28/10/2026
There are plenty of misconceptions about what lenders look at when assessing a business for funding. So, let's separate facts from fiction. 👇
❌ MYTH: High revenue guarantees funding approval.
✅ FACT: Revenue is only one part of the assessment. Lenders may also consider your business's trading history, cash flow, affordability, and overall financial position.
❌ MYTH: A good credit score is all you need.
✅ FACT: A credit profile is important, but it's not the only factor. Depending on the funding solution, lenders may also look at bank statements, financial information, trading history, and repayment ability.
❌ MYTH: You need to be struggling to need funding.
✅ FACT: Businesses can use funding for growth too - from purchasing stock and taking on larger orders to managing cash flow and investing in opportunities.
❌ MYTH: Every lender looks at your business the same way.
✅ FACT: Different lenders have different lending criteria, products and risk appetites. That's why the funding option that works for one business may not be right for another.
🔑 The Bigger Picture:
There isn't always one number, document, or factor that determines whether a business can access funding.
Your revenue, trading history, cash flow, financial position and funding needs can all play a role. The key is understanding your business's position and finding a funding solution that fits its needs. 💸
💬 Which funding myth have you heard before? Let us know in the comments ⏬
