Revolving Credit Facility

A revolving credit facility is a flexible form of funding that works much like an agreed overdraft for a business. It provides a set credit limit that can be drawn from whenever needed, with interest paid only on the amount used. Designed to smooth out cash flow gaps, it offers quick access to working capital, whether to cover seasonal fluctuations, unexpected costs or new opportunities. Once repaid, the funds become available again, ready for the next time they are needed. This facility provides flexibility and peace of mind, ensuring support is available when required without the commitment of a long-term loan. In short, it is practical, on-demand finance that helps businesses stay agile and resilient.

At OSBF, every revolving credit facility is reviewed and approved by our senior team, not by algorithms. We work closely with clients and introducers to understand each business’s story – the how, the why and what comes next – so we can build facilities that truly fit both the business and its ambitions.

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CASE STUDY 1 

Flexible funding for a seasonal business.

Our client needed a £525,000 facility for 12 months. Due to strong utilisation and constant repayments, we extended the term to 36 months. The business specialises in seasonal lamps, with high demand in winter and slower periods in summer. The revolving credit facility allowed the client to draw during peak months and repay during quieter seasons. The relationship continues today, with the client now free from stress of seasonal cash flow gaps.

CASE STUDY 2 

Helping a builder complete his vision.

An experienced builder and previous OSBF client required funding to complete development works after using a £400,000 bridge an a £3 million development loan. We provided a revolving credit facility repaid monthly through rental income, which we later extended from 12 to 24 months. Despite not fitting the traditional bank profile, our human approach to decision making enabled us to support his project and strengthen a valued relationship.

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