Calculator
A quick view of how much funding your business could realistically support — separated into cashflow-based lending and asset-backed lending, because they are underwritten differently.
Cashflow-based headroom
£2,300,000
Asset-backed headroom
£1,500,000
Current leverage
0.4x
Cashflow headroom assumes lenders tolerate around 3x EBITDA in total debt. Asset-backed headroom assumes 85% against qualifying receivables and 60% against written-down asset values. Indicative only.
Cashflow lenders ask whether profits can service the debt. Most will size total debt at around two to three times EBITDA for a stable, profitable business, less if earnings are volatile or customer concentration is high.
Asset-backed lenders ask what could be recovered from collateral. Receivables typically support 80–90%, plant and equipment 50–70% of written-down value. The two can often be stacked.
Clean up the debtor ledger before applying. Aged, disputed or intercompany balances are stripped out of any borrowing base and quietly reduce the facility you are offered.
Where EBITDA is understated by one-off costs or owner remuneration, present a clear and evidenced adjusted figure. Lenders will accept genuine addbacks that are documented.
No. Strong, predictable businesses with contracted revenue can exceed it, and weaker credits will be held well below it. Three times is a working midpoint.
Frequently, yes — but the lenders must agree priority between them. We structure that at the outset rather than discovering it at documentation.
Want the real numbers? Send us the requirement and we will come back with indicative terms from providers whose criteria fit. No upfront fees — charges are due only once funding is in place.
Start a funding request