Can finance cover soft furnishings, mattresses, or room refurbishment packages?
Short answer: yes — with the right structure, lenders can fund FF&E, mattresses, and full room refurbishment packages
Yes, UK businesses can finance soft furnishings, mattresses, and complete room refurbishment packages through options such as fit‑out finance, asset finance (including leasing and hire purchase), and unsecured business loans. These items are often classed as FF&E (furniture, fixtures and equipment) or “soft assets” — and specialist lenders actively fund them, particularly in hospitality, care, leisure, and accommodation sectors. The key is packaging the costs clearly, aligning terms with the useful life of the items, and matching the right finance type to your cash flow.
What this covers in practice: beds and mattresses, headboards, case goods, sofas and chairs, curtains and blinds, carpets, lighting, wallcoverings, artwork, and small appliances. Many lenders can also include delivery, installation, and project soft costs within limits. If your business is refurbishing rooms, this is typically grouped under “fit‑out” or “refurbishment” funding, which can blend multiple suppliers and staged drawdowns.
What counts as “soft furnishings” and FF&E that lenders will consider?
- Mattresses, bed bases and headboards
- Sofas, chairs, ottomans, desks, bedside tables, wardrobes
- Carpets, rugs, curtains, blinds, wallcoverings
- Lighting, lamps, mirrors, artwork, room accessories
- Bathroom furniture and vanity units (non-structural)
These are “soft assets” because they don’t usually have serial numbers or strong resale values. That said, there are lenders who specialise in funding them when the business case stacks up and the sector is well understood.
Who typically uses this type of funding?
- Hotels, serviced apartments, guest houses, hostels and holiday parks
- Care homes, student accommodation and build-to-rent operators
- Leisure clubs, spas, health and wellness operators
- Retailers, showrooms, restaurants, bars and coffee chains
Hospitality businesses can also explore our sector guidance for hotels and accommodation via our dedicated page: hotel and hospitality business finance options.
Which finance options can cover soft furnishings and room refurbishments?
Several flexible funding routes can cover soft furnishings, mattresses, and bundled refurbishment packages. Choosing the right one depends on your trading history, credit profile, purchase size, the useful life of the assets, and your preferred repayment schedule. Below are the most common options UK lenders consider for these upgrades.
Fit-out and refurbishment finance (ideal for multi-supplier packages)
Fit‑out finance is purpose-built to fund end‑to‑end room upgrades, including FF&E, installation, and professional fees within an agreed cap. It can pull multiple supplier invoices into one agreement and can be structured for staged drawdowns as rooms are completed. Terms commonly run 24–60 months, with seasonal or interest-only options sometimes available for hospitality to reflect trading cycles.
- Covers multiple items: from mattresses to case goods and décor
- Can include delivery, installation and non-asset costs up to agreed limits
- Useful for rolling refurbishment across floors or blocks of rooms
Asset finance for “soft assets” (lease or hire purchase)
While asset finance is traditionally associated with machinery or vehicles, specialist providers do lease “soft assets” for hospitality and accommodation. Finance lease and hire purchase can fund packages of furniture and fittings when the business is established and the proposal is well structured. Expect shorter terms than hard asset funding and a focus on affordability and trading performance.
- Finance lease: you rent the assets, with potential secondary rentals
- Hire purchase: you own the assets after the final payment and any option fees
- Many lenders will fund 100% of the invoice, sometimes including VAT
Unsecured business loans and revolving credit
An unsecured term loan or revolving credit facility can be quicker to deploy for smaller packages or top‑up items. Loans can be used to pay suppliers directly or reimburse cash spent, helping preserve liquidity. Rates and terms vary by credit profile, turnover, and trading history, and personal guarantees are often required.
- Typical terms: 6–60 months with fixed or variable rates
- Useful when items are mixed across many small suppliers
- Can complement an asset finance or fit‑out facility
Merchant cash advance (MCA) for card-taking hospitality
Where a venue takes significant card revenue, an MCA can provide flexible working capital that repays as a small percentage of card takings. Businesses use this to fund time‑sensitive refurbishment between peak seasons. MCAs are not tied to specific assets, so consider them for speed and flexibility rather than lowest overall cost.
- Repayments flex with revenue, helping manage seasonality
- No fixed term; settles as takings are collected
- Best suited for established card-taking hospitality venues
Can finance cover multiple suppliers and staged work?
Yes, many lenders support umbrella agreements that consolidate several suppliers under one facility. You can arrange staged drawdowns linked to delivery or installation milestones, with the lender paying suppliers directly. This keeps administration tidy, aligns cash flows with project timelines, and simplifies reconciliation.
What lenders look for — and how to structure your application
Funding soft furnishings and room refurbishments is very achievable when your proposal is clear, credible, and matched to lender preferences. The following factors materially improve approval chances and pricing. Organising these from the start can help you receive faster quotes and avoid unnecessary back‑and‑forth.
Eligibility, documents and helpful detail
- Trading profile: usually 12+ months trading, with filed accounts or strong management information
- Turnover and profitability: lenders assess affordability from historic performance and forward bookings
- Asset list and quotes: itemised supplier quotations with quantities, unit costs and VAT
- Project plan: scope, timeline, phasing, and any seasonal considerations
- Bank statements: typically last 3–6 months to evidence cash flow
Hotels, care homes and accommodation providers that can evidence occupancy, RevPAR, or pipeline bookings often strengthen the case. Where credit is more sensitive, consider a blend of facility types to spread risk.
Terms, costs, VAT and soft costs
- Typical terms: 12–60 months for soft assets, aligned to useful life
- VAT: options to fund VAT in full or use a VAT deferral where available
- Soft costs: many lenders allow installation, delivery, and design fees up to a percentage cap
- Repayment profiles: fixed monthly, seasonal, or stepped where permitted
A well‑structured fit‑out facility can reduce cash strain by matching repayments to the period you benefit from the refurbishment. Always factor in future refresh cycles when choosing the term.
Security, guarantees and approvals
For soft furnishing packages, lenders may ask for a director’s personal guarantee and, in some cases, a debenture over the company. Asset‑backed security is less common because soft assets have lower resale values. Approvals are based on affordability, sector experience, and the strength of the project plan rather than asset security alone.
Funding timelines and how to speed them up
- Indicative quotes: often the same day once basic information is provided
- Underwriting: 24–72 hours for complete proposals
- Supplier payments: typically within 24–48 hours of document signing for in‑stock items
You can accelerate everything by providing clear quotes, bank statements, management accounts, and a room schedule that maps spend to each phase. Staged drawdowns reduce the need to hold stock before rooms are ready.
Practical scenarios, examples and FAQs
Seeing how other businesses structure their refurbishment finance can help you shape your own plan. Below are common scenarios where FF&E funding works well. They demonstrate how to blend suppliers, manage VAT, and align repayments with peak seasons.
Example scenarios
- Hotel: 40 rooms require new mattresses, headboards, carpets and lighting. Fit‑out finance funds multiple suppliers over 48 months, with staged drawdowns per floor and a three‑month VAT deferral. Repayments step up after high season.
- Care home: Communal lounges and bedrooms need furniture, curtains, and specialist pressure‑relieving mattresses. Asset finance is used for the package; installation costs are included up to the cap, and a small unsecured top‑up covers décor.
- Boutique apartments: Soft furnishings, small appliances and artwork across 12 units. A single facility consolidates five suppliers, simplifying payments and giving the operator one monthly repayment profile.
FAQs
Can finance cover mattresses specifically? Yes. Mattresses are routinely funded as part of a wider FF&E package for hotels, care homes and accommodation providers. Specialist lenders understand the lifecycle and replacement schedules.
Can I include labour and installation? Often yes, up to an agreed percentage. Many fit‑out and asset finance providers allow delivery, installation, and design fees to be included when supported by invoices.
What if I have several small suppliers? You can consolidate them under one umbrella facility. Lenders can pay each supplier directly against approved quotes, then you make one consolidated monthly payment.
Can I fund décor and minor works? Paint, wallcoverings and décor are commonly included in fit‑out finance. Structural works may require separate property or capex funding and are outside the scope of most soft asset lenders.
What about adverse credit or recent challenges? It may still be possible, especially with strong trading now or clear forward bookings. Terms might be shorter, and guarantees more likely to be requested.
Key takeaways
- Yes — finance can cover mattresses, soft furnishings and full room packages.
- Fit‑out finance and soft‑asset leasing are designed for multi‑supplier refurbishments.
- Clear quotes, phasing, and cash‑flow alignment help secure better terms.
- You can include installation and VAT within limits, with staged drawdowns.
- Specialist hospitality lenders understand FF&E cycles and seasonality.
How Best Business Loans helps you get matched to suitable providers
BestBusinessLoans.ai is an independent introducer. We do not lend money or provide financial advice — we use AI matching and a vetted network to connect established UK businesses with lenders and brokers suited to your sector and project. That means you spend less time chasing quotes and more time choosing the option that fits your refurbishment plan.
What to expect: you complete a short Quick Quote; our system analyses your details; we introduce you to relevant providers; and you choose the route that suits your cash flow and timelines. There’s no obligation to proceed, and submitting an enquiry is free.
Your next steps — simple and fast
- Share your plan: number of rooms, scope, budget and desired timeline.
- Upload quotes: itemised supplier quotes for FF&E, installation and any soft costs.
- Provide basics: recent bank statements and management accounts if available.
- Get matched: we introduce you to providers actively funding hospitality and accommodation refurbishments.
- Choose with confidence: compare terms, repayment profiles and drawdown options.
Ready to explore funding for soft furnishings, mattresses or a full room refurbishment package? Submit your Quick Quote now for an eligibility check and introductions to relevant finance providers.
Important information
We aim to ensure our information is fair, clear and not misleading. Eligibility, rates and terms are set by the finance providers we introduce you to, and approval is not guaranteed. Your funding agreement will be subject to status, affordability, and provider criteria; security or personal guarantees may be required.
We are not regulated by the Financial Conduct Authority for credit broking and do not provide financial advice. Nothing on this page is a recommendation to enter an agreement. Always consider independent advice where appropriate. Updated October 2025.