What is fit-out finance?

Fit-out finance is a range of commercial funding products designed to pay for the design, build and equipment costs involved in preparing a commercial space for business. That can include Category A and B fit-outs, shopfronts, internal refurbishment, kitchen or bar equipment, lighting, HVAC, IT and point-of-sale systems. The goal is to spread capital costs so you can preserve working capital and complete the project on time.

Typical finance amounts for fit-outs start at around £10,000 and extend into many hundreds of thousands depending on scope. Terms vary by product: unsecured loans often run 1–5 years, asset finance and hire purchase linked to equipment lifetime, while property-backed facilities can offer longer-term spreads. Actual rates and terms depend on lender criteria and your business circumstances—Fast Business Loans helps you find the best matches quickly.

When does fit-out financing make sense?

Fit-out finance is commonly used in the following scenarios:

• Launching a new site – fund landlord or franchise specification works to open on schedule without exhausting operating cash.
• Refreshing established premises – modernise interiors to stay competitive and preserve cash for stock and marketing.
• Meeting tenancy or franchise requirements – cover upfront fit-out costs required by landlords or franchisors.
• Phased roll-outs – stage works across multiple sites and use revolving or staged finance to match payments to progress.

Across retail, hospitality and commercial offices, the main benefits are cash-flow protection, predictable monthly costs and the ability to match funding to useful economic life for fixtures and equipment.

Fit-out finance options we can help you compare

Unsecured Business Loans

Fast, suitable for smaller fit-outs, and no asset required. Typical terms 1–5 years. Pros: speed and simplicity. Cons: higher rates for unsecured lending and usually smaller maximums.

Asset Finance & Hire Purchase

Ideal for funding furniture, kitchen equipment, POS and technology. The asset acts as security and can align payments with useful life. Pros: structured repayment, potential VAT handling. Cons: ownership usually transfers at the end of the term (hire purchase).

Lease Finance / Operating Leases

Useful when you want to avoid ownership or upgrade equipment regularly. Payments are treated as rental which can support cashflow management. Pros: lower upfront cost. Cons: long-term total cost can be higher.

Commercial Mortgages & Property-Backed Loans

For major refurbishments or whole-property investments. Longer-term and lower rates versus unsecured facilities but require security and more documentation. Typical for owner-occupiers or large-scale projects.

Revolving Credit & Merchant Advances

For staged works or businesses that need flexible drawdown. Merchant cash advances are based on card turnover and can provide fast access, though costs vary significantly.

Each option has trade-offs. To explore which is likely to suit your project, Get a Free Eligibility Check and we’ll match you with brokers and lenders who specialise in your sector.

How our fit-out finance matching service works

1. Quick enquiry: You tell us a few details about your business, the fit-out project and what funding you need.
2. Curated matching: We match you with lenders and brokers experienced in your sector and project size.
3. Rapid response: Matched partners will contact you to discuss options and provide quotes—usually within hours to a few days.
4. Compare and decide: Review offers and proceed directly with the lender or broker that best fits your needs.

We do not perform credit checks when you make an initial enquiry and we don’t charge you to be matched. You decide whether to proceed if you receive an offer.

Fit-out finance eligibility: what lenders commonly look for

• Trading history: Many lenders prefer established limited companies with at least 12 months’ trading, though specialist providers work with newer businesses and franchise scenarios.
• Turnover & margins: Indicative turnover thresholds vary by lender—higher-value facilities expect stronger revenue.
• Credit profile: Business and director credit history are considered; alternative lenders may accept past issues with higher pricing.
• Security: Asset finance uses equipment as security; larger loans may require property or personal guarantees.
• Project paperwork: Prepare contractor quotes, a simple project budget, lease or landlord consent if required, and basic company accounts or management accounts.

Gathering this information before enquiring speeds up matching and decision-making.

Cost breakdown & budget planning before you apply

Presenting lenders with a clear, realistic budget improves approval chances. Typical categories to include:

• Direct build costs: materials, labour, contractors’ fees.
• Professional fees: design, project management, planning or building control charges.
• Equipment & furniture: kitchens, bars, shelving, POS systems, IT.
• Contingency: typically 5–15% to cover unforeseen issues.
• Working capital buffer: to cover initial stock, deposits and operating costs while works complete.

Having contractor quotes and a staged payment schedule helps lenders provide accurate offers for staged drawdowns.

Typical fit-out funding timeline

The timeline depends on product size and complexity, but a typical path is:

• Enquiry to match: same day to 48 hours (Fast Business Loans matches you to suitable partners).
• Initial lender response: hours to a few days once a partner has your project details.
• Documentation & underwriting: days to weeks depending on security and scale.
• Decision and drawdown: unsecured loans and some asset finance can fund within days; property-backed facilities may take several weeks.

Start your enquiry early if you need funds before a fixed build start date—Free Eligibility Check.

Real-world fit-out finance matches (illustrative examples)

1. High-street retail refit

Project: Shop refit to modernise displays across a 1,200 sq ft store. Solution: Unsecured business loan for £35,000 to cover contractor costs; funded within 7 days. Outcome: Store reopened on schedule and sales improved within weeks.

2. Independent restaurant kitchen upgrade

Project: New kitchen equipment and bar fit for a casual dining venue. Solution: Asset finance hire purchase of £60,000 with 5-year term matching equipment life. Outcome: Cash retained for stock and marketing; manageable monthly payments.

3. Office refurbishment for professional services firm

Project: Modernise open-plan space and install new IT and meeting-room AV. Solution: Revolving credit facility of £40,000 enabling staged draws across the project. Outcome: Works completed in phases with funding matched to invoices.

Examples are illustrative and not guarantees of terms or approval. For a tailored quote, Get Quote Now.

Fit-out finance FAQs

What’s the difference between Category A and Category B fit-outs?

Category A covers basic finishes and building services (floors, ceilings, lighting). Category B is tenant-specific fit-out such as partitioning, bespoke finishes and furniture. Finance use is similar; lenders assess total project cost and associated assets.

Can I get fit-out finance for a leased property?

Yes. Many lenders will support fit-outs in leased premises provided you can evidence landlord consent and a clear project plan. Some facilities factor in lease length when assessing security.

What security might lenders require?

Options include asset security (equipment), personal or director guarantees, or property security for larger amounts. Security requirements depend on lender risk appetite and loan size.

How quickly can funds be released for staged works?

For staged drawdowns, release timing depends on lender process and documentation (invoices, completion certificates). Some lenders can release funds within days when paperwork is ready.

Is fit-out finance available to start-ups or franchisees?

Specialist providers and brokers work with new sites and franchise openings. Terms vary; stronger franchisor/landlord documentation and realistic projected cashflows improve outcomes.

Will applying affect my credit score?

Submitting an enquiry via Fast Business Loans does not affect your credit. Lenders may perform credit checks later if you choose to proceed with an offer—this will be disclosed by the lender or broker.

What if I’ve been declined elsewhere?

We work with a wide panel; alternative lenders or specialist brokers may still provide options. Submit an enquiry and we’ll match you to partners that can consider your circumstances.

Why UK businesses choose Fast Business Loans for fit-out funding

• Fast, simple matching — save time and avoid duplicating enquiries.
• Sector expertise — we match you with lenders/brokers who understand hospitality, retail and commercial fit-outs.
• No obligation — our matching service is free; you only decide whether to proceed with any offer.
• Secure handling of data and quick turnaround to partner contact.

Want to compare tailored offers? Free Eligibility Check.

Responsible finance & transparency

Fast Business Loans introduces businesses to lenders and brokers and does not provide financial advice or loan guarantees. We aim to present clear, fair information to help you choose. Always ensure any finance offer suits your circumstances and consider independent advice if unsure.

For more detail on how we use your data, see our privacy policy and terms on the site.

Ready to transform your space?

If you’re planning a shop, office or hospitality fit-out and need funding, start with a short, no-cost enquiry. We’ll match your business to lenders and brokers who know your sector and project type — and you’ll receive quotes to compare without obligation. Start Your Fit-Out Finance Enquiry

Fast Business Loans is an introducer and not a lender. Loan amounts arranged by our partners typically start at £10,000. Figures and timelines shown are illustrative and dependent on lender assessment.