Property Finance
Oct 12, 20265 min read
What under-writers actually look for when assessing large-scale commercial loan files. A comprehensive preparation checklist for CFOs and Directors.
Securing a seven-figure loan is a different discipline entirely from arranging smaller business finance. The stakes are higher, the due diligence is deeper, and the margin for error is far smaller. Yet many businesses approach large-scale funding applications with the same casual attitude they'd bring to applying for a £50,000 overdraft — and then wonder why their application stalls or fails.
Having facilitated hundreds of £1M+ commercial loans across our network, our team at Quantum Business Finance has developed a clear picture of what separates successful applications from unsuccessful ones. The answer, consistently, comes down to preparation.
What Underwriters Are Really Looking For
At this level of lending, underwriters are not simply looking at whether your business makes money. They are building a comprehensive risk picture that evaluates the quality, sustainability, and predictability of your income, the strength of your balance sheet, the character and experience of your management team, and the robustness of your repayment plan.
The Complete Preparation Checklist
Financial Documentation
- 3 years of statutory accounts (filed at Companies House)
- Current year management accounts (no older than 8 weeks at the point of application)
- 12 months of business bank statements
- Aged debtor and creditor schedules
- Cash flow forecast for the next 12–24 months
- Asset and liability register
Business Information
- Detailed business plan outlining use of funds and growth strategy
- Management team CVs and track records
- Corporate structure diagram (including all group entities and shareholding)
- Details of any existing lending facilities
- Major customer and supplier contracts
- Details of any litigation, CCJs, or regulatory matters
Loan-Specific Documentation
- Detailed breakdown of exactly how loan proceeds will be deployed
- Projected return on the investment the loan is funding
- Clear primary repayment source (trading income, asset sale, refinance)
- Clear secondary repayment source as a fallback
- Security schedule (property, debenture, personal guarantee details)
Expert Tip: Lenders are not just assessing whether your business can repay the loan — they're assessing whether your management team can be trusted with the capital and will communicate proactively if issues arise. Demonstrate this through a polished, professional presentation.
The Information Memorandum: Your Most Powerful Tool
For loans above £500,000, we strongly recommend producing a formal Information Memorandum (IM) — a comprehensive document that presents all of the above information in a structured, lender-friendly format. A well-constructed IM demonstrates professionalism, reduces the amount of back-and-forth during due diligence, and positions your business as a sophisticated borrower that understands what lenders need.
Our corporate finance team can assist with the preparation of your IM as part of our funding service — ensuring that your application presents the strongest possible case to our lender panel from day one.
Timing: The Most Underestimated Factor
The single biggest mistake we see at this level is businesses applying for funding when they urgently need it. Large-scale commercial loans typically take 4–12 weeks from application to drawdown. Start the process at least 3 months before you need the funds — and use that time to get your documentation package in impeccable order.
If you're planning a significant capital raise in the next 6–12 months, our team can begin the groundwork now — reviewing your financial position, identifying the most appropriate lender structures, and ensuring your application is positioned for success. Book a confidential consultation with our corporate finance team today.
