£250K Debt Consolidation Loan to Ease Cash Flow Pressure for Aberdeen Nightclub

The operators of a popular nightclub in Aberdeen were struggling under the weight of multiple high-interest short-term business loans, with some rates exceeding 50%. To ease cash flow pressures and stabilise their finances, they approached us to consolidate their debts into a single, affordable facility.

Within just two weeks, Clifton Private Finance secured a £250K unsecured business loan at 15% annual interest over five years, cutting their monthly repayments and freeing up capital to reinvest in the business.

The Scenario

The client’s existing finance structure involved several small loans with high interest rates and short repayment terms, placing significant strain on monthly cash flow.

As a nightlife business operating in Scotland, they faced additional challenges such as limited lender appetite in the region and increased perceived risk due to the sector’s volatility.

Challenges

Debt consolidation is often seen by lenders as debt on top of debt, and many will decline without clear evidence that affordability will improve. We needed to:

• Analyse and rationalise the client’s full existing debt schedule
• Demonstrate to lenders that the new loan would reduce overall outgoings, not increase them
• Find a lender willing to support a Scottish hospitality business

The Solution

By carrying out a full affordability analysis and reviewing business bank statements, we built a clear case showing strong debt service coverage and long-term sustainability.

We identified a specialist lender that understood the context, replacing multiple high-cost loans with one lower-rate facility, and swiftly secured approval for an unsecured £250K loan.

The Outcome

The deal was completed within two weeks, allowing the client to dramatically reduce their monthly debt obligations and redirect cash toward business operations and growth.

Without this refinance, they would have continued to suffer from unsustainable repayments, limiting their ability to invest in the club’s future.