Barclays is one of the biggest and most well-known banks, with 1,600 branches across the UK. As well as business finance products, Barclays offers a range of business bank accounts, savings, insurance products, and foreign currency accounts.
Barclays Business Finance
Businesses can borrow £1,000 to £25,000 at 7.9 APR representative and up to £100,000 unsecured. Repayment is spread over 1 to 10 years and monthly payments are fixed. A 6-month repayment holiday is available at the beginning of your loan. APR for loans above £25,000 will be provided on application.
Coronavirus support is also available through the Coronavirus Business Interruption Loan Scheme (from £50,001 to £5 million) and the Bounce Back Loan Scheme (from £2,000 to £50,000).
Unsecured overdrafts are available up to £50,000 for business customers with a Barclays business current account. To be eligible, your business needs to have managed its account well for the past 6 months. Barclays’ business overdraft is charged at a Representative EAR* (variable) of 8.02% to 11.01%. Overdraft fees start at £95 up to £250.
Business credit cards
There are three credit cards available to Barclays business customers:
Premium Plus credit card
- Representative APR 49.4% (variable)
- £150 annual fee per account
- Includes travel points and perks
Select credit card
- Representative APR 28.6% (variable)
- £42 annual fee per account
- Initial three-month, interest-free purchase period
Flex credit card
- Representative APR 24.9% (variable)
- No annual fee
- Designed for startups and new businesses
Commercial mortgages are available for business premises, farmland, and commercial and residential property development. Variable and fixed rates are available over a repayment period of 1-10 years or 1-25 years. Barclays Real Estate Managers will build a solution for more complex needs.
Financing available from £10,000 for 1-5 years for the purchase of tangible, identifiable and removable assets. To be eligible your business needs to have 2 years’ of trading history and a 12-month relationship with Barclays.
Barclays provide invoice finance in partnership with MarketFinance. Your business can access up to 90% of the value of your outstanding invoices upfront. To be eligible your business must be a B2B limited company or limited liability partnership and have a minimum annual turnover of at least £100,000.
Barclays Reviews and Ratings
Reviews on Trustpilot and Reviews.co.uk are mainly negative. 85% of Trustpilot reviewers rate Barclays 1/5 and have experienced long waiting times for telephone banking, high charges, and poor service in-branch. Across the review sites, business customers have had specific problems with account set up and waiting a long time for loan approval. Many of these comments are post-Coronavirus so it’s worth bearing in mind that big banks will have had an unusual number of queries to deal with, however, some customers had issues with this before the crisis.
Barclays business accounts get a 70% Which? Customer Score with average ratings of 3/5 for customer service, application process, communication, transparency of charges, telephone banking, and complaints handling. Service in-branch gets just 2/5 but online banking and mobile banking score 4/5 and 5/5 respectively.
The bank ranked 6th in a list of the 14 largest business banking providers for SME overdraft and loan services in an independent survey. In the same survey, Barclays ranked joint 1st for online and mobile banking services and joint 4th for overall service quality.
- Fixed and flexible repayment options for most loans and finance types.
- Ranks well for mobile banking in an independent survey. Handy for businesses managing their accounts remotely.
- Specialist support for property development projects.
- Poor online reviews, particularly when it comes to customer service and waiting times.
- Average rating for SME overdraft and loan services in an independent survey. Other big banks rank far better.
Website: Barclays Business Finance