What is Business Vehicle Finance?

Business vehicle finance helps companies acquire or lease vehicles without tying up cash reserves. Instead of paying in full, you spread the cost over an agreed term. This can align payments with revenue, contracts and growth plans, keeping working capital free for day‑to‑day operations.

Vehicle finance options we can connect you to

• Hire Purchase (HP): Fixed terms and predictable payments with ownership at the end after all instalments (and any option‑to‑purchase fee). VAT treatment can differ; confirm VAT and tax with your accountant.
• Lease Purchase (with balloon): Lower monthly repayments with a larger final “balloon” payment. Often suited to vehicles that hold their value.
• Finance Lease: Rent the vehicle for most of its useful life. Rentals are typically fixed; VAT is usually payable on each rental.
• Operating Lease / Contract Hire: Use the vehicle without taking residual value risk. Commonly includes agreed mileage and return conditions.
• Refinance & Sale and Leaseback: Unlock capital tied up in owned vehicles or refinance existing agreements to improve cash flow.

Information above is for general guidance only and not tax or financial advice. Always seek independent professional advice on VAT and accounting treatment.

Vehicles we commonly help finance

• Vans and light commercials (panel, Luton, refrigerated)
• Company cars and pooled cars for teams and fleets
• HGVs and trailers
• Taxis and private hire vehicles
• Specialist vehicles (tippers, recovery trucks, ambulances)
• Plant and machinery that travel on‑road (cherry pickers, cement mixers)
• Buses, coaches and minibuses
• Electric vehicles (EVs), charging hardware and green fleets
• Used vehicles from dealers, auctions or private sellers (subject to lender criteria)

Free Eligibility Check

Why choose UK Business Loans for vehicle finance?

• Fast matching to specialists: We connect you with brokers and lenders who focus on commercial vehicles and fleets.
• Free and no obligation: It costs nothing to enquire, and you’re not required to proceed.
• Trusted UK partners: We introduce you to reputable brokers and lenders based in the UK.
• Sector expertise: From logistics to trades, our network understands vehicle usage, mileage and contract demands.
• Secure and confidential: Your details are shared only with relevant partners to process your enquiry.
• Nationwide coverage: England, Scotland, Wales and Northern Ireland.

Get Quote Now

How it works

1. Complete a quick enquiry
   Tell us about your business, vehicle type (or budget) and preferred term. It typically takes less than two minutes.
2. Smart matching
   We introduce you to vetted lenders/brokers aligned to your sector, vehicle type and credit profile.
3. Rapid response
   Expect a call or email—often within hours—to discuss options, rates and next steps.
4. Compare and choose
   Review offers and terms directly with the broker or lender. You stay in control—no obligation to proceed.
5. Drive forward
   If you proceed, the lender handles documentation, underwriting and payout.

Typical timelines

• Indicative quotes: Same day to 48 hours (subject to information provided)
• Approvals and payout: 1–7 working days (complex cases may take longer)

Start Your Enquiry

Eligibility and what lenders look for

Every business is unique. Lenders typically consider the following:

• Business profile: Limited companies, LLPs and partnerships; time trading; location; sector.
• Financials: Turnover, profit trends, bank statements, management accounts and filed accounts; VAT status.
• Credit profile: Company and (where relevant) director credit history; any CCJs or previous arrears.
• Deposit and structure: Upfront payment percentage, term length, balloon (if applicable).
• Vehicle specifics: New/used, age, mileage, specification, resale value, intended usage and annual mileage.
• Supplier: Dealer, auction, or private seller—many lenders prefer approved dealers, though others can consider alternatives.

Documents checklist (may vary by lender)

• Basic business and contact details
• Director ID and address verification
• Last 3–6 months’ business bank statements
• Latest filed accounts or management accounts
• VAT certificate (if applicable)
• Vehicle quote or pro forma invoice
• Existing finance agreements (if refinancing)
• Proof of insurance (after approval, before delivery)

Newer businesses and credit challenges

• Newly formed companies: Some partners can consider applications with director guarantees and realistic deposits.
• Imperfect credit: Many brokers and lenders on our network are experienced in adverse or thin credit profiles. Terms may differ, but it’s still worth checking eligibility.

Free Eligibility Check

Costs, terms and repayments

Costs depend on multiple factors, including vehicle type, age, mileage, deposit size, business credit profile, term length, residual/balloon assumptions, and whether the facility is a lease or HP.

What to expect

• Terms: Commonly 24–60 months; shorter or longer terms may be available.
• Deposits: Options range from low or zero deposits in some cases to higher deposits for certain assets or profiles.
• Repayments: Fixed monthly rentals for leases; fixed monthly instalments for HP. Balloons/residuals can reduce monthly cost but may increase total interest.
• Early settlement: Possible with many agreements—ask your broker/lender for settlement terms and any fees.
• VAT and tax: VAT and tax treatment differ between HP and leases; allowances vary. Seek advice from your accountant.

Important: Late or missed repayments can affect your business and personal credit profiles and may result in the lender repossessing the vehicle under the terms of the agreement.

Get Quote Now

Vehicle finance for different sectors

• Logistics & transport: Vans, HGVs, trailers and fleet growth matched to contracts and mileage.
• Building services & trades: Reliable vans, tool storage and seasonal‑friendly terms.
• Construction & engineering: Specialist vehicles, tippers, low‑loaders and on‑road plant.
• Retail & e‑commerce: Delivery vans for final‑mile fulfilment.
• Care & healthcare: Accessible vehicles, ambulances and compliant conversions.
• Hospitality & events: Refrigerated vans, mobile kitchens, branded fleet wraps.
• Schools & community transport: Minibuses and people carriers.

Vehicle finance vs other funding options

• Asset finance (vehicle‑specific): The vehicle is the asset being financed—often faster and more suitable than a general‑purpose loan.
• Business loan: Useful if you want outright purchase and to keep the asset unencumbered.
• Invoice finance: Smooth cash flow while onboarding larger contracts or fleets.
• Refinance: Reduce repayments or release equity from vehicles you already own.

Not sure what’s best? Complete a quick form and get matched with a specialist who can outline your options clearly.

Start Your Enquiry

Electric vehicles and sustainable fleets

Our partners support EVs and green fleet strategies, including:

• EV finance for cars and vans
• Battery and charger funding (via asset finance)
• Options aligned to potential tax incentives and lower running costs

Note: Incentives change and may be time‑limited. Seek independent tax advice to confirm benefits for your business.

Real‑world examples (illustrative)

• Courier company (Ltd): Finance lease on a used long‑wheelbase van with a modest deposit over 48 months, aligned to peak delivery seasons. Approval based on bank statements and route contracts.
• Haulage SME (Ltd): Lease purchase with balloon on two Euro 6 tractors to reduce monthly outlay, with end‑of‑term ownership via balloon.
• Facilities management firm (LLP): Operating lease for three electric pool cars with agreed mileage and maintenance bundle—predictable costs, vehicles returned at term end.

Frequently asked questions

Is UK Business Loans a lender?
No. We are an introducer. We connect UK businesses with brokers and lenders who provide quotes and agreements directly.

Does it cost to use UK Business Loans?
No. Our enquiry service is free. If a broker or lender charges fees, they will disclose these clearly before you proceed.

Will an enquiry affect my credit score?
Submitting our enquiry will not affect your credit score. If you proceed, brokers/lenders may run credit checks with your consent.

Can I finance a used vehicle or buy from an auction/private seller?
Often yes. Many lenders prefer franchised or approved dealers, but some can consider auctions or private sales subject to additional checks.

How much deposit do I need?
It varies by lender, asset and profile. Some low‑ or zero‑deposit options exist; 10–30% is common for certain vehicles.

Do you support newly formed companies?
Some partners can support newer businesses, typically with director guarantees and sensible deposits.

What vehicle ages and mileages are acceptable?
Criteria vary by lender and product. New and nearly new vehicles are widely accepted; older/high‑mileage assets can be considered case‑by‑case.

What happens at the end of the term?
HP/Lease Purchase: You usually own the vehicle after the final or balloon payment (plus any option fee).
Finance Lease: Options can include a secondary rental or selling on behalf of the lender—your broker will explain specifics.
Operating Lease/Contract Hire: Return the vehicle in line with fair wear and tear and mileage conditions.

Can I refinance existing vehicle agreements?
Often yes—refinance or consolidation can reduce monthly outgoings or extend terms, subject to status and asset profile.

How fast can I get the vehicle?
Indicative quotes can be same day. Once approved and documents are signed, payout can be within days. Timelines vary by case.

Free Eligibility Check

Get your free eligibility check

• Two‑minute form
• Fast responses from trusted specialists
• No obligation to proceed

Get Started
Get Quote Now

Important information and compliance

• We are not a lender and we do not provide financial advice. We act as an introducer to brokers and lenders who will provide quotations and, if you proceed, enter into agreements with you directly.
• All finance is subject to status, credit checks, affordability assessments and lender criteria. Terms, rates and amounts vary by business, vehicle and product type. Early repayment fees and other charges may apply—partners will disclose these before you sign.
• Late or missed payments may affect your credit rating and could result in the repossession of the financed vehicle by the lender.
• Tax treatment depends on your circumstances and may change. Seek independent professional advice.
• Your data is handled securely and shared only with relevant, approved partners to process your enquiry. See our Privacy Policy for details.
• We aim to ensure all information is clear, fair and not misleading. We do not guarantee approval or specific rates.

Related pages to explore

• Asset Finance
• Cashflow Loans
• Invoice Finance
• Sustainability Loans