Can a non-profit or social enterprise get a

2 min read

Yesif it trades

Surplus countsnot just profit

Structure mattersmust be incorporated

Non-profit still means income

A social enterprise earns money — it just reinvests the surplus into its mission rather than paying it to shareholders. For lending, what matters is that trading income exists and can service the facility, whatever happens to any surplus afterwards.

Structure is the gate

The entity must be able to borrow in its own name — a limited company, a CIC or charity, or a company limited by guarantee. An unincorporated group usually cannot. Restrictions in the articles on borrowing should be checked first.

Applying

Provide trading accounts and bank statements showing the surplus over time. Credicorp lends with no personal guarantee. apply online.

Frequently asked questions

Do surpluses count like profits for a lender?

For servicing a loan, yes — the lender cares whether the entity generates enough cash to make repayments, whether you call the excess 'profit' or 'surplus'.

Can an unincorporated community group borrow?

Usually not in its own name. It typically needs to incorporate — often as a company limited by guarantee or CIC — before a commercial lender can help.