Refinance farm machinery to improve cash flow — Farming loans & refinance

Summary: Yes — UK Business Loans can help you explore refinancing existing farm machinery to release cash and improve seasonal cash flow. We introduce UK farms to specialist lenders and brokers who can consider asset refinance, sale & leaseback, hire-purchase restructuring or commercial refinance. Complete a quick, free & no‑obligation eligibility check to get matched with the best lender or broker for your situation: Get Quote Now — Free Eligibility Check.

Quick answer: can UK Business Loans help?

Short answer: Yes. UK Business Loans doesn’t lend money itself, but we can quickly match your farm with lenders and brokers who specialise in agricultural asset finance and refinancing. If you want to release capital tied up in tractors, combines, diggers or other agricultural equipment, or restructure existing hire‑purchase and lease agreements to improve monthly cash flow, we can introduce you to suitable finance specialists.

Our service is free and no‑obligation. Completing a short enquiry is an eligibility check — it won’t affect your credit file — and gives lenders/brokers the information they need to provide realistic quotes. Get Quote Now — Free Eligibility Check

How refinancing farm machinery works — options & benefits

Refinancing farm machinery means using the value of your equipment to restructure existing finance or to unlock cash for the business. There are several common routes farms use depending on aims (cash release, lower monthly costs, consolidation or tax planning).

Common product types

• Asset refinance / Equipment refinance loan: A new lender provides a loan secured against the machinery to pay off existing finance, or provides additional capital. Useful when you need a lump sum without losing use of the asset.
• Sale & leaseback: You sell the equipment to a funder and lease it back. This releases cash immediately while retaining the equipment on farm under a lease.
• Commercial refinance / debt consolidation: Combine multiple small loans or HP agreements into one facility with a single monthly repayment — often simplifying cashflow management.
• Hire purchase / lease restructure: Replace or renegotiate an existing HP/lease with a new arrangement that better matches seasonal income fluctuations.

Typical benefits for farms

• Immediate cash release to cover seasonal peaks (seed, feed, labour) or to invest in productivity improvements.
• Improved monthly cashflow by extending terms or lowering repayments.
• Consolidation of multiple repayments into one facility, reducing admin and simplifying forecasting.
• Access to funds for new equipment or repairs without taking on unsecured debt.

Will you qualify? What lenders and brokers look for

Eligibility for farm machinery refinance depends on a mix of asset, business and borrower factors. Typical criteria include:

• Asset value & condition: Age, hours, service history and resale value. Newer, well‑maintained machinery attracts better terms.
• Outstanding finance: Existing HP or lease agreements and their settlement figures.
• Business finances: Turnover, profitability and cashflow history (accounts, VAT returns, bank statements).
• Trading history: Lenders commonly prefer established companies with a track record — start-ups have fewer options.
• Director credit profile: Personal or company credit scores may be considered depending on product type and lender policy.

We typically place enquiries for commercial farming businesses and limited companies. We do not arrange finance for professions-only lending niches.

Paperwork & information to prepare

Having documents ready speeds the process and helps brokers give indicative quotes quickly. Prepare:

• Equipment schedule (make, model, serial numbers, age, hours)
• Recent independent or trade valuation where available
• Invoices/receipts for purchase and maintenance records
• Details of any existing finance agreements (settlement figures)
• Latest business accounts, management accounts or cashflow forecasts
• Recent bank statements and VAT returns
• Contact details for the business and company registration number

Tip: a short, current valuation for high-value items (e.g., combines) is often enough to get a fast, realistic quote.

How UK Business Loans matches you — step‑by‑step

1. Complete a short enquiry: basic business details, asset(s) to refinance and approximate amount needed. This takes under 2 minutes. Get Quote Now — Free Eligibility Check
2. We match your enquiry to lenders and brokers in our network who specialise in agricultural asset finance and refinancing.
3. A broker or lender contacts you to discuss options, request documents and provide tailored quotes.
4. You review offers and choose the provider and terms that best fit your business — then progress to formal application if you wish.

Typical response times: an initial call or email often arrives within hours during business days. Formal funding can be from a few days for simple HP settlements to several weeks for structured sale & leaseback transactions.

Example scenarios & illustrative numbers

Below are realistic examples to show how refinancing can help — these are illustrative only and not guarantees of outcomes.

Example A — Sale & leaseback to release seasonal cash

A mid‑size arable farm sells a ten‑year‑old combine with a trade value of £60,000 to a specialist funder via sale & leaseback. The farm receives £54,000 net after fees and immediately covers harvest labour and contractor bills. Monthly lease payments are predictable and matched to cashflow, while the farm retains full use of the combine.

Example B — Refinance hire purchase to lower monthly costs

A dairy business has several HP agreements totalling £120,000 with high monthly repayments. A broker arranges a refinance that consolidates the HP into a single secured loan with a longer term. Result: monthly outgoings fall by an illustrative 15–25% and administration is simplified. Exact numbers depend on lender rates and term length.

These are examples only — actual offers depend on valuation, credit, and chosen product. To see real quotes for your farm, Get Quote Now — Free Eligibility Check.

Costs, risks and important notes

Costs and risks vary by product and provider. Key points to consider:

• Costs: Interest rates, arrangement fees, valuation fees and, in some cases, early settlement charges on existing agreements. UK Business Loans does not set rates — lenders and brokers provide the quotes.
• Secured finance risk: If finance is secured against machinery, non‑payment could lead to repossession. With sale & leaseback you no longer own the asset — you lease it.
• Tax implications: Different products have different accounting and tax effects — discuss these with your accountant before committing.
• Credit checks: Submitting an enquiry through UK Business Loans is a soft, no‑obligation eligibility check and will not affect your credit file. Lenders may carry out formal credit checks if you apply to them directly.

Important: UK Business Loans is an introducer that connects businesses with lenders and brokers; we are not a lender or regulated financial adviser. Completing an enquiry with us is free and does not commit you to accept any offer.

How to get started

Ready to explore refinancing options? Follow these simple steps:

1. Click the enquiry link and complete the short form with business name, contact details, approximate loan amount and that your purpose is refinance farm machinery: Get Quote Now — Free Eligibility Check.
2. Have basic documents available (asset list, latest accounts, existing finance information) to speed the process.
3. Expect to hear from a specialist within hours to discuss next steps and any required valuations.

Start here: Get Quote Now — Free Eligibility Check

Related resource

For more on finance products tailored to farming businesses, see our dedicated farming loans page which outlines common options for agricultural enterprises.

FAQs

Can I refinance a single machine?

Yes — many lenders will consider refinancing a single high‑value machine if its value and condition support the requested facility.

Will enquiring affect my credit score?

No. Your initial enquiry via UK Business Loans is a soft, no‑obligation eligibility check and will not affect your credit file. Lenders/brokers may perform formal checks later if you progress an application with them.

Do you lend money directly?

No. We introduce you to lenders and brokers who provide the finance. Any offer or contract comes directly from those providers.

How long until I receive funds?

Simple refinances and HP settlements can complete in a few days to a couple of weeks; structured sale & leaseback deals or large facilities can take several weeks. Times vary by product complexity and documentation speed.

What documents will lenders typically request?

Common requests include an equipment schedule, valuations, existing finance agreements, business accounts, recent bank statements and ID for company directors.

Is sale & leaseback right for my farm?

Sale & leaseback is a good option when you need immediate cash but must retain use of equipment. It does mean you no longer own the asset, so weigh the pros and cons and discuss with the broker.

Closing — trusted matches, fast responses

Refinancing farm machinery can be a practical way to improve cashflow, fund seasonal costs or reorganise repayments. UK Business Loans makes it quick and simple to explore options by matching your enquiry to experienced lenders and brokers who understand farming finance. Our service is free, confidential and non‑binding.

Get your free eligibility check and quotes now: Get Quote Now — Free Eligibility Check

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Disclosure: UK Business Loans is an introducer that connects businesses with lenders and brokers. We do not provide lending or regulated financial advice. Completing an enquiry is a free, no‑obligation eligibility check and will not affect your credit file. Any formal offer, including full terms, fees and conditions, will be provided by the lender or broker who contacts you.

1. Can UK Business Loans help me refinance farm machinery to improve cash flow?
Yes — UK Business Loans is a free introducer that matches you with specialist lenders and brokers who can refinance farm machinery to release cash or restructure repayments.

2. What refinance options are available for farm equipment?
Common options include asset/equipment refinance loans, sale & leaseback, commercial refinance/debt consolidation and hire‑purchase or lease restructuring.

3. Will submitting an enquiry affect my credit score?
No — the initial online eligibility check is a soft, no‑obligation enquiry and will not affect your credit file, though lenders may carry out formal checks if you proceed.

4. How quickly can I expect funds from a farm machinery refinance?
Simple HP settlements and straightforward asset refinances can complete in days to a few weeks, while structured sale & leaseback or larger facilities may take several weeks.

5. What documents do lenders typically need to refinance farm machinery?
Lenders usually request an equipment schedule and valuations, purchase/maintenance invoices, settlement figures for existing finance, business accounts, bank statements, VAT returns and director ID.

6. Can I refinance a single tractor, combine or other individual machine?
Yes — many asset finance providers will consider refinancing a single high‑value machine if its age, hours, service history and resale value support the facility.

7. How does sale & leaseback work and is it suitable for my farm?
Sale & leaseback sells your equipment to a funder and lets you lease it back to release immediate cash while retaining use, but you forfeit ownership and should weigh long‑term costs and tax implications.

8. What costs and risks should I be aware of when refinancing farm equipment?
Expect interest, arrangement and valuation fees, possible early settlement charges on existing agreements, and the risk of repossession for secured finance or loss of ownership with sale & leaseback.

9. Who is most likely to qualify for farm machinery refinance?
Lenders typically favour established commercial farming businesses or limited companies with valuable, well‑maintained assets, solid turnover/profitability and acceptable director credit profiles.

10. How do I start the refinance process with UK Business Loans?
Complete the short, free online eligibility check with basic business and asset details and we’ll match you to specialist UK lenders and brokers who will contact you with tailored quotes.