Tax Loans

What are Tax Loans?

Tax loans are a popular choice among businesses that need to spread out the cost of their tax demands into more manageable monthly payments. The loans are a type of business loan designed to help businesses cover their tax bills.

Tax bills can be overwhelming, and they often come due at a time when you may not have the cash available in the business to pay HMRC.

Typically unsecured loans, business tax loans do not require collateral. This makes them more accessible to businesses to help with their tax bill. Lenders will typically consider a number of factors such as the strength of your business, cash flow and revenue when determining your eligibility for a business tax loan.

Tax loans provide a solution to this problem by giving you the ability to borrow the money you need to pay off your tax bill, spreading out the cost into more manageable monthly payments.

The tax loan can be used to cover a variety of tax obligations, including corporate tax, income tax payments, practising certificates, annual subscriptions & licences. VAT payments and insurance cover.

Benefits of tax loans?

There are several benefits of tax loans, including:

• Control of business cash flow.
• Fixed monthly payments.
• Repayment term up to 18 months.
• Faster payment transfer.
• Protects existing bank facilities and lines of credit.
• Quick and simple to arrange.
• HMRC receive payment on time.

Is a tax loan right for your business?

To decide whether a tax loan is right for your business, you want to consider the following factors:

Your business’s cash flow: If your business is experiencing temporary cash flow issues and needs help paying its tax bill, a business tax loan may be a good option.

The cost of the loan: Consider the interest rate, fees, and other costs associated with the unsecured loan. Make sure that the cost of the loan does not outweigh the benefits of avoiding tax penalties and interest charges.

The repayment terms: Review the repayment terms and ensure that your business will be able to make the monthly payments on time.

Alternative options: Consider alternative options, such as negotiating a payment plan with the HMRC tax authorities called a ‘Time To Pay’ arrangement or using a business credit card.

How to apply for a tax loan

MAF Finance Group work with a wide panel of banks and alternative finance providers to support our clients access the right financial solution.

If you would like to get a quote or need further information, simply fill in the form and we will contact you. If you want to speak to someone directly, you can call us on 0115 958 6872 and a member of our team will be happy to speak to you. Alternatively, email us at [email protected].