Allica doubles maximum commercial loan to £10m

The new limit applies to both single loans and the combined value of multiple loans taken out by the same borrower.

Alongside the increased maximum loan, Allica has improved its criteria for lending to care homes, which includes a reduction in debt service thresholds to borrowers. Its asset classes are being expanded to cover specialist care assets, including residential care for children. 

The lender said that both changes were being made in direct response to feedback from Allica’s broker survey, carried out in the final quarter of 2022.

Last year, Allica launched a ten-year fixed commercial mortgage.

Nick Baker, chief commercial officer at Allica Bank, said it was crucial for banks to work closely with brokers to ensure that the firm was delivering the right products for business borrowers, and adapt to the needs of those borrowers.

He continued: “These enhancements were designed in line with the feedback our broker community gave us as to how we can help even more of their clients. We expect to see plenty more coming over the rest of the year.”

In December, Allica raised £100m in a new funding round.