Farming loans for start-up farms & new agricultural tenants — can you get finance?

Short answer: Yes — many new agricultural tenants and start-up farms can secure agricultural finance. UK Business Loans connects farm businesses seeking £10,000+ with specialist lenders and brokers for equipment, working capital, crop and livestock financing, and diversification projects. Complete a free eligibility check to get matched quickly — Get Quote Now — Free Eligibility Check.

Quick answer — summary for busy farmers

New agricultural tenants and start-up farms can often obtain farming loans and agricultural finance, but success depends on a few key factors: the tenancy length and landlord consent, the strength of your business plan and cashflow projections, the type of security you can offer (equipment, fixtures, guarantees), and your credit and trading history. UK Business Loans does not lend directly — we match your enquiry to specialist lenders and brokers who understand farming and start-ups. Complete a free eligibility check to see who can help — Get Quote Now.

Who we help — typical start-ups & new tenants that can get finance

We regularly match the following types of farm businesses with finance partners:

• New tenants on Assured Farm Business Tenancies (AFBT), short-term and long-term tenancy agreements
• Start-up horticulture and market garden businesses (e.g. veg boxes, polytunnels)
• Livestock and grazing enterprises, including agistment operations
• Diversified farms (farm shops, farm cafes, holiday lets) seeking working capital or asset finance
• Contract farming operations and growers entering offtake agreements
• Start-ups buying machinery or commissioning land improvements

Availability depends on tenancy detail and lender appetite. If you want to be matched to specialist agricultural lenders, start your enquiry now — Start Your Enquiry.

Types of agricultural finance available to start-ups & new tenants

Below are common finance options for farm start-ups and tenants, what they’re used for and how suitable they are for new tenants.

Asset & equipment finance

Includes hire purchase, chattel mortgages and finance leases. Ideal for tractors, harvesters, trailers, and smaller kit. Lenders will typically take the equipment as security, so this option is often open to tenants — especially where the tenancy allows borrowing against fixtures/equipment or where landlord consent is provided. Asset finance commonly starts from £10,000.

Working capital & seasonal cashflow loans

Short-term loans to bridge seasonal gaps — for seed, feed, labour or to buy in stock before sales. These can be unsecured or secured against business assets; start-ups with a realistic cashflow forecast and contracts (e.g. supermarket or wholesale offtake) have better prospects.

Agricultural mortgages & property finance

Lenders rarely offer mortgages secured on land to tenants unless there is a long lease with near-freehold rights or explicit landlord consent. For property-backed borrowing, lenders want long-term security and clear title — so new tenants should usually expect alternatives to a mortgage, unless tenancy terms are especially lender-friendly.

Invoice finance & crop finance

Invoice discounting, factoring or crop advance finance can unlock working capital once you have confirmed buyers or contracts. Start-ups with pre-sold produce or confirmed contracts find these solutions practical for smoothing cashflow between harvest and payment.

Grant-linked and government or scheme support

Many start-ups benefit from grants (RDPE, local business support, LEP funds). While grants don’t replace loans, brokers in our network can advise on blending grant support with commercial finance to reduce required borrowing. For more detailed sector guidance see our farming loans resource on farming loans.

Need equipment or seasonal funding? Get a quick quote — Free Eligibility Check.

Can you get finance as a new agricultural tenant? What lenders look for

Lenders consider a combination of tenancy/security, business viability and borrower background. Here are the main points they assess and practical ways to strengthen an application.

Tenancy length & landlord consent

• Lenders prefer longer tenancies (e.g. multi-year AFBT) because they reduce the risk that the tenant will need to vacate before loan repayment.
• Landlord consent to charge fixtures or allow borrowing against equipment substantially improves eligibility — get this in writing.

Business plan & cashflow projections

• Clear 12–24 month cashflow forecasts and a concise business plan are essential. Show seasonality, expected yields, sales pipeline and break-even points.

Experience and management

• Where founders are new to farming, lenders look for mitigating factors: experienced farm managers, mentorship arrangements, or signed offtake contracts with buyers.

Security and personal guarantees

• Tenants can offer new or used equipment as security. Personal guarantees may be requested in many start-up cases. Discuss options with a broker to balance risk and borrowing cost.

Credit history & documentation

• Business bank statements, VAT registration (if applicable), UTR, ID and recent management accounts or bank statements are commonly required. Poor credit does not automatically disqualify you — specialist lenders exist, but terms vary.

Upload your details for a free eligibility check — Get Started.

Practical routes and examples

Here are anonymised micro-case examples to show how start-ups and tenants have accessed finance via our matches.

1. New tenant — used tractor purchase: Problem: new tenant on a 3-year AFBT had limited capital. Solution: matched to an equipment finance specialist; landlord provided written consent for charging the tractor. Outcome: hire purchase agreement arranged with manageable monthly payments.
2. Start-up veg box business: Problem: long lead time to first harvest meant cashflow shortfall. Solution: invoice finance and seasonal working capital arranged against pre-paid customer subscriptions. Outcome: bridge funding enabled operations to scale to first full season.
3. Diversified farm project: Problem: start-up diversification into farm shop and cold storage. Solution: combination of asset finance for refrigeration and broker advice on grant blending (local RDPE). Outcome: mixed package reduced net borrowing and improved cashflow runway.

See similar options for your farm — Free Quote.

How UK Business Loans helps

UK Business Loans is a specialist introducer that saves you time by matching farm enquiries with lenders and brokers who know agriculture. Our process is simple:

1. Complete a short enquiry (under 2 minutes).
2. We match you to selected finance partners that suit your sector and loan size (typically £10,000 and up).
3. Partners contact you directly with quotes and next steps — usually within 24–48 hours.

Our service is free and no obligation. Submitting an enquiry does not affect your credit score. If you want fast help, Start Your Enquiry — Get Quote Now.

Documentation checklist — what to prepare before you apply

• Short business plan (1–2 pages) and purpose of the loan
• Tenancy agreement and landlord consent letter (if you’re a tenant)
• Equipment quotes or supplier invoices (for asset finance)
• 12–24 months business bank statements or management accounts
• Cashflow projection for 12 months showing seasonality
• VAT registration / UTR, ID and proof of address
• Schedule of existing debts and any offtake or supply contracts

Complete our quick form and upload documents — Free Eligibility Check.

Common questions (FAQ)

Will being a tenant stop me getting funding?

Not necessarily. Lenders assess tenancy length and landlord consent. Longer tenancies and written landlord support improve chances.

Can I finance used tractors and second‑hand equipment?

Yes. Many asset finance providers will fund used machinery, subject to the equipment condition and valuation.

Do start-up farms get loans?

Yes. Specialist lenders and brokers work with start-ups. A realistic business plan, cashflow forecast and supporting contracts increase eligibility.

Will applying through UK Business Loans affect my credit score?

No — submitting an initial enquiry via UK Business Loans does not affect your credit score. Lenders may perform credit checks later if you proceed with an application.

How quickly will lenders respond?

Most matches result in a call or email within 24–48 hours; some respond within hours during business days.

Still unsure? Speak to a broker — Get a free quote.

Next steps & final call to action

If you’re a new tenant or launching a start-up farm, your next step is simple: complete our short enquiry so we can match you to the right lenders and brokers. It’s free and no obligation — most partners respond within 1–2 business days. Get Quote Now — Free Eligibility Check.

Regulatory & compliance notice

UK Business Loans is an introducer — we do not lend or provide regulated financial advice. We introduce businesses to lenders and brokers who may contact you with finance options. Any finance product is provided directly by the lender or broker and is subject to their terms, credit checks and affordability assessments. Free, no-obligation eligibility check. Submitting your enquiry does not affect your credit score. By submitting you consent to UK Business Loans sharing your details with selected lenders and brokers.

For an overview of the farming sector finance we cover and to explore other farming-specific content, visit our farming loans resource on farming loans.

1. Can new agricultural tenants get farming loans?
Yes — many new agricultural tenants can secure farming loans where tenancy length and written landlord consent are acceptable, and UK Business Loans can match you with specialist lenders.

2. Can start-up farms get finance for equipment and working capital?
Yes — start-up farms can access asset finance, seasonal working capital and crop or invoice finance when supported by a realistic business plan and cashflow forecasts.

3. What types of agricultural finance are available for start-up farms and tenants?
Common options include asset/equipment finance, hire purchase, seasonal working capital, invoice or crop finance, grant-linked funding and, rarely, property-backed loans where tenancy terms permit.

4. Do I need landlord consent to borrow as a tenant?
Not always, but written landlord consent to charge fixtures or equipment substantially improves lender appetite and speeds up approval.

5. Will submitting an enquiry via UK Business Loans affect my credit score?
No — submitting an initial enquiry does not affect your credit score; lenders may run credit checks later if you decide to proceed.

6. How quickly will lenders or brokers respond to a farming loan enquiry?
Most matches result in contact within 24–48 hours, often within a few hours during business days.

7. What documents should I prepare before applying for agricultural finance?
Prepare a short business plan, 12–24 months bank statements or management accounts, 12‑month cashflow projections, tenancy agreement and landlord consent, equipment quotes, ID and tax details.

8. Can I finance used tractors and second‑hand farm equipment?
Yes — many asset finance providers will fund used machinery subject to valuation, condition and minimum loan thresholds.

9. Can farms with poor credit still get a farming loan?
Possibly — some specialist lenders in our network consider imperfect credit histories, though terms, rates and requirements will vary and stronger supporting documents help.

10. Does UK Business Loans provide the loan or regulated financial advice?
No — UK Business Loans is an introducer that connects you with FCA-regulated brokers and lenders who provide finance and any regulated advice directly.