Loans tailored to micro businesses


When it comes to businesses in the UK, there’s no one scale. From large corporations to micro enterprises, each type is vital for the health and longevity of our economy. Micro-Businesses run by a single person accounts for over 75% of UK businesses as a whole (source)

So, when it comes to funding this large proportion of businesses, what solutions are out there? One of the top choices might just be a micro business loan. Read on to find out more.



Article Contents


  1. What is a Micro Business Loan?
  2. Who are Micro Loans for?
  3. Getting a Micro Business Loan
  4. What Can I Use a Micro Business Loans For?
  5. What are the Advantages and Disadvantages of Choosing a Loan for Micro Businesses?
  6. Will My Business Qualify for a Micro Business Loan?
  7. Micro Business Loans from Capify
  8. Micro Businesses: The Statistics
  9. Micro Business Loan Calculator



What is a Micro Business Loan?


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A micro business loan is a variation on a small business loan, designed for companies of single person scale or slightly larger. This borrowing is explicitly intended for small-scale businesses, and as such is available in lower amounts than what may be accessible to large companies. However, this also means the initial requirements for application can be less stringent, depending on the lender of choice.



Who are Micro Loans for?




Loans for micro businesses are as they say on the tin; they are a smaller-scale loan that is suitable for micro businesses of all types. This could be a business with two individuals or even a sole trader. Microloans aren’t industry specific; instead, they are dictated by the scale and overall size of the individual business.



Getting a Micro Business Loan


Business Owner


Are you considering a micro business loan as the best choice for your requirements? The next step is the application. At Capify, we take into account a variety of factors to decide if each business individually is a suitable candidate. These factors could include the performance of the company over time, or card transaction volume for businesses that frequently take card payments, such as small eCommerce micro businesses.



What Can I Use a Micro Business Loans For?




A loan for micro business can be used for practically any part of day-to-day operations; whether it’s purchasing a higher volume of stock in advance, maintaining steady cash flow in a slower period or even expanding the premises or equipment owned by the business..



What are the Advantages and Disadvantages of Choosing a Loan for Micro Businesses?


Business Owner


Before applying for a micro business loan, there are a few things to consider. Firstly, the main advantages of a specific loan for your business. For many companies, these loans prove to be easier to get accepted, as they are specifically designed to work for the type of business they own. However, it’s also worth considering the disadvantages of a loan for a tiny business; such as the fact that you need to ensure you have enough income to cover the loan as well as to live on.



Will My Business Qualify for a Micro Business Loan?


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Whether your business will qualify for a micro business loan from Capify will depend on a few things. Primarily, your company must have been running for at least six months, and you must have a turnover of at least £60,000. However, speaking to our team can provide you with some additional insight into the process as required.



Micro Business Loans from Capify


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At Capify, we offer two distinct products that are ideal for micro businesses. Our business loan for limited micro companies is the perfect choice for many sole trader style businesses, while our merchant cash advance option is the right fit for businesses of a range of sizes. Contact us today to find out which loan would be the most suitable for your business today.



Micro Businesses: The Statistics


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According to Experian, size isn’t the only thing that matters to small businesses – in fact, over 23,000 micro businesses have a turnover of more than £1m; making them perfectly eligible for our range of micro business loans. In London, 18% of the UK’s total micro businesses reside; making it the ideal location for up-and-coming companies and start-ups.

At Capify, we know the benefit of supporting micro-businesses, and according to, the support of lenders is making all the difference; with 71% of micro businesses looking to expand just a few years ago. With an impressive 1 million of those businesses being women-led, it does seem like micro businesses are truly the future of the UK economy – and that’s something we want to invest in.



Micro Business Loan Calculator


Find out how much your micro business loan will cost.


Raise £3,500 to over £150,000 for your small business

Capify offers flexible finance with simple repayments. There are no massive monthly Direct Debits to think about, just small manageable payments that are easy to keep track of.

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