ThinCats review: growth, acquisition and refinancing loans for mid-sized UK businesses

ThinCats is a specialist lender to mid-sized UK businesses, known for funding event driven needs such as acquisitions, management buyouts and refinancing from around £1 million upwards. Smart Funding Solutions is an independent broker and is not part of ThinCats, so we can compare a ThinCats proposal with banks, debt funds and other specialist lenders before you choose. You can read more on ThinCats's own website.

01About ThinCats

ThinCats launched in 2011 as one of the first UK platforms that let individuals lend to limited companies. It later moved away from that model and now lends using institutional funding. ThinCats says it has deployed over £2 billion to date.

In September 2025 Shawbrook agreed to acquire ThinCats, and the deal completed at the end of that month. At the time of the announcement Shawbrook said the ThinCats brand would continue as part of its portfolio, supporting owner managed and private equity backed businesses. Day to day, borrowers still deal with ThinCats and its regional teams.

ThinCats describes its target market as mid-sized SMEs from all sectors across the UK, typically with between £0.5 million and £40 million in gross assets and between 10 and 250 employees.

02What ThinCats funds

ThinCats offers two broad styles of lending. Cash flow lending, based on the earnings of the business, makes up around three quarters of its new funding and suits companies that are growing quickly. It also provides asset backed loans for businesses with a solid balance sheet.

ThinCats' website describes funding from £1 million for businesses growing organically or by acquisition, with larger deals considered case by case. It also works with private equity sponsors and has a healthcare finance offering. Some mid-market loans include an interest-only period while an acquisition beds in, so ask whether that is available. Our page on interest-only business loans explains the trade-offs.

03Who ThinCats suits (and who it may not)

ThinCats is most likely to suit:

• Established, profitable companies with at least a couple of years of trading and solid management accounts.
• Owners or management teams planning a transaction, such as MBO finance or a bolt-on acquisition.
• Businesses that have outgrown what their bank will offer on a cash flow basis, or that do not have enough property to secure a traditional loan.
• Private equity backed companies that need a debt partner alongside the equity.

It is unlikely to suit:

• Businesses needing less than £1 million. Look at unsecured business loans from smaller ticket lenders instead.
• Start-ups or loss making businesses without a clear route to profit.
• Property investment or development, which falls outside its usual focus.

04What ThinCats looks at

Lending at this level is underwritten case by case. For a mid-market cash flow loan you should typically expect the lender to look at:

• Statutory accounts for recent years and current year management accounts.
• EBITDA and cash generation, and how comfortably they cover the proposed repayments.
• Forecasts, ideally with a monthly cash flow and clear assumptions.
• The quality and depth of the management team.
• For acquisitions, details of the target, the price, due diligence and how the deal is structured.
• Existing debt and security, as ThinCats will usually take a debenture.

Directors should also expect to be asked for personal guarantees on some deals, and the amount and terms are worth negotiating. Our page on personal guarantee insurance explains one way to manage that risk.

05Pros and cons

• Pro: a specialist in mid-market, event driven lending such as MBOs, EOTs and acquisitions.
• Pro: cash flow lending means you do not always need property security.
• Pro: works across all sectors and with regional teams around the UK.
• Pro: now backed by a larger banking group, which adds stability.

• Con: minimum deal size of around £1 million rules out smaller businesses.
• Con: specialist debt can cost more than a mainstream bank loan for the strongest borrowers.
• Con: due diligence is thorough, so allow time for the process.
• Con: personal guarantees and covenants may be part of the package.

06Applying through a broker vs going direct

At seven figure sums, small differences in structure, covenants, guarantees and term can matter more than the headline cost. A broker can help you see those differences side by side. We search the market for direct lending and bank options, prepare a clear credit paper and present it to suitable lenders, which may include ThinCats. You deal with one point of contact and one set of information. It is free to enquire; any broker fee is disclosed separately before you proceed. To get started, try our Instant Quotes check.

07Alternatives to ThinCats

• OakNorth Bank: worth comparing for larger growth and acquisition loans where a bank balance sheet suits.
• Ultimate Finance: may fit better where the business has strong receivables or assets and wants a structured, secured facility.
• Investec: an option for established mid-market companies that want a broader banking relationship.

Whichever route you take, compare the full terms, including covenants and guarantees, not just the headline cost. You can check any firm on the FCA Register.

Whichever route you take, compare the full terms, including covenants and guarantees, not just the headline cost.