Food Industry Asset Finance — Can Wholesalers Fund Chillers, Forklifts & Racking?

Short answer: Yes — in most cases food wholesalers can use asset finance to fund chillers, forklifts and racking. Asset finance is commonly used by distributors and wholesalers to buy new or used refrigeration, material‑handling equipment and warehouse fit-outs while preserving working capital. This page explains what can be funded, the main finance types, typical eligibility, costs to expect and the steps to get a free eligibility check and competitive quotes.

Free Eligibility Check — Get a Quick Quote (no obligation). We introduce businesses to specialist lenders and brokers who can provide tailored quotes. Submitting an enquiry supplies information to help match your business with the most suitable providers; it is not a loan application.

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Table of contents

• Quick answer
• Why asset finance suits food wholesalers
• What asset finance can fund
• Types of asset finance available
• Typical eligibility for food wholesalers
• Typical lender terms & costs
• How to apply — step by step
• Real example
• Frequently asked questions
• Ready to get a quote?
• Compliance & trust

Quick answer: can food wholesalers use asset finance?

Yes. Asset finance is widely available to food wholesalers for chillers, forklifts and racking. Lenders and equipment finance specialists commonly support temperature‑controlled assets and warehousing equipment because the financed asset often acts as security. Terms and available products depend on the business’s financial profile, the asset age/condition and whether you want to own the equipment at the end of the term.

Why asset finance suits food wholesalers

Food wholesalers operate on tight margins and need reliable equipment. Asset finance gives you a way to acquire or upgrade key assets quickly without large upfront cash outlays.

• Preserve working capital: Keep cash for stock, payroll and seasonal peaks instead of spending it on equipment.
• Predictable costs: Fixed monthly payments make budgeting easier than one-off capital purchases.
• VAT and tax handling: Many arrangements allow VAT to be reclaimed or spread — talk to your accountant and prospective lenders.
• Flexibility: Options to purchase, return or upgrade assets at term-end (depending on product).
• Fast deployment: Especially for hire purchase and leasing routes — useful when equipment failure risks stock loss.

Compare: Buying outright vs asset finance

Buying outright	Asset finance
Large capital outlay	Low/no deposit options available
Immediate ownership	Ownership depends on product (HP gives ownership after final payment)
Simple accounting	Different balance sheet treatments by product

What asset finance can cover for food wholesalers

Chillers & refrigeration units

Both fixed refrigerated rooms and packaged chillers can be financed. Costs vary widely: a small commercial chiller might be £10k–£30k; a large temperature‑controlled room or multi‑unit coldstore can be £50k–£250k+. Lenders consider installation and any civil works as part of the package in some cases — or they may expect these costs to be paid separately.

Forklifts & material handling

Counterbalance, reach trucks and pallet trucks are commonly financed. New forklifts can cost from £12k upwards; specialist trucks and attachments add to cost. Finance is available for new and good‑condition used equipment; choose a lender experienced with material‑handling assets.

Racking, shelving & warehouse fit‑out

Pallet racking, mezzanines and specialist shelving systems are fundable. Simple static racking is lower cost; bespoke mezzanines and automated storage systems carry higher price tags but are still financeable subject to lender appetite.

Examples (typical, illustrative):

• Two medium‑sized chillers + installation: £85,000 — financeable over 3–7 years.
• Forklift replacement (new): £22,000 — hire purchase over 3–5 years.
• Warehouse racking refit: £35,000 — finance lease or hire purchase options.

Types of asset finance available

Hire Purchase

Common for plant and vehicles. You pay fixed instalments and typically own the asset after the final payment. Good for businesses that want to own the equipment.

Finance Lease / Operating Lease

Finance leases let you use equipment for a fixed term; ownership usually remains with the lessor. Operating leases suit businesses that prefer off‑balance-sheet treatment and frequent upgrades.

Sale and Leaseback (asset refinance)

If you already own equipment, a sale‑and‑leaseback frees up cash by selling the asset to a funder and leasing it back.

Rental agreements

Shorter‑term rentals are available for temporary needs or seasonal peaks, with flexible return/upgrade options.

Quick pros/cons:

• Hire Purchase — ownership at end; may appear on balance sheet.
• Finance Lease — lower upfront cost; different tax/VAT treatment.
• Sale & Leaseback — immediate liquidity; ongoing rental costs.
• Rental — flexible but can be more expensive long term.

Typical eligibility for food wholesalers

Lenders review:

• Business trading history (usually 1–2+ years preferred).
• Annual turnover and profitability.
• Credit profile and existing borrowing.
• Asset type, age and condition (used equipment has age limits).
• Deposit or margin — sometimes 0–20% depending on lender.
• Director guarantees where applicable.

Documents commonly requested:

• Recent company accounts (last 1–3 years).
• Bank statements (3–6 months).
• Details/specification and supplier invoice for the asset.
• Proof of identity for directors and company details.

Typical lender terms & costs

Expect term lengths of 2–7 years for chillers, forklifts and racking. Deposit requirements vary — many cases from 0–20% depending on lender and asset. Monthly payments depend on term, deposit and lender pricing. Markets change, so always compare quotes.

Example (illustrative only): financing £50,000 over 5 years with a small deposit may produce monthly payments in a range that varies by lender — get personalised quotes.

How to apply — step by step

1. Decide the asset(s) and gather supplier invoices/specs.
2. Collect basic documents: company accounts and bank statements.
3. Complete a short enquiry to compare lenders — Free Eligibility Check.
4. We match you with lenders/brokers who specialise in food/warehouse assets.
5. Receive and compare quotes, then accept the best fit.
6. Sign documents and arrange delivery/installation with your supplier.

Start now with a quick online enquiry to get tailored quotes and options from specialists: Get Quote Now.

Real example: a food wholesaler’s finance story

Example: A regional food wholesaler replaced two aging chillers and bought a new forklift. Total cost £120,000. They used a hire purchase deal over 5 years with a small deposit, keeping cashflow intact. The business maintained stock levels and avoided downtime while spreading cost over predictable monthly payments.

Frequently asked questions

Can a food wholesaler get finance for refrigerated trailers or only fixed chillers?

Both fixed chillers and refrigerated trailers can be financed. Trailer funding may be treated like vehicle finance and will be assessed accordingly.

Do lenders finance used chillers/forklifts/racking?

Yes — many lenders finance good‑condition used equipment. Age and condition limits apply, so provide clear details and images to speed assessment.

Will applying affect our credit score?

Initial matchmaking and soft eligibility checks can often be done without affecting your credit record. Lenders may perform hard searches later if you proceed — you will be informed.

What is the minimum and maximum loan amount for asset finance?

UK Business Loans typically arranges finance from around £10,000 upwards. Maximums depend on lender panels and asset value.

How long does approval usually take?

Simple cases can receive indicative quotes within hours; full approval and documentation usually take a few days to a few weeks depending on complexity and supplier lead times.

Are there specialist lenders for the food industry?

Yes — there are lenders and brokers experienced in temperature‑controlled equipment and warehousing. We match you to partners who understand sector specifics and compliance around food storage.

Ready to get a quote?

If you’re a company looking to finance chillers, forklifts or racking from about £10,000 upwards, complete a short enquiry and we’ll match you to specialist lenders and brokers. It’s free and non‑binding: Free Eligibility Check — Get a Quick Quote

Compliance & trust

UK Business Loans does not lend money. We introduce your enquiry to selected lenders and brokers so you can compare options. Submitting an enquiry is for matching purposes and is not a loan application. We only use the information you provide to identify suitable funding partners and will handle it securely in line with our Privacy Policy. Providing details does not automatically affect your credit score.

About the author / why trust us

Written by a commercial finance content specialist at UK Business Loans with years of experience matching UK businesses to lenders and brokers. We help directors and company owners find finance solutions quickly — from equipment finance to larger commercial facilities.

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Related reading: discover industry-specific options on our food sector page for more detail on funding for distributors and suppliers: food industry business loans.

Internal links: Get Quote Now • Home • How UK Business Loans works • Asset finance overview

1. Can food wholesalers get asset finance for chillers, forklifts and racking?
Yes — most food wholesalers can secure asset finance in the UK to fund new or used chillers, forklifts and warehouse racking, subject to lender checks on trading history and asset condition.

2. What types of asset finance are best for equipment like chillers and forklifts?
Common options include hire purchase (own at term-end), finance/operating leases (use without ownership), sale-and-leaseback (unlock cash from owned assets) and short-term rental for seasonal needs.

3. How much can I borrow for asset finance for my food business?
Through UK Business Loans you can typically arrange asset finance from around £10,000 upwards, with maximums depending on lender panels and the value of the equipment.

4. How quickly can I get quotes and final approval for equipment finance?
You can get indicative quotes or a free eligibility check within hours, while full lender approval and paperwork usually take a few days to a few weeks depending on complexity and supplier lead times.

5. Will lenders fund second-hand chillers, forklifts or racking?
Yes — many specialist lenders will fund good‑condition used equipment though age limits, condition requirements and tailored terms will apply.

6. What eligibility criteria and documents do lenders usually require?
Lenders typically want 1–2+ years trading history, turnover and credit profile details, recent company accounts, bank statements and supplier invoices/specs for the assets.

7. How much deposit will I need and what are typical terms/costs?
Deposit requirements vary (often 0–20%) with typical asset finance terms for chillers, forklifts and racking ranging 2–7 years and monthly payments set by term, deposit and lender pricing.

8. Can VAT, installation or civil works be included in an asset finance package?
Some lenders will include VAT, installation and associated works in the finance package, but treatment varies so discuss specifics with your broker and accountant.

9. Will submitting an enquiry via UK Business Loans affect our credit score or obligate us to a loan?
No — submitting a free eligibility check is not a loan application, it’s a non‑binding enquiry to match you with specialist brokers and lenders and won’t affect your credit score unless you proceed and a lender carries out a hard search.

10. Are there specialist lenders for the food industry and temperature‑controlled equipment?
Yes — UK Business Loans matches you to FCA‑regulated lenders and brokers experienced in food‑industry asset finance and temperature‑controlled equipment who understand sector compliance and risk.