by Alison Jobson | Jul 8, 2026
Buying property at auction can be a great way to secure a good deal, but you need to be ready to commit. When the hammer falls, you’re legally committed to the purchase, and you typically have just 28 days to complete the transaction.
For most buyers, that rules out a traditional mortgage, which takes much longer to process. By the time a lender has completed its checks, your deadline will have long passed.
For this reason, using bridging finance to buy at auction has become a popular solution. But understanding how it works and what happens after you’ve bought is essential before you bid.
Before the auction: get your finance agreed in principle
The single most important thing you can do before auction day is to speak to a finance broker. Turning up without your finance in place is a risky strategy.
Ensure you have assessed the property, and your solicitor has reviewed the legal pack, so you know what your maximum bid will be.
A good broker will help you get an agreement in principle from a bridging lender before you bid. This gives you a clear picture of how much you can borrow, what the costs will be, and how quickly funds can be released. It also means that once you’ve won your lot, the lender already understands your application and can move quickly to completion.
On the day: what to expect
When your bid is accepted, you’ll be required to pay a deposit, typically 10% of the purchase price, immediately. The remaining 90% must be paid by the completion deadline, usually 28 days, though some auctions now use a conditional sale format with a longer window of up to 56 days.
Your bridging lender will need to complete a property valuation and finalise legal checks before releasing funds. Having your paperwork ready in advance, such as proof of identity, details of your exit strategy, and any planning or survey information, will help speed things up.
After the auction: your exit strategy
Bridging finance is short-term, typically between three and twelve months. As soon as you complete, the clock is ticking on repayment, so having a clear exit strategy is essential. Also, lenders will want to see one before they agree to fund you.
The three most common exit routes are:
- Refinancing onto a longer-term mortgage. If you’re planning to let the property, you’ll typically refinance onto a buy-to-let or commercial mortgage once it’s in a lettable condition.
- Selling the property. If you’re buying to renovate and sell, the bridge gives you the time to complete the work and achieve a sale.
- Releasing equity from another asset. Some buyers use funds from another property sale or asset disposal to repay the bridge loan.
Your exit strategy will determine which lenders are available to you and on what terms, so it’s worth thinking this through before you approach a lender.
What does bridging finance cost?
Bridging loans are priced on a monthly interest rate rather than an annual rate, reflecting their short-term nature. The rate will depend on the loan-to-value, the property type, and the strength of your exit strategy. There will also be arrangement fees, legal costs, and valuation fees to factor in.
The higher cost compared with a standard mortgage is the trade-off for speed and flexibility. For most auction buyers, the ability to complete on time and secure a property that might otherwise be unattainable outweighs the extra cost.
How ASC can help
At ASC, we work with a wide range of bridging lenders and know which ones can move quickly when there’s a deadline to meet. We regularly help buyers secure bridging finance to buy at auction. We can help you get finance agreed in principle before you bid and manage the application once you’ve bought.
If you’re considering buying at auction and want to understand your finance options, get in touch with your local ASC expert.
by Alison Jobson | May 27, 2026
At ASC Finance for Business, we believe that securing business finance should be simple, straightforward and stress-free. That’s why we’ve spent over 50 years helping business owners, property investors, and entrepreneurs find the right funding, without the fuss.
Whether you’re looking to purchase premises, refinance existing debt, begin a property development or raise working capital, here’s how we help you get business finance.
Step 1: Initial contact – How can we help?
When you first get in touch, we begin with a simple, no-obligation chat to understand your needs. We’ll ask for a few brief details about your financing requirements to see if we can assist you and to assign you to a broker best suited to your needs. We’ll then arrange a follow-up appointment, which can be face-to-face at your local ASC office, online via Microsoft Teams, or over the phone.
Step 2: Assessment meeting – Understanding what you need
At this no-obligation initial meeting, we’ll explore your requirements in more detail. We’ll explain how the process works, outline the information you’ll need to provide, and give you a quote for our services.
Every business is different, so we take the time to understand yours. We want to know what you’re looking to finance, your goals, and any challenges you’ve faced.
We promise you won’t be read a script or given a sales pitch. You’ll have a knowledgeable local expert who’ll listen and offer guidance on what might be possible.
Step 3: Engagement – Getting started
Once you’re ready to proceed, we’ll share our terms of business. Then it’s full steam ahead. Using the insights we’ve gathered, we’ll identify the appropriate type of finance for your circumstances, check whether everything is in place to support your application, and help you prepare any additional documents or information.
Step 4: Finding finance – Approaching the right lenders
With access to a broad range of lenders, including high-street banks, challenger banks, and niche or specialist funders, we know who’s most likely to say “yes” to your application.
We’ll match your business with the lenders that suit it best, present your case and engage directly with them on your behalf. As soon as we’ve secured interest from a suitable lender, we’ll present you with your options.
Step 5: The application – Managing the process
We’ll handle the entire application process, liaising with lenders, and ensuring everything runs smoothly. If your application needs refining or resubmitting, we’ll work with you to get it right. We’ll also negotiate on your behalf to secure the best possible terms, whether that’s a lower interest rate, flexible repayment options, or reduced fees.
Step 6: Formal offer – Reviewing the deal
Once a lender makes a formal offer, we’ll review it with you in detail. We’ll explain the terms and conditions in plain English and help you assess whether it meets your needs before you accept it.
If anything needs clarification or adjustment, we’ll work with the lender to get it sorted.
Step 7: Completion – Securing the funds
As the lender and the legal team finalise the deal, we’ll stay involved to ensure everything stays on track. We’ll chase updates, resolve any issues, and keep you informed throughout.
Once everything’s signed off, the funds will be released and the deal completed.
Business finance – without the fuss
At ASC, we do the hard work so you don’t have to. You’ll get hands-on support, a dedicated local expert, and the best chance of securing the finance your business needs to grow.
Ready to get started? Contact your local ASC office today.
by Alison Jobson | May 20, 2026
If you’re planning to apply for finance this year, it’s helpful to understand how commercial lenders are currently operating.
While the fundamentals of lending haven’t changed, the way lenders assess risk, structure deals, and make decisions is constantly evolving. What worked a few years ago, or even last year, may no longer work in 2026.
As brokers, we’re presenting applications and liaising with commercial lenders daily. Here’s what we’re seeing lenders look for right now, along with our thoughts on how to position your application for success.
Clarity and confidence in the numbers
Commercial lenders are taking a closer look at financials than ever before. As well as profitability, they want to understand the story behind the numbers.
They want to see:
- Consistent or explainable income
- Strong cash flow (or a clear route to it)
- Realistic projections, not overly optimistic ones
Fluctuations or challenges aren’t necessarily a problem, but they need to be clearly explained. A well-presented set of financials, supported by context, goes a long way to building lender confidence.
A clear, credible exit strategy
A clear exit strategy is particularly important for property finance, especially bridging and development deals.
Lenders want to know:
- How will the loan be repaid?
- What’s the fallback plan if things take longer than expected?
A vague or overly ambitious exit strategy is one of the quickest ways to undermine an otherwise strong application. In 2026, lenders are looking for well-thought-out, realistic plans, not assumptions.
Experience matters, but it’s not everything
Track record is still important, but lenders are becoming more flexible in how they assess experience. We’ve secured funding for start-ups and clients entering new sectors by highlighting their broader, relevant experience and support network.
The right deal structure
One of the biggest shifts we’ve seen in recent years is the growing importance of structuring.
Commercial lenders are increasingly focused on whether:
- The type of finance matches the borrower’s strategy
- The loan term aligns with the intended outcome
- The overall deal makes sense from a risk perspective
For example, using short-term finance when a longer-term solution is needed (or vice versa) can raise concerns, even if the underlying deal is sound.
Getting the structure right is often the difference between approval and rejection.
Risk awareness and mitigation
Lenders aren’t expecting risk-free deals, but they do expect borrowers to recognise and manage risk effectively.
For example:
- Contingency budgets in development projects
- Sensible loan-to-value levels
- Backup plans if market conditions shift
- Evidence of demand (for example, tenant interest or resale potential)
Lenders are looking for borrowers who have thought things through and aren’t just presenting a best-case scenario.
Realistic expectations in a changing market
The lending landscape remains competitive, but interest rates, lender appetite, and sector preferences are constantly shifting. As a result, lenders are placing greater emphasis on:
- Sensible borrowing levels
- Deals that stack up under scrutiny
Overstretching, whether in leverage, pricing, or timelines, will not be well received.
Presentation is more important than ever
How a deal is presented remains as important as the deal itself. Two identical opportunities can receive very different outcomes depending on how they’re structured and communicated to a lender.
A strong application should:
- Clearly explain the opportunity
- Anticipate and address potential concerns
- Highlight strengths and mitigate perceived risks
Many applications fall short in this area, so the right guidance can make a significant difference.
The broker advantage
In 2026, navigating the finance market isn’t just about finding a lender, but about finding the right lender and presenting the deal in the right way.
A commercial finance broker brings:
- Insight into current lender appetite
- Experience in structuring deals effectively
- Access to a wide panel of lenders, including specialist providers
- The ability to position applications for the best possible outcome
At ASC, we work closely with clients to understand their goals, shape their applications, and connect them with lenders who are actively seeking to support deals like theirs.
When you know what lenders are really looking for and how to present it, you give yourself the best possible chance of success.
If you need finance in 2026, please get in touch.
by Alison Jobson | May 6, 2026
If you’ve ever had a finance application declined, you’re not alone. Research from the National Association of Finance Brokers (NACFB) found that more than a quarter of businesses had already been turned down by a lender before approaching a broker.
A no doesn’t always mean the deal isn’t viable or that you won’t secure finance. Often, a rejection is due to how the application has been presented, structured, or interpreted.
In this article, we explain the common reasons for finance applications being declined and how a broker, such as ASC, can change the outcome.
5 most common reasons finance applications are declined
1. The deal doesn’t fit the lender’s criteria
Every lender has a particular focus. Some favour low-risk, straightforward deals, while others specialise in specific types of finance or scenarios, such as development finance, bridging finance, or start-up businesses.
If an application is the wrong fit, it can be declined quickly, even if another lender would have accepted it.
2. Poor presentation of the application
Lenders assess risk as well as the figures. If an application lacks clarity, supporting documentation, or a strong narrative, it can raise red flags.
For example:
- Missing financials or unclear cash flow
- Limited explanation of the borrower’s experience
Even a strong deal can get rejected if it isn’t presented properly.
3. Perceived risk is too high
Sometimes, even if a deal looks sound, it may still appear too risky from a lender’s perspective. This may be due to:
- Property type or location
- Complex ownership structures
Lenders are inherently cautious, so anything that raises concerns may result in a decline.
4. Previous credit issues
Personal or business credit history issues can make a deal high-risk for a lender. However, not all lenders assess credit history the same way. What deters one lender may not be a concern for another.
5. The deal hasn’t been structured correctly
Frequently, it’s not the deal itself that’s the issue, but it’s how it’s been presented to the lender.
For example:
- The wrong type of finance has been applied for
- The loan term doesn’t align with the borrower’s strategy
- The repayment plan doesn’t stack up
If it doesn’t make sense or looks too risky, the lender will reject it.
How a broker turns things around
Working with an experienced commercial finance broker can make a real difference when making a finance application. Here’s how.
1. Matching the deal to the right lender
A broker understands which lenders are most likely to support a specific deal. They know who is flexible, who specialises in certain sectors, and who is actively lending in the current market.
Rather than adopting a one-size-fits-all approach, they target the right lender for the deal. This alone can transform the outcome.
2. Reframing and strengthening the application
A broker doesn’t just pass on information; they shape it into a compelling application.
This might include:
- Presenting financials in a clearer, more persuasive way
- Highlighting strengths the lender may miss
- Addressing potential concerns before they become objections
A broker’s role is to present the full story behind the numbers so the lender can make a confident and informed decision.
3. Structuring the deal differently
With expert knowledge of the industry, a broker has the insight to determine whether a different approach would be more effective.
For example:
- Using bridging finance as a short-term solution before refinancing
- Adjusting the loan amount or term
- Bringing in additional security or a guarantor
These strategic tweaks can turn a decline into an approval.
4. Access to a wider panel of lenders
High-street banks are only one segment of the lending market. Brokers have access to a wide range of specialist lenders, many of whom are more flexible, open to complex deals, and available only via a broker.
Using a broker opens up more options, improving your chance of success.
5. Managing the process from start to finish
Finally, a good broker handles the entire process for you, managing communication with lenders and resolving any issues that arise to keep the deal on track.
A decline isn’t the end of the road
Being turned down for finance can feel hopeless. However, with the right guidance, many declined applications can be reworked, repositioned, and successfully funded.
At ASC, we specialise in looking beyond the initial “no” to find a way forward. We know that in many cases, it’s not that the deal doesn’t work; it just hasn’t been approached in the right way yet.
If your finance application has been rejected, or you’ve got plans that need financing, please get in touch and let’s secure a successful outcome.
by Alison Jobson | Apr 29, 2026
As a small business owner, owning your own premises can be a significant step toward growth, stability, and long-term success. Whether you’re looking to purchase an office, a retail unit, a warehouse, or even a mixed-use property, a commercial mortgage can make it possible. But navigating the world of commercial mortgages can be daunting if you’ve never applied for one before. This guide will cover all you need to know, including:
- What commercial mortgages are
- The types of commercial mortgages available
- The rates and terms for commercial mortgages
- The criteria lenders use when deciding whether to provide a commercial mortgage
- How to secure the right financing for your small business
What is a commercial mortgage?
A commercial mortgage is a loan secured against a property that you don’t live in, either for business use or as an investment property. Essentially, it allows you to borrow funds to purchase or refinance commercial property.
Commercial mortgages apply to a wide range of properties, including:
- Offices and office buildings
- Shops, retail units, and shopping centres
- Industrial units, factories, and warehouses
- Hotels, spas, pubs, and other leisure properties
- Mixed-use developments with both commercial and residential elements
In addition, commercial mortgages can also be used to purchase land for commercial purposes, whether for constructing offices, residential units, or other types of commercial property. Lenders may treat land or development finance slightly differently, so it’s important to clarify the purpose of your loan before applying.
Types of commercial mortgages
There are two main types of commercial mortgages, which are as follows:
1. Owner-occupied mortgages
An owner-occupied mortgage is for a business that wants to buy property to operate from. For example, this mortgage would be relevant to your small business if you were purchasing an office or warehouse to run your business from.
2. Commercial investment mortgages
A commercial investment mortgage is used to purchase properties that will be rented out. The lender assesses the potential rental income to determine your ability to repay the loan. For example, if you’re an investor buying a shop to lease to tenants, you would use an investment mortgage.
Commercial mortgage rates and terms
Commercial mortgages differ from residential mortgages in several ways:
- Interest rates: Commercial mortgage rates can be fixed or variable, and they are typically higher than residential mortgage rates. However, because the loan is secured against property, rates are often lower than unsecured business loans.
- Loan terms: Terms generally range from 5 to 25 years, depending on the lender and type of property.
- Repayment types: You may choose capital repayment (repaying both interest and principal over time) or interest-only (paying only the interest, with the principal due at the end of the term).
Criteria for a commercial mortgage
Lenders take into account various factors before granting a commercial mortgage. The key criteria include:
- Loan-to-value (LTV): Typically, lenders offer up to 70–75% of the property’s value. A larger deposit improves your chances of approval.
- Business financials: Lenders assess your company’s financial health, including revenue, profits, cash flow, and projected growth.
- Credit history: Both personal and business credit scores are reviewed to determine reliability.
- Property type and location: Certain property types or locations may be seen as higher risk, affecting lending decisions.
- Rental income potential: For investment properties, projected rental income is crucial in evaluating affordability.
- Legal standing: Lenders require assurance that your business complies with all regulations and is in good legal standing.
The structure you choose will depend on your cash flow, investment goals, and whether you plan to hold or sell the property.
How to apply for a commercial mortgage
Before starting your mortgage search, take the following steps:
- Assess your needs: Determine how much funding you require and identify which type of mortgage suits your transaction. Consider your long-term business plans and whether the property will be owner-occupied or rented.
- Prepare financial documents: Lenders will typically request up-to-date accounts, financial forecasts, and bank statements. Having these ready increases the speed and likelihood of approval.
- Find the right lender: Researching lenders can be time-consuming. A commercial finance broker can help by assessing the market, identifying suitable lenders, and guiding you through paperwork and legal requirements.
Benefits of using a commercial finance broker
Working with a specialist broker can significantly improve your chances of securing a commercial mortgage. The benefits of engaging a broker include the following:
- Access to a wider market: Brokers have relationships with multiple lenders, including those who specialise in small business lending.
- Professional presentation: Brokers help structure and present your application professionally, increasing approval chances.
- Negotiation: Brokers can often negotiate better rates, terms, and fees on your behalf.
- Guidance and support: Brokers can clarify eligibility requirements, document preparation, and loan structuring to match your business objectives.
Conclusion
Obtaining a commercial mortgage can be complex, but with careful planning and the right support, it’s achievable for business owners. For the best chance of success, assess your business needs, prepare your finances, and consider working with an expert broker.
At ASC, we specialise in helping business owners secure the right commercial mortgage for their goals. Whether you’re buying an office, warehouse, retail property, or an investment property, our team can guide you through every step. From identifying the right lender to presenting your application professionally, we’ll take care of the whole process. With ASC on your side, you can focus on growing your business while we handle the finance.
