Cutting out the middle man – Worth it? The Benefits of Using an Intermediary

In a competitive market, securing the right funding at the right moment can completely reshape a company’s future. Yet many businesses still attempt to navigate the commercial finance landscape alone—spending hours comparing lenders, deciphering jargon, and chasing decisions that often lead to delays, limited options, or unfavourable terms.

This is where working with an intermediary like Principal Business Finance Limited becomes a powerful asset.

Intermediaries are more than a connector between a business and a lender; they are strategic partners who understand the complexities of funding, the nuances of lender criteria, and the long-term needs of a growing company. For thousands of UK businesses, using a specialist intermediary has proven to be the difference between simply securing funding and securing the right funding.

Below, we explore why partnering with Principal Business Finance creates meaningful advantages at every stage of the funding journey.

Greater Access to Funding Options You Won’t Find Alone

Most businesses start their funding search with their main bank or a single online lender. While convenient, this approach limits choice and often leads to:

• Higher rates

• Longer turnaround times

• Limited products

• Automatic declines due to restrictive criteria

By contrast, Principal Business Finance works with a broad panel of lenders across the UK, including:

• High-street banks

• Tier 2 lenders

• Specialist funders for niche assets

• Fintech lenders offering fast-turnaround digital solutions

• Lenders with sector-specific underwriting teams

This opens up opportunities that a business would never uncover alone and ensures every funding option is compared to secure the strongest fit.

Faster Approvals and Direct Access to Decision Makers

Many lenders have long approval chains and limited communication routes, especially for businesses applying independently. This slows everything down.

Principal Business Finance, however, has:

• Direct lines to underwriters

• Priority communication channels

• The ability to discuss cases with credit teams in real time

• The experience to structure applications for instant understanding

This not only reduces waiting times dramatically but increases the likelihood of a positive outcome because the information presented is accurate, complete, and aligned with the lender’s expectations.

Strategic Structuring for Competitive Rates and Terms

Funding isn’t just about being accepted. It’s about:

• Securing competitive rates

• Negotiating favourable terms

• Ensuring the structure supports long-term growth rather than short-term strain

Principal Business Finance understands how lenders assess risk and what they look for in cash flow, credit profiles, financials, and industry types. As a result, applications are structured intelligently, positioning the business as strongly as possible.

This often leads to:

• Lower interest

• Higher approval amounts

• Longer repayment terms

• More flexible facilities

• Access to products the business didn’t know were possible

Sector Expertise That Saves Time, Money, and Frustration

Every industry has its own quirks.

For example:

• Construction requires staged drawdowns and subcontracting assessments

• Manufacturing needs asset-backed options for high-value machinery

• Hospitality often relies on cash-flow-based lending

• Logistics depends on vehicle finance and balloon structures

• Professional services prioritise VAT and tax funding cycles

As a multi-sector intermediary, Principal Business Finance understands these dynamics and pairs each business with lenders who specialise in their exact challenges and opportunities.

This avoids mismatched lenders, unnecessary declines, and wasted time.

Support for Complex or “Non-Standard” Applications

Not every business fits neatly into a lender’s criteria box. Some have:

• Large seasonal fluctuations

• Rapid growth

• A thin credit profile

• A large customer concentration

• High upfront costs

• A need for multiple funding products simultaneously

Where banks often decline these cases outright, Principal Business Finance can:

• Present them to specialist lenders

• Build a funding stack using multiple products

• Demonstrate the commercial viability of the business

• Help the business secure funding that would otherwise be out of reach

This support is particularly valuable for early-stage businesses, rapidly scaling companies, and businesses with recent challenges or restructuring.

A Partnership That Looks Beyond One Transaction

Unlike single-lender solutions, intermediaries focus on long-term impact—not one-off deals.

Principal Business Finance provides ongoing support as businesses grow, including:

• Adding or extending facilities

• Reducing rates when performance improves

• Refinancing outdated or expensive agreements

• Helping manage multiple lenders at once

• Tracking market changes so clients remain ahead of opportunities

Many of our clients use us repeatedly as they scale, because they value having a partner who understands their financial journey from start to finish.

One Point of Contact for Multiple Funding Needs

Fast-growing businesses often require several types of funding simultaneously loans, equipment finance, invoice finance, overdraft alternatives, VAT funding, and more.

Using an intermediary means:

• One conversation

• One information submission

• One understanding of the business

• Multiple funding routes organised on your behalf

Principal Business Finance essentially becomes your outsourced funding department, saving countless hours and allowing leadership to focus on running the business rather than searching for finance.

A Relationship Built on Clarity, Transparency, and Simplicity

Funding can be overwhelming, especially when businesses face tight timelines or cash-flow pressure.

Principal Business Finance simplifies this by offering:

• Clear communication

• Straightforward explanations

• Realistic expectations

• Complete visibility of lender options

• Transparent terms and processes

Businesses value knowing they are not navigating the process alone.

How Principal Business Finance Supports UK Businesses Every Day

We arrange funding including:

• Business Loans (short-term and long-term)

• Asset & Equipment Finance

• Vehicle Finance

• Invoice Finance

• Merchant Cash Advances

• Tax & VAT Funding

• Secured Loans

• Franchise Finance

• Acquisition Funding

• Fit-out and Refurbishment Finance

• Green Asset Finance

• Working Capital Loans

Whatever the challenge or opportunity, we work to secure the right funding solution quickly and effectively. Contact us on 01604217998, email info@principalbusinessfinance.co.uk, or enquire here.