The product offers rates starting from 6.69% for loans over £1m for a five-year fix up to 75% LTV with a 2% fee, with YBS offering a number of variable-rate options.

The new offering is aimed at those who occupy their property for business purposes, and who will repay the mortgage from the income provided by the business.

To qualify a business should have a turnover of between £0.5m and £25 m, and must be able to demonstrate a two-year trading history.

The lender is also putting in place a small team of relationship directors to guide SMEs through the application process.

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YBS said those likely to benefit from the new offering include professional services firms like solicitors or accountants, as well as high-street retailers and manufacturers.

Tom Simpson, managing director at YBS Commercial Mortgages, said: “I’m so excited to offer this new product to help the smaller businesses — which make such a vital contribution to local economic vitality — to thrive and grow, backed by our specialist team to help them through the application process as smoothly as possible.

“We hope this product, supported by a highly personalised service, will represent a really exciting alternative funding option, allowing smaller businesses to diversify their funding sources, as well as separating their properties from their working capital.”