Hope Capital offer a narrow but flexible approach to lending, offering SMEs secured bridging loans between £100,000 and £5,000,000 – but does it have good reviews?
As this is a bridging loan, your borrowing will need to be repaid in full within 18 months, so only consider approaching Hope Capital if you have a clear and distinct exit strategy, but don’t be deterred if you are worried that historical financial issues will disqualify you from borrowing from Hope Capital.
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This lender does not base decisions on credit score, but on a bespoke evaluation of your business incomings and expenses.
Hope Capital business loans and finance
- Pros and cons
- Business loans
- Commercial mortgages
- Asset finance
- Business vehicle finance
- Invoice finance
- Merchant cash advance
- Business credit cards
- Hope Capital key information
- Hope Capital reviews
- Business eligibility criteria
- Business finance alternatives
- FAQ
Pros and cons of Hope Capital for business finance
| Pros | Cons |
|---|---|
| ✓ Quite flexible on lending terms – you can even apply if you no longer live in the UK | ✗ Very narrow lending niche – only secured bridging loans, which will not suit every business |
| ✓ Competitive interest rates | ✗ Minimum loan value of £150,000 |
| ✓ Decision not based on credit score but unique conditions surrounding your business | ✗ Very few, generally uncomplimentary, online reviews |
Business loans
Hope Capital has seven products, all of which are related to property finance as they need to be secured against an existing business or residential property:
- Bridge 2 let
- Term 2 rent
- Residential
- Semi-commercial
- Commercial
- Land with planning
- Land without planning
These are bridging loans, meaning they will need be repaid in their entirety at the end of a lending term – which is usually capped at 18 months. All bridging loans from Hope Capital will also need to be secured against a property that you already own.
Bridge 2 let
This loan starts out as a bridging loan for 12 months, and can then be converted to a repayment loan for up to 24 months. Interest rates start at 0.72% and the maximum loan-to-value ratio on the property you secure the borrowing against is 75%. You can borrow between £150,000 and £1,500,000.
Term 2 rent
The only non-bridging loan that Hope Capital offers, this borrowing is a two-year term with variable interest rates starting at 6% plus the Bank of England base rate, or fixed rates from 11.5%. You can borrow between £150,000 and £1,550,000, and maximum loan-to-value ratio on the property you secure the borrowing against is 70%.
Residential
Borrow between £50,000 and £5,000,000 for anywhere from 3 to 18 months. The loan needs to be secured against a residential property with a maximum loan-to-value ratio of 75%. Interest rates start at 0.72%.
Semi-commercial
Borrow between £50,000 and £5,000,000 for anywhere from 3 to 18 months to purchase or refurbish a semi-commercial property, which means the building needs to blend residential and business uses. The loan needs to be secured against a property with a maximum loan-to-value ratio of 70%. Interest rates start at 0.79%.
Commercial
Borrow between £50,000 and £5,000,000 for anywhere from 3 to 18 months to purchase or refurbish a commercial property. The loan needs to be secured against a property with a maximum loan-to-value ratio of 65%. Interest rates start at 0.79%.
Land with planning
Borrow between £50,000 and £5,000,000 for anywhere from 3 to 18 months, secured against land that does not have any buildings on it, but you aim to develop property in the area and have planning permission from the relevant authorities. The maximum loan-to-value ratio is 60% and interest rates start at 0.99%.
Land without planning
Borrow between £50,000 and £5,000,000 for anywhere from 3 to 18 months, secured against land that does not have any buildings on it, and you aim to develop property in the area but have yet to gain planning permission from the relevant authorities. The maximum loan-to-value ratio is 50% and interest rates start at 1.25% – interest will drop to 0.99% when planning permission is granted.
Commercial mortgages
Many of the products we have discussed under the auspice of business loans can also be used as a commercial mortgage. We have profiled them under this previous banner as this borrowing can be used for any business purpose as long as you can justify the need for the loan.
Asset finance
✗ Not available from Hope Capital. See best asset finance.
Business vehicle finance
✗ Not available from Hope Capital. See business vehicle finance.
Invoice finance
✗ Not available from Hope Capital. See invoice factoring.
Merchant cash advance
✗ Not available from Hope Capital. See merchant cash advance.
Business credit cards
✗ Not available from Hope Capital. See business credit cards.
Hope Capital key information
| Phone number | 0151 523 5998 |
| App downloads | N/A |
| Website | www.hope-capital.co.uk |
| Number of branches | N/A |
| FSCS protected? | No |
| Founded | 2011 |
Hope Capital reviews
| Review platform | Score | Number of votes |
|---|---|---|
| TrustPilot | 3/5 | 3 |
| Feefo | Not reviewed | N/A |
| Reviews.io | Not reviewed | N/A |
| Smart Money People | Not reviewed | N/A |
| Which? | Not reviewed | N/A |
| Average score | 3/5 | 3 total votes |
Business eligibility criteria
Hope Capital places comparatively few restrictions on who qualifies for lending. If you have sufficient equity in a property, and a clear exit strategy, Hope Capital will likely be content to discuss your borrowing needs.
Business finance alternatives
As Hope Capital is a very niche lender, you may wish to investigate alternatives that offer unsecured loans or the ability to borrow for a longer period.
FAQ
Call Hope Capital on 0151 523 5998 to get the ball rolling on a funding application, or fill in the quick enquiry form found on the website. Hope Capital aim to get back to you within an hour.
Although Hope Capital’s business model primarily revolves around property finance, this lender will consider loan applications on some products for any justifiable business purpose if you can prove that you have an effective exit strategy.
This depends on the type of loan you are taking out, and how much equity you have in the property that you will be securing the borrowing against – Hope Capital sets a borrowing limit of up to 75% of the loan-to-value ratio on your asset. The maximum loan available from Hope Capital without an external referral is £5,000,000.
Hope Capital primarily offers bridging loans, so any borrowing must be repaid within 18 months. These loans are designed for a business that knows it has a substantial cash injection incoming and is aiming to plug a short-term gap. You may qualify for a loan that is initially issued on a bridging basis then converted to term, but this will still be a much shorter repayment term than most competitors.
Interest rates on a Hope Capital loan vary according to your personal circumstances and the type of loan that you take out. Interest can begin at 0.72%, which is obviously quite competitive.
Hope Capital do not run a credit check on applications for funding, so historical issues do not need to be a problem. Your loan application will stand or fall based on your business income and expenditure – Hope Capital will just look for assurance that you will not default on your borrowing.