Can I buy a B&B with a standard residential mortgage?

No. If the property is currently trading as a B&B, or if you intend to run it as a business, a standard residential mortgage provider will decline the application. You must use a commercial or semi-commercial mortgage.

How do lenders view the owner's living accommodation?

Lenders use semi-commercial mortgages to assess B&Bs. They will look at the proportion of the property used for trading versus living, and calculate affordability based on the B&B's business profits combined with any other personal income you have.

I am a first-time buyer with no hospitality experience. Can I buy a B&B?

Yes, though lenders will scrutinise your application more closely. They will want to see a strong business plan, transferrable management or customer service skills, and typically a slightly larger deposit (e.g., 30% to 35%).

What is a Merchant Cash Advance?

An MCA is an advance based on your average monthly card terminal takings. It is highly suited to B&Bs because repayment is a fixed percentage of future card sales—so when you have fewer guests in winter, your daily repayment naturally drops.

B&B Finance

Funding for Bed & Breakfasts and Guesthouses

Name: Sorbus Finance
Address: Sunny Bank, 12 Albion Road, Chesterfield, Derbyshire, S40 1LJ, GB
Telephone: +441246383500

Running a B&B comes with unique financial challenges, from extreme seasonal revenue swings to the crossover between residential and commercial property. We arrange specialist mortgages and loans designed specifically for independent guesthouses.

Speak to an Adviser Hotel Finance Hub

Speak with Arran or Graham

Up to 75%

Mortgage LTV

Semi-commercial

Property type

Mortgages & Loans

Finance types

150+

Lenders on panel

Finance structured for independent operators

Independent broker with an extensive panel of 150+ UK lenders. No upfront fees.

Semi-commercial mortgages

B&Bs are unique because the owner often lives on-site. Standard residential mortgages won't allow B&B trading, and strict commercial mortgages may reject the residential element. We arrange semi-commercial mortgages specifically designed for this split use.

Manage seasonal cashflow

Coastal and rural B&Bs make the vast majority of their income in summer, leaving winter cashflow tight. Merchant Cash Advances (MCAs) are ideal here—you borrow a lump sum, and repayments are taken as a percentage of card sales, meaning you pay back less during quiet months.

Winter refurbishment loans

The off-season is the only time to decorate, upgrade bathrooms, or replace carpets. We can arrange short-term business loans paid out in November, allowing you to complete works before the spring rush.

Asset finance for upgrades

Need a new commercial boiler, upgraded Wi-Fi infrastructure, or a multi-room smart TV system? Asset finance allows you to spread the cost of these essential upgrades over several years.

Who you could speak to

Arran Turner

Managing Director

General commercial finance and how Sorbus works

Profile

Graham Nash

Commercial Finance Director

Business loans, cash flow and wider commercial funding

Profile

STEP 1
A conversation with a broker
You talk to a real Sorbus broker about the business, the purpose and what is affordable. No application at this stage.
STEP 2
Credit placement
If you choose to go further, we prepare the case and decide which lenders on our panel of 150+ are worth approaching.
STEP 3
Lender assessment
The lender, not Sorbus, underwrites and makes the credit decision. Approval is never guaranteed.
STEP 4
Documentation
If a lender offers terms and you accept, we help coordinate agreements and payout paperwork with you.

Every step after the first is optional. You can stop after the conversation. Sorbus is a broker, not a lender.

Client journey

Explore real client journeys

Read how real businesses approached a funding goal, what Sorbus arranged and what happened next.

Browse anonymised case studies

Enquire about Bed and Breakfast Finance

Start with a conversation

Tell us a little about what you need and who you would like to speak to. No obligation, no credit check at this stage. We aim to respond within one business day, Monday to Friday, 9am to 5:30pm.

Your name *

Phone number *

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A preference, not an appointment. We pass it on where we can. We aim to respond within one business day, Monday to Friday, 9am to 5:30pm. This is an aim, not a guaranteed callback time.

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Prefer to call?

Speak directly to an adviser Monday–Friday, 9am–5:30pm.

01246 383500

Free call. No obligation.

Unique to Sorbus Finance

Optional: Business Finance Health Check

Before you approach lenders, understand your borrowing readiness with our free Business Finance Health Check, tailored for UK businesses.

Take the short Health Check

Free · No credit check · Not required before you talk

Want the full picture? The full fact-find is longer and also optional.

Email us anytime

hello@sorbusfinance.co.uk

Free tool

Know your lending position before you apply

The Business Finance Health Check scores your readiness to borrow, business resilience, and growth potential. Free, under 5 minutes, no obligation.

Run your free Health Check

Questions answered

Common queries about b&b finance.

Support your B&B business

Speak to a specialist broker about mortgages, seasonal cashflow, and refurbishment finance for your guesthouse.

01246 383500 Hotel Finance Hub