Teya Flexi Loan is a flexible, unsecured credit line designed for UK small businesses. You can access a credit limit between £1,000 and £500,000 and draw funds whenever you need them.
This product is offered in partnership with Iwoca, a UK-based business lending provider. Iwoca reviews your submission, approves the limit, and manages the funding and repayments.
How Flexi Loan works
Teya Flexi Loan gives you flexible access to funding, so you can borrow what you need, when you need it, and stay in control of your repayments.
- Pay for what you use: You only pay interest on the amount you actually draw, not the full approved limit.
- Revolving credit: Similar to an overdraft, you can draw funds, repay them, and draw them again.
- No hidden fees: There are no setup fees and no early repayment fees.
- Speed: Funds are typically settled within 24 hours of approval.
- Soft credit check: Checking your eligibility will not affect your credit score.
The table below shows how Flexi Loan compares with a traditional bank loan.
| Teya Flexi Loan | Traditional Bank Loan | |
|---|---|---|
| How it works | Revolving credit line. Draw as needed; pay interest only on what you use. | Lump-sum loan. Interest charged on the full amount immediately. |
| Flexibility | No obligation to draw funds immediately. | Fixed monthly repayments. |
| Eligibility | Startups and limited companies. Broader acceptance criteria. | Usually requires established history and strong credit. |
| Paperwork | Online submission. No docs needed under £25k. | Often requires appointments, business plans, and forecasts. |
| Speed | Funds settled typically within 24 hours. | Can take weeks to process. |
| Early Repayment | Free (£0 fees). | Fees may apply. |
Eligibility
We offer Flexi Loan to eligible Teya customers. While Teya provides the platform, Iwoca assesses your final eligibility based on:
- Business type: UK-based limited companies (including startups) in England, Wales, Northern Ireland, the Isle of Wight, Anglesey, and the Scottish islands.
- Directors: Must have a UK credit file.
- Sector: All industry sectors are considered.
You can apply for a Flexi Loan even if you already have an active Teya Cash Advance.
How to request funds
You can view your eligibility and submit a request directly through Teya.
- Log in to the Teya App or Business Portal.
- Navigate to the Funding section.
- Enter your business details to see your personalised limit.
- Select the amount you wish to draw and follow the prompts to complete your submission.
Document requirements
Depending on the amount you request, Iwoca may need specific documents:
- £0 – £25,000: No documents required.
- £25,000 – £75,000: Last 6 months of business bank statements.
- £75,000+: Last 6 months of bank statements and filed company accounts.
Once approved, you must draw your funds within 30 days. If you do not draw funds within this time, Iwoca may need to review your information again.
Repayments
Repayments are collected monthly by Iwoca using a saved card. The repayment term typically ranges from 12 to 24 months.
Interest and fees
- Interest rates start from roughly 1% per month.
- Interest is calculated daily and only charged on the funds you have currently drawn.
- There are no fees for repaying early.
Late repayments
If you miss a repayment, it may affect your credit history. If you anticipate missing a payment, contact your account manager immediately. Iwoca may be able to offer a revised plan to help you get back on track.
Managing your Flexi Loan
You can track your balance and manage your loan in the Funding section of the Teya App or Business Portal.
- View status: See your total approved limit, amount drawn, and payment schedule.
- Top-ups: Once you have repaid at least one-third of your original loan, you may be eligible to request a top-up. Check the Funding section for availability.
- Early repayment: You can repay the full balance at any time with no penalty.