Can delivery, installation, training, and warranties be included in the finance amount?

Short answer: Yes — often they can be included, but it depends on the finance type, lender and how costs are structured.

Most UK lenders and brokers allow ancillary costs such as delivery, installation, staff training and certain warranties to be rolled into the financed amount when those costs are directly linked to the asset or project being financed. Lenders assess these additional items case-by-case, checking whether they are essential to putting the asset into productive use and whether they are capital or revenue in nature.

What lenders typically accept in the financed amount

Common inclusions

Lenders commonly accept the core asset price plus associated fees that are integral to getting the asset working. This includes delivery charges, installation and commissioning costs, and supplier-supplied training sessions that ensure staff can operate the equipment.

Many asset finance products also permit capitalised warranties and service packages if they are sold alongside the equipment as a single purchase. This is particularly common in equipment finance, leasing and hire purchase arrangements.

Because these costs reduce upfront cash needs, lenders view them favourably where they are demonstrably necessary for the asset to perform its intended role.

When lenders may refuse

If costs are discretionary, non-essential or relate to ongoing running costs (for example standard consumables or routine maintenance that isn’t part of a warranty or fixed service contract), lenders may exclude them from the financed amount. Lenders also scrutinise third-party training providers and warranty providers for reputation and longevity.

How different finance types treat these costs

Equipment finance and asset finance

Equipment finance products explicitly designed for machinery, technology and vehicles frequently allow a wide range of associated costs to be capitalised. You can often include delivery, installation, supplier training and extended warranties as part of the equipment finance package.

For more detail on how equipment finance can work for your purchase, see our equipment finance guide here: https://bestbusinessloans.ai/loan/equipment-finance/.

Leasing, hire purchase and cashflow loans

Operating leases and finance leases usually cover a broader scope of ancillary costs as these products are asset-focused. Hire purchase agreements generally let you finance any cost that would be included on a supplier invoice for buying the asset. Unsecured cashflow loans are less prescriptive but may have restrictions on capital items and supplier costs.

Practical steps to include these costs in a finance application

Step 1 — Itemise supplier quotes

Obtain a detailed supplier quote that separates asset cost, delivery, installation, training and warranty charges. Lenders prefer itemised invoices because they can demonstrate the linkage between the asset and the ancillary cost.

Step 2 — Clarify the nature of warranties and service contracts

Be ready to explain whether a warranty is included in the purchase price, is an optional add-on, or a separate ongoing service contract. Lenders are more likely to include one-off, time-limited extended warranties rather than indefinite maintenance contracts that look like operating expenses.

Step 3 — Match the costs to the finance product

Work with a broker or lender to choose a product that aligns with your needs — for instance, a finance lease for full inclusion or hire purchase for ownership transfer at term end. Your broker can help present the case clearly to the lender to improve approval chances.

Tax, accounting and compliance considerations

VAT and capital allowances

VAT treatment differs by finance type and supplier arrangement. In many cases VAT on the full financed amount is payable up front to HMRC unless you have a VAT accounting arrangement or the supplier invoices VAT separately. Consult your accountant on whether VAT can be reclaimed and when.

Capital allowances and accounting treatment

Delivery, installation and qualifying warranties capitalised with an asset often form part of the asset’s capital cost for tax purposes. That can affect capital allowances and depreciation, so it is important to document that these costs are integral to the asset’s acquisition and readiness for use.

Regulatory and advertising compliance

Best Business Loans is an introducer and does not provide regulated lending itself. We help you find lenders and brokers who may be authorised. Always check any finance provider’s regulatory status and receive full terms in writing before proceeding.

Common lender conditions, risks and best-practice tips

Typical lender conditions

Lenders will usually require supplier documentation, proof of delivery and installation, and sometimes photos or commissioning reports. They may ask for warranties to be written into the same supplier contract or require a service schedule from the warranty provider.

Risks to watch for

Rolling non-essential or recurrent costs into the finance amount can inflate the amount you borrow and increase interest costs over time. You should avoid financing consumables or indefinite maintenance unless there is a clear strategic benefit to smoothing cashflow.

Best-practice checklist

• Get an itemised supplier quote that separates capital from revenue costs.
• Confirm with prospective lenders or brokers what they will accept before you sign supplier contracts.
• Check warranty provider credibility and whether the warranty is transferable if you sell the asset.
• Discuss VAT and capital allowance treatment with your accountant to avoid surprise tax bills.
• Compare total cost (finance charges + fees) against paying upfront where possible.

How Best Business Loans helps

We don’t supply finance, but our platform connects UK businesses to lenders and brokers who understand how to structure applications that include delivery, installation, training and warranties. Use our Quick Quote to get matched with providers who actively finance asset-related costs.

Submitting a Quick Quote is free and helps clarify what can realistically be included in the finance amount for your sector and asset type. Start your enquiry if you want help packaging supplier costs into a competitive finance proposal.

Key takeaways

• Yes — delivery, installation, training and qualifying warranties can often be included in the financed amount, especially under equipment and asset finance products.
• Lenders assess each cost for necessity and whether it is capital or revenue in nature; itemised supplier quotes help approvals.
• Consider tax, VAT and accounting impacts before capitalising costs — get professional advice where needed.
• Use a broker or an introducer like Best Business Loans to compare providers and identify which lenders will accept ancillary costs in your case.
• Submit a Quick Quote to get matched with lenders or brokers who can advise on structuring your finance application.

Ready to check eligibility or get a Decision in Principle? Complete our Quick Quote to see how your delivery, installation, training and warranty costs could be financed. It’s quick, free, and no obligation.

Need help first? Email hello@bestbusinessloans.ai and our UK support team will point you to the right next steps.