Asset Finance for Trades — UK eligibility guide
Sector-specific underwriting context layered on top of the base trades sector page and the base asset finance guide.
Eligibility guidance only - not financial advice, not a loan offer, not a guarantee of approval. Lendrly is not FCA-authorised and is not a credit broker.
In short
Asset Finance for UK trades businesses combines a sector pattern Lendrly tracks closely with a finance type that has its own underwriting shape. Businesses buying or refinancing vehicles, plant, machinery or IT. In the trades sector specifically, the lenders that tend to fit are ones already comfortable with the trades cash cycle, asset profile and customer mix. Typical amounts sit at £1k to £5m+; most sme facilities sit between £10k and £500k. and decisions usually land within often 24-72 hours for standard assets; specialist deals 1-3 weeks. Final eligibility, pricing and limits are set by the lender at underwriting and depend on the full trading picture.
What underwriters in the trades sector typically watch for
The list below is specific to UK trades businesses seeking asset finance — distinct from the generic blockers for either the sector or the product on its own.
- Used vans beyond typical age caps (often 8-10 years for vans, longer for HGV) route to specialist lenders rather than mainstream providers.
- Sole-trader subcontractors without limited-company accounts hit a lower ticket ceiling — 10-20% deposit and a director PG are usual.
- Adverse personal credit history more common in the sector and narrower lender pool for fresh CCJs.
- Tools-and-small-plant facilities below £5,000 often fall below mainstream asset-finance minimums and route to consumer-style providers instead.
Documents that help in trades asset finance applications
Lenders ask for slightly different documents depending on the sector. Expect to provide most of the following when applying for asset finance as a trades business.
- Supplier proforma or dealer order listing each asset (van, tipper, tools, small plant) with VIN, year and condition.
- Last 12 months of accounts (or last 6 months of business bank statements for sole traders).
- Director or sole-trader ID and personal credit consent.
- Trade qualifications evidence where the asset finance is tied to a specific trade (gas-safe registration for a boiler-fit van, NICEIC for an electrician).
Timing the application
Trades vans usually need to be in service quickly to win the next job — most asset-finance providers in this sector can fund within 3-7 working days. Opening the application before visiting the dealer keeps the timeline tight.
Worked example
An electrician adding a new £28,000 Ford Transit Custom plus £4,000 of tools and a roof rack could typically finance the package on a 4-5 year hire purchase agreement with a 10-15% deposit. With 2 years of clean trading accounts and clean director credit, this is the shape of deal Lombard, Novuna, Propel and Simply Asset Finance underwrite routinely for UK trades.
Illustrative only. Final amounts, pricing and structure are set by the lender at underwriting.
Practical lender tips for trades asset finance
- Refinancing existing owned vans can release working capital across a quiet winter — often a cleaner option than an unsecured loan for sole traders.
- Specialist trades asset-finance lenders work specifically with sole traders and limited-company micro-SMEs — usually better appetite than mainstream providers for short-history applicants.