Shoe Shop Loans Service
Our shoe shop loan service provides finance solutions for:
- Unsecured business loans – Finance up to £250,000 from 1 to 5-year terms.
- Working capital business loans – Solutions from 1.10% per month.
- Bridging finance – From 1 to 24 month terms from 0.55% pm.
- Asset finance – We have access to a wide range of asset finance lenders.
Loans for Shoe Shops
A shoe shop loan can help proprietors fund essential improvements, invest in growth, refurbish their property and acquire additional retail locations. It remains vital to choose the right type of financing for your shoe shop, as there is an array of business finance and funding options available, each with their own distinct costs and conditions.
Our brokerage tool allows you to explore the entire market, providing access to the most competitive rates.
Why Invest in a Shoe Shop?
The shoe shop is a staple of any high street, and a good potential investment for any business owner looking to expand their operations.
Despite many sectors seeing their consumer preferences moving to online delivery in recent decades, shoe shops remain one of the safer retail investments, as most people would still rather try on a pair of shoes in-person.
Just ask Cinderella…
Community Service: allows you to provide an essential service to your community, and gives you exposure to a loyal and visible customer base.
Financial Rewards: High foot traffic, exposure to impulse buying and growth potential in accessorising with footwear makes shoe retail a profitable industry.
Be Your Own Boss: Running your own shoe shop gives you the freedom to manage and grow your business according to your vision, and customer interaction allows real-time feedback on market trends.
Shoe Shop Loan Financing Options
Several types of loans may be relevant depending on your specific needs.
- Commercial Mortgages: For purchasing the retail property.
- Asset Finance: For acquiring inventory, display units, or other equipment such as security systems or vehicles.
- Renovation and Development Finance: For updating and enhancing your space.
- Cashflow Finance: Including Merchant Cash Advances or Invoice loans, to support payroll and inventory purchases.
- Bridging Finance: For addressing short-term capital needs.
- Tax Loans and Working Capital Finance: To handle everyday operational expenses.
Shoe Shop Loan Eligibility Criteria
To secure your loan, it’s important to understand the criteria that lenders typically evaluate.
Business Background:
Whether purchasing an existing shoe shop or expanding your current one, demonstrating a profitable history can help in securing a loan. Lenders will review financial statements, profit margins, and cash flow to assess your repayment capacity.
Plan for Shoe Shop Business:
A comprehensive plan detailing how you intend to operate the shoe shop, generate revenue, and grow the business will improve your chances of loan approval. Researching local demographics and competition is beneficial, such as data on high-street foot traffic.
Personal Information:
Lenders usually require recent bank statements, tax returns, and your credit score. A lower credit score may result in higher interest rates due to increased risk.
Regulatory Compliance:
Ensure your shoe shop meets all relevant regulations and has the necessary licenses.
Collateral:
Depending on whether you apply for a secured or unsecured loan, you may need to provide collateral as security against default.
Types of Lenders for Shoe Shop Loans
Commercial Banks:
Often the first choice, however it can be difficult to find the right one for you. Our brokerage tool helps identify whether commercial banking is the right way to go, and if so, which bank will be most beneficial to your situation. While they typically offer competitive rates, High Street Banks tend to have stricter eligibility criteria.
Specialized Private Lenders:
For those with a more complex financial situations, private lenders might be more suitable. They often have more flexible criteria and a faster application process.
With various financing options and typical Loan-to-Value ratios of 70-90%, the prospect of owning a shoe shop is attainable. As a dedicated finance broker, we offer tailored solutions from across the market, giving you access to more opportunities than just traditional high-street banks.
Can I apply for a shoe shop loan?
Any business can apply for a shoe shop loan, regardless of how big or small it might be, provided you are VAT registered and you meet the minimum monthly turnover.
As a range of business funding options are available, it can often be challenging to find the perfect deal to acquire your shoe shop. Our specialist business loan advisory team help take the strain in finding the right finance solution for your expansion into footwear retail.
Call us today on 0117 313 8872, for a free initial consultation or use our business loan quote service.