Why our Property Bonds?

Exemplary experience

Successfully trading since 1995

Investments from £5,000

High, fixed, regular returns

Simple sign up process

No fees or middlemen

Strong security

Minimal involvement needed

Open 7 days until late

No experience required


Step 1 of 2

  • 1

    Complete the “Instant Quotation” form at the top of our website.

  • 2

    Confirm your acceptance electronically.

  • 3

    Provide scans of required documentation.

  • 4

    Make your investment.

  • 5

    You will receive a completed 'Loan Note' and you are now up and running!

What Are Loan Notes?

A loan note is like a conventional IOU, though different in the sense that it is a legally binding contract. Whereas an IOU simply states how much one party owes another, a loan note includes more detailed information such as the agreed rate of interest, the duration of the loan and any other terms and conditions applicable to the agreement.

Loan notes are popular and practical methods for raising capital for a wide variety of purposes, most commonly for property investments, development projects and general commercial/business use.

There are several different types of loan notes, which include secured and unsecured loan notes, transferable loan notes and the types of loan notes that can be traded on the stock market to be purchased.

Loan Note Terminology

  • Loan Note Certificate – This is the formal declaration signed by both parties, each serves as a legally binding agreement and evidence of the debt on the part of the issuer.
  • Issuer – The issuer of a loan note is the individual or business that provides the note and takes on the agreed amount of debt.
  • Note Holders or Subscribers – The loan note holder subscriber is the individual or company that purchases the note and thereby loans the agreed amount of capital to the issuer.
  • Loan Note Instrument – The loan note instrument is the document that outlines all terms and conditions agreed by the parties involved and is signed as a legally binding contract.
  • Maturity Date – The date on which the full balance of the loan must be repaid by the debtor is referred to as the maturity date of the loan note.
  • What Are Loan Note Investments?

    Loan note investments can be potentially profitable venture for investors, companies, and high net-worth individuals to generate higher rates of interest than would be available with comparable investment vehicles.

    The popularity of loan notes has been growing steadily over recent years among businesses and property developers alike, as a more flexible and accessible project financing platform than the services of traditional banks and lenders. For the investor, loan notes have the potential to be a uniquely profitable and low-risk venture – particularly when entering into secured agreements based on collateral provided by the issuer.

    In addition, loan notes can often provide developers and businesses with access to 100% of the funds needed to complete projects. By contrast, major banks and lenders are typically unwilling to fund more than 50% to 75% of the total costs of the project.

    Are Loan Notes Subject To Taxation?

    Under current UK law, loan notes are treated as qualifying corporate bonds (QCBs) or as ‘non-qualifying corporate bonds’ (non-QCBs). QCBs are exempt from Capital Gains Tax while non QCB’s incur CGT, and losses are allowable.

    Does The Financial Conduct Authority Regulate Loan Notes?

    As of 2021, the Financial Conduct Authority (FCA) does not regulate loan notes. In accordance with Section 21 of the Financial Services and Markets Act, loan notes are considered a ‘financial promotion’ which places heavy restrictions on who can be induced or invited to invest in them.

    Specifically, only high net-worth individuals and sophisticated investors should be invited to invest in loan notes.

    In the event of insolvency or financial/performance issues that result in losses due to an investment in loan notes, the purchaser has no entitlement to compensation under current FCA policy.

    Independent Broker Support…

    If you have any questions regarding loan notes or would like to discuss your suitability for this type of investment with an independent expert, we would be delighted to provide you with an obligation-free consultation.

    UK Best Investments can be used by new and established investors, providing objective and impartial advice on all aspects of loan note investments and similar investment vehicles.

    Call on 0116 2168443 or e-mail invest@ukbestinvestments.uk anytime to book your obligation-free consultation with a member of the team.