to support their work. These include white papers, government data, original reporting, and interviews with industry experts. We also reference original research from other reputable publishers where appropriate.

*UK to have third-strongest G7 growth in 2025, IMF forecasts



Finance

How to start your own finance brokerage – without the stress


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Finance

Relationship-led lending is making a comeback


Brokers are becoming growth partners for SMEs

The numbers don’t lie: according to The National Association of Commercial Finance Brokers (NACFB) 2024 Impact Report*, 67 per cent of all SME finance transactions are now being facilitated by brokers.

How much is that worth? £26.5 billion out of a £38 billion market handled by NACFB members alone. This figure tells a story about how small and medium-sized enterprises are accessing the capital they need to thrive.

The statistics point to SMEs needing more guidance in a market that is growing more complex. The days of business owners going to their bank asking for money (and accepting the bank’s answer one way or another) are almost completely over. SMEs are increasingly leaning on their relationships, particularly with brokers, to help them make the deals they need to grow. What does this trend tell us about the future of finance?

The rise of relationship-led lending: unpacking the shift

Several factors are working together to make funding a habitat in which brokers can thrive. First, the funding landscape has evolved dramatically, becoming much more complex: SMEs can tap into a diverse range of products, from asset finance and bridging loans to intricate working capital solutions, government grants and R&D tax credits. Navigating this complexity alone can be daunting and brokers provide the expert guidance needed to identify the most suitable options.

The next factor is appetite. While high street banks are showing renewed interest in SME lending, their risk appetite can still be frustratingly conservative. Brokers can connect SMEs with lenders in their wider network who have specific mandates and a greater understanding of niche sectors or unique business models. The NACFB report cites 33 per cent of deals involving specialist lenders and 28 per cent involving challenger banks, demonstrating the value brokers bring in accessing a broader spectrum of capital providers.

Risk is, however, omnipresence in lending. Lenders, whether traditional or alternative, want to deploy capital efficiently and with confidence. Brokers act as gatekeepers, working with SMEs to prepare robust applications, understand their financial position and present a compelling case. By pre-vetting applications, brokers help to de-risk the deal for lenders, making them more likely to approve funding. The fact that 83 per cent of NACFB Patron lenders have expanded their broker panels and 67 per cent have increased their broker-facing teams underscores this growing reliance on the broker network.

Finally, there is the human factor. While technology plays a growing role in finance, human judgement remains vital, especially when assessing the nuances of an SME’s potential. Brokers bring industry knowledge, understanding of lender criteria and the ability to articulate a business’s story beyond the numbers. As Jim Higginbotham, CEO at NACFB rightly stated:

“The future belongs to relationship-led lending. Brokers should not just be seen as intermediaries – they’re growth partners.”

The headlines and conversation may have all been about AI and technology, but to over-emphasise a purely algorithmic approach at the expense of the human decision-makers behind the scenes would be to miss the bigger picture.

What this means for SMEs, brokers and lenders

This shift towards broker-led lending has significant implications for all stakeholders:

SMEs will be able to access a wider range of funding options, expert guidance in navigating complex products and a higher likelihood of securing the right finance at the right terms. A strong broker becomes a trusted advisor and a genuine growth partner, not just someone who facilitates an introduction. Brokers are increasingly playing a broader advisory role, helping SMEs identify savings in areas including insurance, energy and FX, which can significantly strengthen their overall financial position and borrowing power.

Brokers have a significant opportunity to solidify their position as essential partners for SMEs. By expanding their product knowledge, deepening their understanding of various lending criteria and embracing technology to streamline processes, brokers can unlock new revenue streams and build stronger, more valuable client relationships. The increasing complexity of the market and the demand for expert guidance create a clear opportunity for brokers to demonstrate their value.

Lenders who cultivate a strong broker network will have efficient access to a pipeline of “money-ready” businesses, reducing their acquisition costs and improving the quality of applications. By collaborating effectively with brokers, lenders can tap into a wider market segment and deploy capital more strategically.

How Swoop empowers the future of relationship-led lending

At Swoop, we understand the power of connection and the critical role brokers play in the SME finance ecosystem. Our Swoop Broker Suite and platform are specifically designed to empower both brokers and SMEs in this evolving landscape.

For brokers, Swoop provides:

  • Access to a vast network of lenders and funding options, including traditional banks, challenger banks, specialist lenders and alternative finance providers.
  • Streamlined application processes and powerful tools to efficiently manage client needs and track deals.
  • The ability to offer a wider range of services, including support with grants, equity and other financial solutions, expanding their value proposition to SMEs.

For SMEs, Swoop offers:

  • A central platform to explore various funding options and connect with experienced brokers who understand their specific needs.
  • Increased transparency and access to a wider range of potential lenders, beyond their traditional banking relationships.
  • Support in preparing strong applications and navigating the complexities of the funding process.

The rise of broker-led lending is a testament to the enduring value of human expertise and strong relationships in the ever-evolving world of SME finance. As the market continues to change, Swoop’s platform is playing a crucial role in empowering brokers and SMEs alike, ensuring that businesses have the support they need to access the funding that fuels their growth and drives the economy forward.



Finance

Relationship-led lending is making a comeback


Brokers are becoming growth partners for SMEs

The numbers don’t lie: according to The National Association of Commercial Finance Brokers (NACFB) 2024 Impact Report, 67 per cent of all SME finance transactions are now being facilitated by brokers. 

How much is that worth? £26.5 billion out of a £38 billion market handled by NACFB members alone. This figure tells a story about how small and medium-sized enterprises are accessing the capital they need to thrive.

The statistics point to SMEs needing more guidance in a market that is growing more complex. The days of business owners going to their bank asking for money (and accepting the bank’s answer one way or another) are almost completely over. SMEs are increasingly leaning on their relationships, particularly with brokers, to help them make the deals they need to grow. What does this trend tell us about the future of finance?

The rise of relationship-led lending: unpacking the shift

Several factors are working together to make funding a habitat in which brokers can thrive. First, the funding landscape has evolved dramatically, becoming much more complex: SMEs can tap into a diverse range of products, from asset finance and bridging loans to intricate working capital solutions, government grants and R&D tax credits. Navigating this complexity alone can be daunting and brokers provide the expert guidance needed to identify the most suitable options.

The next factor is appetite. While high street banks are showing renewed interest in SME lending, their risk appetite can still be frustratingly conservative. Brokers can connect SMEs with lenders in their wider network who have specific mandates and a greater understanding of niche sectors or unique business models. The NACFB report cites 33 per cent of deals involving specialist lenders and 28 per cent involving challenger banks, demonstrating the value brokers bring in accessing a broader spectrum of capital providers.

Risk is, however, omnipresence in lending. Lenders, whether traditional or alternative, want to deploy capital efficiently and with confidence. Brokers act as gatekeepers, working with SMEs to prepare robust applications, understand their financial position and present a compelling case. By pre-vetting applications, brokers help to de-risk the deal for lenders, making them more likely to approve funding. The fact that 83 per cent of NACFB Patron lenders have expanded their broker panels and 67 per cent have increased their broker-facing teams underscores this growing reliance on the broker network.

Finally, there is the human factor. While technology plays a growing role in finance, human judgement remains vital, especially when assessing the nuances of an SME’s potential. Brokers bring industry knowledge, understanding of lender criteria and the ability to articulate a business’s story beyond the numbers. As Jim Higginbotham, CEO at NACFB rightly stated: 

“The future belongs to relationship-led lending. Brokers should not just be seen as intermediaries – they’re growth partners.” 

The headlines and conversation may have all been about AI and technology, but to over-emphasise a purely algorithmic approach at the expense of the human decision-makers behind the scenes would be to miss the bigger picture.

What this means for SMEs, Brokers and Lenders

This shift towards broker-led lending has significant implications for all stakeholders:

SMEs will be able to access a wider range of funding options, expert guidance in navigating complex products and a higher likelihood of securing the right finance at the right terms. A strong broker becomes a trusted advisor and a genuine growth partner, not just someone who facilitates an introduction. Brokers are increasingly playing a broader advisory role, helping SMEs identify savings in areas including insurance, energy and FX, which can significantly strengthen their overall financial position and borrowing power.

Brokers have a significant opportunity to solidify their position as essential partners for SMEs. By expanding their product knowledge, deepening their understanding of various lending criteria and embracing technology to streamline processes, brokers can unlock new revenue streams and build stronger, more valuable client relationships. The increasing complexity of the market and the demand for expert guidance create a clear opportunity for brokers to demonstrate their value.

Lenders who cultivate a strong broker network will have efficient access to a pipeline of “money-ready” businesses, reducing their acquisition costs and improving the quality of applications. By collaborating effectively with brokers, lenders can tap into a wider market segment and deploy capital more strategically.

How Swoop empowers the future of relationship-led lending

At Swoop, we understand the power of connection and the critical role brokers play in the SME finance ecosystem. Our Swoop Broker Suite and platform are specifically designed to empower both brokers and SMEs in this evolving landscape.

For brokers, Swoop provides:

  • Access to a vast network of lenders and funding options, including traditional banks, challenger banks, specialist lenders and alternative finance providers.
  • Streamlined application processes and powerful tools to efficiently manage client needs and track deals.
  • The ability to offer a wider range of services, including support with grants, equity and other financial solutions, expanding their value proposition to SMEs.

For SMEs, Swoop offers:

  • A central platform to explore various funding options and connect with experienced brokers who understand their specific needs.
  • Increased transparency and access to a wider range of potential lenders, beyond their traditional banking relationships.
  • Support in preparing strong applications and navigating the complexities of the funding process.

The rise of broker-led lending is a testament to the enduring value of human expertise and strong relationships in the ever-evolving world of SME finance. As the market continues to change, Swoop’s platform is playing a crucial role in empowering brokers and SMEs alike, ensuring that businesses have the support they need to access the funding that fuels their growth and drives the economy forward.



Finance

A Comprehensive Guide for UK Businesses


 

Staying on top of tax deadlines is critical for businesses and individuals in the UK. Missing deadlines for tax, VAT, PAYE, or corporation tax can result in fines and extra costs. This blog covers key deadlines and practical tips to help you comply with HMRC.

The UK tax year starts on 6 April and ends on 5 April next year. Businesses and individuals must keep correct records and accounts for submission to HMRC throughout this period.

Key Tax Deadlines in 2025

Here are the important dates for 2025, categorised for individuals, businesses, and employers.

Self-Assessment Tax Deadlines

Date

Requirement

31 January 2025

Submit online self-assessment tax return for 2023/24 and pay the tax due

31 January 2025

Make the first payment on account for the 2024/25 tax year

5 April 2025

End of the 2024/25 tax year (last chance to claim overpaid tax from the 2019/20 tax year)

6 April 2025

Start of the 2025/26 tax year

31 July 2025

Make the second payment on account for the 2024/25 tax year

5 October 2025

Register for self-assessment for the 2024/25 tax year if required

31 October 2025

Submit paper self-assessment tax return for the 2024/25 tax year

30 December 2025

Submit your online tax return to pay your tax through PAYE if eligible

 

Limited Companies Deadlines

Date

Requirement

9 months after financial year-end

Submit annual accounts to Companies House

9 months and 1 day after financial year-end

Pay corporation tax

12 months after financial year-end

File the CT600 Company Tax Return with HMRC

12 months after incorporation or previous confirmation statement date

Submit confirmation statement to Companies House

 

For dormant companies, accounts must be submitted 9 months after the financial year-end.

 

Limited Liability Partnerships (LLP) Deadlines

Date

Requirement

31 October following tax year-end (paper filing)

File tax returns for individual partners

31 January following tax year-end (online filing)

File tax returns for individual partners

9 months after financial year-end (paper filing)

File tax returns for corporate partners

12 months after financial year-end (online filing)

File tax returns for corporate partners

Every 12 months after incorporation or the last statement

Submit a confirmation statement to Companies House

9 months after financial year-end

Submit annual accounts to Companies House

 

Employer Deadlines (PAYE, NICs, and CIS)

Date

Requirement

Before the first payday

Register new employees for PAYE

On or before each payday

Submit Full Payment Submission (FPS) to HMRC

19th monthly

PAYE, NICs, and CIS payments to HMRC are due (by post)

22nd monthly

PAYE, NICs, and CIS payments to HMRC are due (electronically)

6 April 2025

Update payroll records for the new tax year

19 April 2025

Submit final FPS for the 2024/25 tax year, along with Employer Payment Summary (if required)

31 May 2025

Provide P60s to employees on payroll as of 5 April 2025

6 July 2025

Submit P11D and P11D(b) forms for employee expenses and benefits

19 July 2025

Class 1A NICs payment due (by post)

22 July 2025

Class 1A NICs payment due (electronically)

 

VAT Deadlines

Businesses registered for VAT must file returns and make payments either quarterly or annually (under the VAT Annual Accounting Scheme). The deadline is one month and seven days following the end of the period. For instance, VAT must be submitted by 7 May 2025 for the period ending 31 March 2025.

 

Handling Missed Deadlines and Payment Issues

Penalties may be imposed for missing a deadline. For example:

  • For late self-assessment submissions, there is a £100 fine and additional charges apply if the delay is more than three months.
  • Companies House fines for late account filings ranging from £150 to £1,500, based on the duration of the delay.

If you cannot pay on time, contact HMRC promptly to arrange a payment plan. Companies can create an online payment plan if they owe less than £30,000 for self-assessment, £100,000 for PAYE or VAT, and meet other requirements. However, companies in certain accounting schemes are required to get in touch with HMRC directly.

Making Tax Digital (MTD)

MTD is designed to make tax compliance easier by requiring digital record-keeping and online submissions. Here’s what it means for you:

  • VAT-registered businesses: MTD compliance is mandatory.
  • Self-employed and landlords: Starting April 2026, if you earn over £50,000, you’ll need to use MTD for Income Tax. By April 2027, this threshold will drop to £30,000.

Contact the professionals at DataTracks today to learn more about the tax dates and deadlines for UK businesses! You can reach us at [email protected] or +442088349596

 

 



Finance

Apa yang membedakan slot online Thailand dengan slot fisik yang ada di kasino?

Slot online dan slot fisik (mesin slot di kasino) memiliki mekanisme dasar yang sama, tetapi ada beberapa perbedaan utama yang membedakan keduanya, terutama dalam hal aksesibilitas, fitur, dan pengalaman bermain. Berikut adalah perbandingannya:


1. Aksesibilitas dan Kemudahan Bermain

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The Impact of Missing the HMRC Tax Return Deadline


According to HM Revenue and Customs (HMRC), an estimated 1.1 million people missed the HMRC tax return deadline recently. This means that thousands are now facing an initial penalty of £100 for failing to file their annual tax return on time, unless they can provide a valid excuse. In contrast, over 11.5 million individuals completed the self-assessment process, with more than 31,000 filing during the final hour before the deadline.

What This Means for You?

For many self-employed individuals or those with multiple income streams, filing a tax return is an annual requirement. The rush to complete these filings is understandable given the complexities involved, and for some, the pressure was compounded by unexpected issues such as IT problems at Barclays.

Although the payment deadline was set for 31 January, HMRC has been clear that late payment penalties won’t be applied until 1 March. Barclays has reassured customers that no one will incur extra costs due to delays from their technical difficulties.

Understanding the Penalties

For anyone who missed the deadline, HMRC has outlined a structured penalty system to encourage prompt submission:

  • Initial Penalty: A minimum of £100, even if no tax is due.
  • Daily Penalties: An additional £10 per day after three months, capped at a maximum of £900.
  • Six-Month Penalty: A further charge of 5% of the tax due or £300—whichever is greater.
  • Twelve-Month Penalty: An additional charge at the higher of another 5% of the tax due or £300.

HMRC’s Director General for Customer Services, Myrtle Lloyd, emphasized the importance of filing as soon as possible to avoid escalating penalties. In addition to filing penalties, there are fines and interest charges for late payment of tax owed.

Tips to Avoid Further Issues

  • File Early: With the HMRC tax return deadline looming every year, filing early can help you avoid the last-minute rush and potential IT issues.
  • Check Your Information: Ensure that all details on your tax return are correct to avoid delays in processing.
  • Prepare for Payment: Organize your finances ahead of the tax payment deadline to prevent any late payment charges.
  • Appeals Process: If you have missed the deadline, remember that you can appeal against a fine by submitting a form or writing to HMRC. However, you must have already completed the self-assessment before making an appeal.

Seamless iXBRL Filing with DataTracks

For those looking for a smoother and more efficient way to manage their tax filings, particularly ixbrl filing services, DataTracks offers industry-leading solutions:

  • Fast Turnaround: Get iXBRL-ready files in 1-3 days (express delivery) or 10 days (standard delivery).
  • 19+ Years of Expertise: Trusted by 7 of the top 10 UK accounting firms.
  • End-to-End Support: Comprehensive services including CT600/CT1 filings.
  • Flexible Solutions: Ideal for handling one file or many—customized to your specific needs.

Ref:



Finance

Base rate cut: Impact on commercial property finance


The Bank of England’s third interest rate cut in six months will mean more than simply cheaper loans.

On 6 February 2025, The Bank of England reduced its base rate by 0.25%, bringing it down to 4.25%. This marks the third reduction in six months and while the immediate impact might seem small, the long-term implications, particularly for those seeking commercial property finance, could be significant.

With further rate cuts predicted, should business owners hold fire on property purchases? Those who already have mortgages at a higher fixed rate won’t benefit from these changes immediately , while variable-rate borrowers will see some relief in their monthly payments (provided their product is linked to the BoE base rate). But that’s only part of the story: the repeated rate reductions are also positively impacting stress testing that will profoundly affect future lending.

The longer-term implications: The real story

The most significant impact of these rate cuts – and those predicted in the near future – will be felt in the gradual easing of affordability assessments. Over the past couple of years, as base rates rose, lenders significantly tightened their stress test requirements. At Swoop, our customers found it harder to reach agreements as the typical interest rate used as part of the  affordability assessment rose from around 5% when the base rate was near zero, to as high as 9%  in 2023. This dramatic increase in stress test thresholds inevitably limited the amount businesses could borrow, as affordability calculations were based on these much higher theoretical rates.

The recent base rate reductions, and the possibility of further cuts, could significantly alter this landscape. If base rate continues to fall and stabilise closer to 3-4% as predicted, we could see stress tests being further adjusted. For those wondering when interest rates will go down and how that impacts the wider economy, lower stress test thresholds could reignite activity in the commercial property market, making borrowing more accessible and stimulating investment.

Lenders have already been exploring ways to mitigate the impact of their affordability assessments, such as extending loan terms and offering slightly more lenient stress tests in sectors that have proven to be more resilient, such as healthcare and professional services. This flexibility demonstrates that lenders want to lend and will find opportunities to do so; with lower base rates and the potential for less stringent stress tests, we could soon see a more favourable environment for borrowers.

Sector-specific considerations

As we have seen, some sectors have already had more favourable treatment than others. Over the coming months, different sectors of the commercial property market will likely experience a quicker return to more accessible financing. Understanding these nuances is crucial for any business considering a commercial property investment, so while keeping an eye on the headline commercial mortgage interest rates is essential for any investor, the borrower waiting for the right time to buy will look further into the detail. This is where Swoop’s experience can be particularly helpful.

Looking ahead: Navigating the changing landscape

The recent base rate cuts are a positive and welcome signal for the wider economy, but uncertainty remains: factors such as inflation and potential recessionary pressures, will also play a crucial role in shaping the market. Mortgage interest rate predictions come with a disclaimer for a reason.

The landscape is evolving and those best placed to help businesses contemplating commercial property investment are experienced finance professionals who live and breathe the world of commercial mortgages. Borrower and broker should always work together to assess available options, particularly when so many factors can make a significant difference to viability. 
To explore a range of competitive commercial mortgage rates and have the support of the Swoop Funding team, create a free account today, and you’ll be matched with financing options across the whole of the market.



Finance

Should I avoid business loans that require personal guarantees?


As a small business owner, you need to asses your appetite for risk carefully before you agree to funding that requires your personal assets to be used a guarantee. Thankfully, there are plenty of options available.

Personal guarantees are a common requirement for small business loans, but many entrepreneurs may not fully understand the risks involved. A personal guarantee means that you’re personally liable for the loan if your business fails to repay it. This can put your personal assets at risk, including your home, car, savings, and more.

According to a recent survey by Purbeck Insurance, 13 percent of small business owners have backed out of a loan due to the demand for a personal guarantee, and we can assume that those who do sign a personal guarantee may do so with misgivings, or believing that they have little alternative. One factor that can change attitudes is insurance to protect against the risk. In the same survey, 46 percent of respondents said they would be more likely to sign a personal guarantee if they had insurance.

Despite the risks, personal guarantees can be a valuable tool for small business owners seeking funding. By understanding the implications and considering insurance options, you can make informed decisions about your financing needs and protect your personal assets.

Insurance protection for personal guarantees

If you are not comfortable with the risks of borrowing money against a personal guarantee, there are insurance options available to protect small business owners’ assets. Personal Guarantee Insurance (PGI) can provide coverage for the full amount of the loan, protecting your personal assets in case of default.

Alternative borrowing

How you borrow to fund your business may come down to more than cost: if your risk appetite is low, you may prefer to avoid personal guarantees all together and pay a higher interest rate. At Swoop, we make it easy to compare different deals so that you can choose the one that is right for you and your business needs. 

How Swoop can help

Personal guarantees can be a risky proposition for small business owners. Options for business owners include insurance to protect your personal assets or seeking alternative borrowing options.

Swoop is a business funding and savings platform enabling businesses to discover the right funding solutions, make savings on business costs and find tailored insurance solutions, all in one fell swoop. Register on our platform to get a feel for loans that both do or don’t require a personal guarantee, or to speak with an insurance expert to better understand your options.



Finance

Key dates for SMEs: what you need to know for 2025


Throughout the year there are key dates that affect businesses. If you miss a deadline, it can be expensive.

Missing deadlines can have serious consequences: from financial penalties to damaged reputations, the repercussions can be far-reaching.

It’s not just disappointed customers: late tax payments can result in hefty fines and interest charges, so it’s crucial to stay on top of tax deadlines, such as VAT returns and corporation tax filings.

Business owners need to be aware of, and plan proactively for, key dates throughout the year. This includes budgeting for upcoming tax payments or having a plan in place to secure additional funding if necessary. By anticipating these financial obligations, businesses can mitigate risks and maintain a healthy cash flow.

Tax deadlines 

Sole traders 

Sole traders pay income tax and National insurance in two stages: 

  • 31 January 2025 – balance of any tax for year 2023/24 is due
  • 31 January 2025 - first payment on account of tax for year 2024/25 is due 
  • 31 July 2025 – second payment on account of tax for 2024/25 is due 
  • 31 January 2026 – balance of any tax for year 2024/25 is due 
  • 31 January 2026 – first payment on account of tax for year 2025/26 is due 

Self Assessments 

Self-assessment tax returns must be filed by: 

  • 31 October 2025 following the end of the tax year (paper returns) 
  • 31 January 2026 following the end of the tax year (online returns) 

Limited Companies

The payment deadline for Corporation Tax depends on your accounting period end date. Typically, you’ll have 9 months and 1 day after your accounting period ends to pay your corporation tax bill.

  • Return Filing Deadline: This is usually 12 months after your accounting period ends.

VAT

  • Quarterly VAT Returns: If you’re VAT-registered, you’ll need to submit quarterly VAT returns and pay any VAT due. The exact deadlines for these will depend on your VAT return period.
  • Annual VAT Return: Some businesses may need to submit an annual VAT return.

Other Important Dates

  • Confirmation Statement Filing: You’ll need to file a confirmation statement annually. The specific deadline will depend on your company’s incorporation date.
  • Company Accounts Filing: The deadline for filing your company’s annual accounts will depend on your company’s accounting period end date.

Statutory rate increases to note for employers:

National Minimum Wage rate increase will come into force from 1 April 2025: 

  • For workers aged 21 or over, NMW increases from £11.44/hour to £12.21/hour
  • For workers aged 18-21, NMW increases from £8.60/hour to £10.00/hour
  • For workers under 18, NMW increases from £6.40/hour to £7.55/hour
  • The apprentice rate increases from £6.40/hour to £7.55/hour

Payroll deadlines 

If you have employees, you’ll need to know the following payroll reporting and payment deadlines: 

  • 6 April 2025: Update employee payroll records for the new tax year 
  • 19 April 2025: Submit your final Full Payment Summary and Employer payment summary for the year ended 5 April 2023 and pay any tax/NIC due for the year. 
  • 31 May 2025: Give a P60 to all employees on your payroll who are working for you on the last day of the tax year 
  • 6 July 2025: Reporting of employee expenses and benefits 
  • 19 July 2025: Payment of Class 1A NICs by post, 22 July 2025 if paid electronically 

Disclaimer: all information correct at time of writing, 11 December 2024. Swoop does not give financial advice and recommends you confirm due dates and deadlines with independent financial advisors.



Finance