Your bank declined the business loan. What now?
A bank’s no is common, and it is rarely the last word. Banks and alternative lenders look at a business differently, so the useful first step is to find out which rule you failed, then look for a lender whose rules you meet.
Checked 21 September 2026
Find out why.
Ask the bank, in writing, for the main reason it declined. Where the National Credit Act covers the loan, the lender must give you the main reason in writing when you ask, and if it relied on a credit bureau report, name that bureau (section 62). The Act covers credit to individuals and sole proprietors whatever the amount. For a company, close corporation or partnership it applies only if the business’s turnover and assets, counted together with related businesses, are both under R1 million, and the loan is under R250,000.
Outside those limits the bank does not have to explain, but it is still worth asking. “Not enough trading history” and “turnover too low for the amount” call for different next steps.
Check your own credit record.
Many business lenders check the directors’ personal credit as well as the business’s. You are entitled to one free credit report a year from each credit bureau, and an error on it can be disputed with the bureau. It is worth doing before the next application, not after it.
What a bank looks at, and what else is out there
Banks lend cheapest and most carefully. They usually want audited or reviewed financial statements, a long track record, and often security. Alternative lenders mostly underwrite from your business bank statements: how much comes in each month, how steadily, and how long the business has traded. Some will take a business with a mark on its credit record. The trade-off is price: alternative lenders charge more, for less paperwork and faster decisions.
- Too new: every lender sets a minimum time trading, and they differ. The table below shows each one’s.
- Turnover too low for the amount: ask for less, or a lender whose minimum turnover you clear.
- No security: several alternative lenders lend unsecured.
- Credit record: a lender that considers some adverse credit is a better next application than another bank.
- Messy bank statements: personal spending through the business account makes turnover hard to read. Separate them.
Lenders on Frank’s panel for this
Every product on Frank’s panel with the rules it publishes, so you can see which you already meet before you apply anywhere else. Frank’s check compares your answers against all of them without a credit enquiry.
| Lender and product | Min. turnover | Min. trading | Amount | Security | Card sales | Credit record | Documents | Rate |
|---|---|---|---|---|---|---|---|---|
| Bridgement Revenue Advance Facility Revenue-based | R100k a month | 6 months | Not published | None | Not needed | Clean record | 3 months’ bank statements | 2–5% a month |
| Geddes Capital Bridging Finance Bridging finance | R167k a month | 12 months | R500k to R15m | Required | Not needed | Some adverse credit considered | 6 months’ bank statements, financial statements | 1.5–3% a month |
| Geddes Capital Business Rescue Finance Term loan | R167k a month | 12 months | R500k to R15m | Required | Not needed | Some adverse credit considered | 6 months’ bank statements, financial statements | Case by case |
| Geddes Capital Crypto-Backed Loan Term loan | R167k a month | 12 months | R500k to R15m | Required | Not needed | Some adverse credit considered | 6 months’ bank statements, financial statements | From prime + 2% |
| Geddes Capital Invoice Factoring Invoice finance | R167k a month | 12 months | R200k to R15m | None | Not needed | Some adverse credit considered | 6 months’ bank statements, financial statements | 1.5–3% a month |
| Geddes Capital Secured Business Loan Term loan | R167k a month | 12 months | R500k to R15m | Required | Not needed | Some adverse credit considered | 6 months’ bank statements, financial statements | From prime + 2% |
| Geddes Capital Trade Finance Trade finance | R167k a month | 12 months | R500k to R15m | Required | Not needed | Some adverse credit considered | 6 months’ bank statements, financial statements | 2–4% a month |
| Lula Cash Flow Facility Line of credit | R40k a month | 12 months | R10k to R5m | None | Not needed | Clean record | 3 months’ bank statements | 2–6% a month |
| Merchant Capital Merchant Cash Advance (MCA) Revenue-based | R50k a month | 8 months | R30k to R5m | None | Needed | Clean record | 6 months’ bank statements | Factor rate 1.08–1.15 |
| Merchant Capital WELL by Merchant Capital Revenue-based | R50k a month | 8 months | R30k to R5m | None | Not needed | Clean record | 6 months’ bank statements | Factor rate 1.08–1.15 |
| Pollen Finance Unsecured Business Loan Term loan | R83k a month | 12 months | R100k to R6m | None | Not needed | Some adverse credit considered | 6 months’ bank statements | Flat fee |
- Bridgement
Revenue Advance Facility · Revenue-based
- Min. turnover
- R100k a month
- Min. trading
- 6 months
- Amount
- Not published
- Term
- 3 to 9 months
- Security
- None
- Card sales
- Not needed
- Credit record
- Clean record
- Documents
- 3 months’ bank statements
- Rate
- 2–5% a month
- Speed
- 24 hours
- Geddes Capital
Bridging Finance · Bridging finance
- Min. turnover
- R167k a month
- Min. trading
- 12 months
- Amount
- R500k to R15m
- Term
- 3 to 12 months
- Security
- Required
- Card sales
- Not needed
- Credit record
- Some adverse credit considered
- Documents
- 6 months’ bank statements, financial statements
- Rate
- 1.5–3% a month
- Speed
- 1 week
- Geddes Capital
Business Rescue Finance · Term loan
- Min. turnover
- R167k a month
- Min. trading
- 12 months
- Amount
- R500k to R15m
- Term
- 6 to 120 months
- Security
- Required
- Card sales
- Not needed
- Credit record
- Some adverse credit considered
- Documents
- 6 months’ bank statements, financial statements
- Rate
- Case by case
- Speed
- 1 week
- Geddes Capital
Crypto-Backed Loan · Term loan
- Min. turnover
- R167k a month
- Min. trading
- 12 months
- Amount
- R500k to R15m
- Term
- 6 to 120 months
- Security
- Required
- Card sales
- Not needed
- Credit record
- Some adverse credit considered
- Documents
- 6 months’ bank statements, financial statements
- Rate
- From prime + 2%
- Speed
- 48 hours
- Geddes Capital
Invoice Factoring · Invoice finance
- Min. turnover
- R167k a month
- Min. trading
- 12 months
- Amount
- R200k to R15m
- Term
- 12 to 120 months
- Security
- None
- Card sales
- Not needed
- Credit record
- Some adverse credit considered
- Documents
- 6 months’ bank statements, financial statements
- Rate
- 1.5–3% a month
- Speed
- 48 hours
- Geddes Capital
Secured Business Loan · Term loan
- Min. turnover
- R167k a month
- Min. trading
- 12 months
- Amount
- R500k to R15m
- Term
- 6 to 120 months
- Security
- Required
- Card sales
- Not needed
- Credit record
- Some adverse credit considered
- Documents
- 6 months’ bank statements, financial statements
- Rate
- From prime + 2%
- Speed
- 1 week
- Geddes Capital
Trade Finance · Trade finance
- Min. turnover
- R167k a month
- Min. trading
- 12 months
- Amount
- R500k to R15m
- Term
- 6 to 120 months
- Security
- Required
- Card sales
- Not needed
- Credit record
- Some adverse credit considered
- Documents
- 6 months’ bank statements, financial statements
- Rate
- 2–4% a month
- Speed
- 1 week
- Lula
Cash Flow Facility · Line of credit
- Min. turnover
- R40k a month
- Min. trading
- 12 months
- Amount
- R10k to R5m
- Term
- Not published
- Security
- None
- Card sales
- Not needed
- Credit record
- Clean record
- Documents
- 3 months’ bank statements
- Rate
- 2–6% a month
- Speed
- 24 hours
- Merchant Capital
Merchant Cash Advance (MCA) · Revenue-based
- Min. turnover
- R50k a month
- Min. trading
- 8 months
- Amount
- R30k to R5m
- Term
- 1 to 12 months
- Security
- None
- Card sales
- Needed
- Credit record
- Clean record
- Documents
- 6 months’ bank statements
- Rate
- Factor rate 1.08–1.15
- Speed
- Same day
- Merchant Capital
WELL by Merchant Capital · Revenue-based
- Min. turnover
- R50k a month
- Min. trading
- 8 months
- Amount
- R30k to R5m
- Term
- 1 to 36 months
- Security
- None
- Card sales
- Not needed
- Credit record
- Clean record
- Documents
- 6 months’ bank statements
- Rate
- Factor rate 1.08–1.15
- Speed
- Same day
- Pollen Finance
Unsecured Business Loan · Term loan
- Min. turnover
- R83k a month
- Min. trading
- 12 months
- Amount
- R100k to R6m
- Term
- 6 to 8 months
- Security
- None
- Card sales
- Not needed
- Credit record
- Some adverse credit considered
- Documents
- 6 months’ bank statements
- Rate
- Flat fee
- Speed
- 24 hours
These are each lender’s published minimums, not approvals. Every lender on the panel, side by side
Questions
If the National Credit Act covers the loan (individuals and sole proprietors at any amount, or a company, close corporation or partnership with turnover and assets under R1 million, counted with related businesses, borrowing under R250,000), yes: it must give the main reason in writing when you ask. Otherwise it does not have to, but asking is still worthwhile.
Not necessarily. Alternative lenders mostly look at bank statements, turnover and time trading rather than financial statements and security, and some consider a business with adverse credit. Check the minimums in the table against your business first.
No. Frank compares your answers with each lender’s published rules. It is not a credit enquiry. A lender may ask your permission to run one later, if you apply.
Every person may get one free report a year from each credit bureau under section 72 of the National Credit Act. Request it from the bureau directly, and dispute anything wrong on it.
Sources
Related
Check your business
Check your business against every lender on the panel, in about a minute.
It takes about a minute and there is no credit check. Frank checks your answers against every lender’s rules and shows you what fits and what does not. When you choose a lender, Frank sends them your application on the answers you have already given.
See my funding options