Summary: Yes — in most cases UK Business Loans’ partners can arrange finance for manufacturing software (ERP, MES, CAD/CAM), CAD/CAM workstations and plugins, and control system upgrades (PLC, SCADA, motion control). Funding is usually available as asset finance, hire purchase, leasing or business loans for projects from around £10,000 upward. The right structure depends on whether the outlay is capitalised (hardware & perpetual licences) or subscription-based (SaaS). Complete a Free Eligibility Check and we’ll match you to specialist lenders and brokers who focus on manufacturing tech. Get Quote Now

What lenders typically fund in manufacturing

Software upgrades (ERP, MES, CAM packages)

Lenders commonly fund capitalised software purchases: full perpetual licences, implementation fees, custom development and on‑premise middleware that is integral to production. Typical costs vary widely — from several thousand pounds for CAM plugins to £50k+ for ERP implementations on SME scale. Where a supplier invoice itemises licence, installation and acceptance, underwriters treat the expenditure as fundable equipment or capital expenditure.

CAD/CAM systems (licences, workstations, peripherals)

Asset finance and hire purchase frequently cover specialist CAD/CAM licences, high‑spec engineering workstations, GPUs, monitors, 3D scanners and CAM post‑processors. Lenders like to see supplier quotes that separate hardware, perpetual licences and support/installation.

Control systems (PLC upgrades, SCADA, motion control)

Control upgrades that improve throughput, reduce downtime or reduce energy use — for example PLC replacements, SCADA systems, HMI panels and drive/motion control — are usually acceptable. Finance can include hardware, software, engineering labour and commissioning if properly documented.

For broader context on lending into manufacturing and the types of schemes available, see our industry resource on manufacturing business loans: manufacturing business loans.

Typical finance options available

Asset finance / Hire Purchase

Best for hardware and capitalised software: you buy the asset and repay over a fixed term (usually 2–5 years). Ownership transfers on final payment. Lenders generally accept invoices and delivery/installation evidence. VAT treatment: VAT usually paid upfront or included in payments depending on arrangement.

Leasing (finance lease vs operating lease)

Operating leases suit companies that prefer not to show assets on the balance sheet or want regular refresh cycles. Finance leases resemble purchase finance. Leasing can be helpful when software/hardware lifecycle is short.

Business loans / term loans

Unsecured or secured term loans are flexible — they can cover consultancy, licences, training and integration costs that lenders might exclude from asset finance. Terms vary; larger projects may need security over assets or company guarantees.

Subscription/SaaS funding

SaaS contracts can be funded in some cases: funders may consider multi‑year contracts as financeable revenue streams, or prefer working capital/loan products to cover subscription costs. Each lender’s treatment differs — UK Business Loans will match you to partners who handle SaaS funding.

Green / Efficiency loans & grants

If upgrades reduce energy or waste (e.g., motor control, CNC optimisation, energy monitoring MES modules) you may access sustainability finance, lower rates or specialist lenders for green projects.

Invoice finance & working capital bridges

If the upgrade is tied to a contract (e.g., to fulfil a large order), invoice finance or short‑term working capital can bridge cashflow while longer-term finance is arranged.

Eligibility & what lenders look for

• Minimum project size — many partners start at around £10,000.
• Business vintage and turnover — typically 12+ months trading and demonstrable turnover helps; some lenders accept younger companies with strong contracts.
• Profitability and cashflow — lenders assess serviceability of repayments.
• Credit profile — director and company credit checks may be required for full applications; initial enquiries here don’t affect scores.
• Supplier quotes and installation schedules — clear, itemised supplier documentation speeds approvals.
• Project ROI / efficiency case — evidence that upgrades improve output, reduce costs or secure new contracts strengthens the application.

Specialist lenders and brokers often have appetite for manufacturing technology and will accept shorter trading histories if the case demonstrates productivity gains or confirmed purchase orders.

Documentation & application process

Typical document checklist:

• Supplier quote/invoice showing itemised costs
• Latest management or statutory accounts (or accountant-prepared forecasts for newer businesses)
• Proof of identity and director details
• VAT registration (if applicable) and company registration number
• Details of existing debt facilities

Process & timescale: submit a short enquiry via our Free Eligibility Check and we’ll match you to suitable partners. You can often receive initial quotes within hours; approval and funding range from a few days (small, straightforward financings) to several weeks (larger or bespoke projects). We only share details with lenders/brokers relevant to your request.

Cost considerations & repayment example

Costs vary by product, lender risk, term and whether the finance is secured. Indicative ranges (for illustration only):

• Asset finance / hire purchase: effective APRs often in the mid‑single to low‑double digits depending on credit profile and term.
• Unsecured term loans: rates vary more widely; fee structures and covenant requirements differ.
• Operating leases: monthly rental with potential end‑of‑term options; total cost depends on residual values.

Worked example

Project: £50,000 CAD/CAM and PLC upgrade financed by hire purchase over 4 years.

Approximate monthly repayment (illustrative): £50,000 financed at a representative APR might be roughly £1,100–£1,400 per month over 48 months depending on rate and fees. Exact offers will vary — partners provide personalised quotes based on your circumstances.

Tax considerations: many businesses can claim capital allowances on qualifying capital items; consult your accountant about Annual Investment Allowance or writing down allowances. Financing does not remove your entitlement to tax relief — speak to your tax adviser.

Benefits of financing vs paying cash

• Preserves working capital and cash reserves for day‑to‑day operations.
• Spreads cost and matches repayments to the useful life of equipment or software.
• Allows phased upgrades and faster adoption of new tech.
• May accelerate ROI: improvements can generate additional revenue before the full cash outlay is paid.

Risks, red flags and questions to ask lenders

• Hidden fees or arrangement charges — ask for all-in rates and a repayment schedule.
• Early repayment penalties and residual values on lease deals.
• Who owns software IP or licences at end of term? Confirm licence transfer or renewal costs.
• Maintenance, updates and support obligations — ensure these are factored into total cost.
• Obsolescence risk for rapidly changing software/hardware — consider shorter terms or upgrade options.

Ask lenders: “What’s the exact APR or factor rate?”, “Are vendor/installation costs included?”, and “What happens if the supplier delays commissioning?”

Short anonymised case studies

Case 1 — Precision engineering shop

Situation: £35,000 CAD/CAM licence + workstation to reduce programming time. Solution: hire purchase over 3 years. Result: programming time cut by 40%, capacity increased; repayments offset by higher throughput within 9 months.

Case 2 — Food packager

Situation: PLC and HMI upgrade to improve line speed and reduce downtime. Solution: asset finance combined with a short-term working capital facility to cover integration. Result: 12% per annum efficiency gain and reduced energy consumption.

How UK Business Loans helps — get a quote

UK Business Loans connects you quickly to lenders and brokers who specialise in manufacturing technology finance. Our process is simple:

1. Complete a short enquiry (takes under 2 minutes) via our Free Eligibility Check: Get Quote Now.
2. We match your request to lenders/brokers with appetite for software, CAD/CAM and control system upgrades.
3. Expect rapid contact — many partners respond within hours to provide tailored quotes.

Enquiries are free and without obligation. Submitting a short enquiry does not affect your credit score; partner lenders may carry out credit checks only if you proceed to a formal application.

Frequently asked questions

Do lenders fund software licences and subscriptions?

Yes. Many lenders fund perpetual licences and associated implementation. Treatment of SaaS/subscription contracts varies; some partners will fund multi‑year contracts or provide alternative working capital solutions.

Can I finance CAD/CAM software together with workstations?

Often yes — asset finance or hire purchase packages commonly cover both the software licences and specialist hardware when supported by itemised supplier quotes.

Are control system upgrades considered assets?

Control upgrades that produce tangible equipment or system improvements and can be evidenced by invoices and acceptance certificates are generally fundable under equipment finance.

How quickly can I get funds?

Initial quotes are often available within hours of your enquiry. Funding time depends on the complexity and size of the case — from a few days to several weeks for larger projects.

Will initial enquiries affect my credit score?

No — submitting the Free Eligibility Check does not affect your credit score. Lenders may carry out credit checks only if you proceed to a formal application.

What typical project size do partners accept?

UK Business Loans commonly places projects from around £10,000 upwards. We match your request to partners with suitable appetite and terms.

Ready to explore finance for your software, CAD/CAM or control system upgrade?

Complete a quick Free Eligibility Check now and we’ll match your business to specialist lenders and brokers who understand manufacturing technology. No obligation — expect a fast response: Get Quote Now.

Service note: UK Business Loans is an introducer that connects businesses with lenders and brokers. We do not lend money or provide regulated financial advice. Our service is free and without obligation. Partner lenders set final terms and may carry out credit checks if an application proceeds.