iwoca Review

Considering a loan from iwoca? Get an expert perspective on this small business lender to see if it suits your business and needs. 

Iwoca is an independent lender specialising in business loans for small businesses. With an approach centred around their responsive online software, the lender promises simple applications, quick decisions and rapid issuing of funds.

With a strong review record and a clean, user-friendly digital interface, iwoca aims to make it easier than ever for small businesses to access loans. However, as with all lenders, the rates and terms you are offered will depend on certain eligibility criteria and your own business goals.

At Rangewell, we act as independent finance experts who can negotiate with lenders on your behalf. If you’re considering taking out a loan with iwoca, or you’ve already applied and been rejected or are awaiting a decision, get in touch with our team. We may be able to secure a better offer, all at no cost to you. 

Read on to see our full overview of iwoca, including loan limits and eligibility factors, or use the button below to speak to our team. Don’t go it alone, talk to us and get finance suited to your business. 

What is iwoca?

Founded in 2011, iwoca is a London-based finance provider specialising in business loans for SMEs, promising quick decisions and a rapid issue of funds upon approval. Rated ‘Excellent’ on Trustpilot, the lender has a great reputation for supporting small businesses with a range of financial products, including business loans and its bespoke ‘iwocaPay’ payment service. 

What types of loans does iwoca offer?

For businesses that need flexible finance, iwoca offers a good selection of loan products which may suit your needs. These include: 

• Flexible business loans: built to support flexible requirements, this product offers loans ranging from £1000 to £500,000 for terms between a single day through to 2 years. 
• Small business loans: essentially the same as a flexible loan, with more focus on small business needs. 
• Unsecured business loans: loans that aren’t secured against assets, offering credit between £1000 and £500,000 for eligible businesses. 
• Short-term business loans: short-term loans provide quick access to funds to help businesses bridge cash flow gaps and resolve temporary issues. 
• iwocaPay: a payment solution allowing your business to offer customers credit-based payments (aka buy now, pay later). 

If you’re confused about the type of finance you’re looking for, Rangewell can help you make sense of iwoca’s offer and also direct you to the most appropriate type of loan for your needs. We can also help strengthen your application and help you negotiate better terms. Get in touch before you apply, or contact us if you’ve already tried to get a loan and been unsuccessful. 

Are you eligible for a loan from iwoca?

As with all finance providers in the UK, iwoca has certain eligibility criteria in place that will dictate your chances of a successful offer and the rates and terms you’re given. However, the lender prides itself on being more transparent and streamlined than a traditional bank, requiring basic information about your business and its performance to make a decision. 

To be eligible for iwoca loans, you’ll need to operate a UK-based business that is a limited company or partnership. If you’re a new startup with very little in the way of trading history, your loan will likely be limited to £10,000.  

Unlike other lenders who expect more information around your accounts and performance, iwoca promises to consider most applicants as long as you meet the criteria above. Loans and decisions will be tailored to your specific circumstances.

What information do you need to provide? 

As mentioned above, iwoca requires less information compared to other lenders. However, there are still some key pieces of information you’ll need to offer in order to be considered — though this depends on what stage your business is at. 

• Startups that have yet to start trading must provide a business plan.
• Limited companies should provide 3-6 months of bank statements, your latest VAT return and full company accounts (not the abbreviated version). 
• LLPS don’t need to prepare company accounts, but it’s a good idea to provide bank statements and other financial information where possible to show your business performance.

Does iwoca offer secured or unsecured lending?

Unlike many other providers, iwoca offers only unsecured loans with no asset requirements. However, the business does ask for a personal guarantee signed by a director for limited companies.

What are the rates and terms? 

The rates and term lengths offered by iwoca will vary depending on your business’ financial history and future projections. Terms vary between one day and 24 months.

Rates vary between 2-6% per month and will be tailored specifically to your application. Once you apply and receive an offer, you can freely decline it with no obligation to proceed.

Want better rates or different terms? 

Considering iwoca’s relatively short maximum term length, you may want to consider a longer-term loan from a different provider. Alternatively, suppose you’ve been offered a rate that will impact your cash flow projections or seems restrictive in any other way. In that case, we can help you renegotiate with iwoca or a different lender. Get in touch now to learn more.

What are the fees and charges?

Fees and charges depend on which financial product you apply for. For a flex loan taken over any period of 12 months or less, you’ll be eligible for a no-fee loan that doesn’t have any up-front charges or costs. 

If you take a loan for more than 12 months, an arrangement fee will be included on your offer, which you’ll need to accept before you commence with the loan. 

How do I apply?

The iwoca application process is simple and streamlined, making it easy to apply for a loan with very little information. You can apply online via their website, where you’ll be asked to fill out key information about your business structure and loan required. The site claims applications can take as little as 5 minutes – though, in our experience, it’s always better to take extra time to ensure all details are correct. 

Once you’ve submitted your application, decisions should be issued within 24 hours. If you’ve applied and you’ve been left waiting for a decision for longer than that, you may want to contact our team here at Rangewell to start discussing your other options. 

What if you are rejected by iwoca? 

As with any finance provider, you may be rejected by iwoca for a multitude of reasons. If you don’t get the decision you want, don’t worry – we can help you raise finance with a different provider, no matter what your circumstances look like.

Additionally, if you’ve received an offer but it doesn’t match your expectations, get in touch with our team, and we’ll talk through alternative options from a wide range of lenders. Whatever your circumstances or background, we can help arrange finance at the most competitive rates to help your business achieve more. 

What to do if your iwoca loan is coming to an end

If your term loan with iwoca is approaching its end, you can either refinance it to another provider or simply move on to a new one. Choosing which approach is right for you is a question of your business priorities, existing finances and future goals. Our team will help you discuss your options and raise further finance from iwoca or another lender – all you need to do is reach out. 

Need more funding? 

If you aren’t happy with the rates, term lengths or even credit limits available from iwoca, you need to look at other lenders. The best way to do that is with the support of our team here at Rangewell, as we work across the entire lender’s market and can help assign the ideal lender to each borrower and find the best finance agreements to suit your needs and your specific sector.