Equipment Finance for UK Businesses

Quick summary: If your company needs new machinery, vehicles, medical or catering kit but wants to preserve cash flow, equipment finance lets you acquire assets without large upfront capital. Fast Business Loans doesn’t lend — we match businesses (minimum finance amounts from around £10,000) to lenders and specialist brokers who can provide tailored equipment finance solutions. Complete a short, no‑obligation enquiry to get matched quickly: Get Started – Free Eligibility Check.

What is equipment finance?

Equipment finance is a group of commercial lending products designed to let businesses acquire the tools they need—machinery, vehicles, IT, medical devices, catering equipment—without paying the full purchase price upfront. Rather than using saved capital, you spread the cost over an agreed term while you use the asset to generate revenue.

Common structures include leasing, hire purchase and asset refinance. Each approach handles ownership, tax treatment and end-of-term options differently—so it’s important to match your business goals to the right product.

Leasing, hire purchase and loans — in plain English

• Finance lease: You rent the equipment for a term; the lender retains ownership. At the end you may pay a residual, return or re-lease the asset.
• Hire purchase (HP): You pay installments and normally own the asset after the final payment. HP works well where ownership is the goal.
• Asset refinance / refinance facility: Unlock capital tied up in owned assets by borrowing against them.
• Short-term loans: Term loans suited to lower-value or seasonal equipment needs.

For more in-depth guidance on specific equipment finance structures and which assets lenders commonly accept, see our pillar resource on equipment finance.

When does equipment finance make sense?

Equipment finance is usually right when a purchase would otherwise strain cash flow or slow growth. Typical reasons UK businesses choose equipment finance:

• Replace obsolete or unreliable kit without a large capital outlay.
• Scale production quickly for a new contract or seasonal demand.
• Preserve working capital for payroll, inventory or unexpected costs.
• Spread cost of expensive medical, engineering or construction assets over their productive life.

We frequently help businesses in construction, manufacturing, hospitality, healthcare, transport and agriculture — sectors where specialised equipment is essential and costly.

How Fast Business Loans helps you secure equipment finance

We act as a fast, free introducer: you supply a few details and we match your business with lenders or brokers who specialise in your sector and asset type. Here’s the process:

1. Complete a short enquiry: takes under two minutes. This is not a loan application — it’s information we use to find suitable partners. Get Started – Free Eligibility Check.
2. We match you: based on sector, asset, finance amount (typically from £10,000) and business profile.
3. Trusted partners respond: brokers and lenders contact you directly with tailored quotes and next steps.
4. Compare and decide: review offers, ask questions and proceed only when you’re happy. There’s no obligation to accept any quote.

Submitting an enquiry triggers a soft search only and does not affect your credit score. Lenders may run a hard credit check later if you choose to apply.

Equipment finance options you can explore

Below is a simple comparison to help you understand common choices. Exact terms vary by lender and asset—your matched broker will outline specifics.

Eligibility factors — what lenders look for

Lenders and brokers assess affordability and asset suitability. Common factors include:

• Business age and turnover — more established businesses generally have more options.
• Cash flow and recent bank statements.
• Credit history of the company and directors (some lenders accept imperfect credit).
• Asset type, condition and residual value (new vs used).
• Sector risk — certain industries may face stricter criteria.

We only ask for basic details when matching, and the initial matching process uses soft checks so you can explore options without impacting your score.

Costs, rates & repayment structures

Costs vary widely. Indicative APRs for equipment finance in the UK depend on asset, term, deposit and credit profile — typical ranges might be from mid-single digits up to higher rates for riskier profiles. Always treat any figure as indicative only; the lender sets the actual rate.

Other common costs to consider:

• Documentation or arrangement fees.
• Deposits or initial rentals.
• Balloon/residual payments at the end of some agreements.
• Maintenance and insurance obligations.

Compare total cost, monthly cashflow impact and end-of-term options before signing. If you’re ready to see tailored options, Get Quote Now.

Preparing for your equipment finance enquiry

Speed up responses by having these ready:

• Supplier quote or invoice for the equipment.
• Recent 3–6 months business bank statements.
• Latest management accounts or turnover figures.
• Brief description of how the equipment will be used.
• Details of any existing finance or security on assets.

Including clear asset details (make, model, price, age if used) helps us match you to the most appropriate lenders quickly.

Sector spotlights — who benefits most

Equipment finance is used across many sectors. A few examples:

Construction & civil engineering

Plant, diggers, mixers and specialist attachments — finance lets contractors upgrade fleets to win larger contracts.

Manufacturing & engineering

Production lines and CNC machinery — funding can be matched to projected production gains.

Hospitality & catering

Commercial kitchens, ovens and refrigeration — spread payments through seasonal revenue peaks.

Healthcare & labs

Diagnostic kit, clinical furniture and consumables — lenders understand high-value, regulated assets.

Equipment finance vs other funding routes

• Unsecured business loan: Good for general finance but often at higher rates for asset purchases compared with asset-backed options.
• Invoice finance: Unlocks cash from unpaid invoices but doesn’t purchase assets.
• Asset finance umbrella: Equipment finance sits inside asset finance — ideal when the asset itself can be the security for the facility.

Choosing the right route depends on cost, speed, balance-sheet treatment and whether you want to own the asset.

FAQs

How quickly can I get a response?

After you submit the short enquiry, brokers often respond the same business day or within 24–48 hours with next steps or a request for further information.

Will enquiring affect my credit record?

No. Completing our enquiry initiates a soft search only. Lenders may perform a full credit check later if you proceed with an application.

What minimum and maximum amounts can you help with?

We typically help businesses seeking equipment finance from around £10,000 upwards. Our panel also handles much larger facilities depending on the asset and business size.

Do you arrange finance for used equipment?

Yes — many lenders specialise in new and used assets. Condition, age and residual value will affect terms.

Is your service free?

Yes. Our introduction service is free and without obligation. Any fees from a broker or lender will be disclosed before you sign.

Free Eligibility Check — tell us a few details and we’ll match you with the best lenders or brokers for your equipment needs.

Next steps & important information

Ready to explore finance without committing? Complete our short enquiry and we’ll match you with lenders and brokers who specialise in the asset and sector you operate in: Get Started – Free Eligibility Check.

Please note: Fast Business Loans is an introducer that connects businesses to lenders and brokers. We do not provide lending or regulated financial advice. Rates, terms and approval are set by the lender; submitting an enquiry does not guarantee acceptance. All finance is subject to status and lender criteria.

Important disclaimers

This page is for general information only and not financial advice. Costs, rates and availability change over time. Always read lender documents carefully and seek independent advice if needed. By submitting an enquiry you consent to your details being shared with selected lenders and brokers to receive tailored finance proposals.

– What is equipment finance and how does it work?
Equipment finance lets UK businesses acquire machinery, vehicles or kit and spread the cost over time via options like hire purchase, finance lease, operating lease or asset refinance.

– Is the enquiry a loan application?
No—the short enquiry is not an application; it’s used to match you with suitable lenders or brokers for tailored quotes.

– Will submitting an enquiry affect my credit score?
No, the initial check is a soft search only, with any hard credit check done later by a lender if you decide to proceed.

– How quickly will I hear back?
You’ll typically get a response the same business day or within 24–48 hours, with next steps or quotes once details are reviewed.

– What finance amounts can you help with?
We usually match equipment finance from around £10,000 and can facilitate much larger facilities depending on the asset and your business profile.

– Do you arrange finance for used equipment?
Yes—many partners fund both new and used assets, with terms influenced by condition, age and residual value.

– What equipment finance options can I choose from?
Common options include hire purchase (own at the end), finance lease or operating lease (use the asset without ownership), asset refinance, and short-term loans.

– Do I need a deposit and who owns the equipment?
Deposits can range from 0–20% depending on product, and ownership typically transfers at the end with hire purchase while leases remain owned by the lender.

– What rates and costs should I expect?
Rates vary by asset, term, deposit and credit profile—from mid‑single digits upward—plus possible arrangement fees, initial rentals and any end‑of‑term payments.

– Is your service free and are you a lender?
Fast Business Loans is a free introducer (not a lender) that connects UK businesses with trusted brokers and lenders, with no obligation to proceed.