Can I fund kitchen equipment like ovens, refrigeration, EPOS and coffee machines?

Short answer: yes — and here’s how to do it efficiently

Yes, most UK hospitality and food businesses can fund commercial kitchen equipment through asset finance, leasing, hire purchase, or an unsecured business loan. Funding can cover items such as ovens, refrigeration, dishwashers, EPOS and coffee machines, plus delivery and installation in many cases. Best Business Loans does not lend directly — we use AI-driven matching to connect you with suitable UK lenders and brokers based on your sector, equipment type and affordability.

Whether you operate a restaurant, café, bakery, bar, dark kitchen or catering company, equipment finance can spread the cost and preserve working capital. New, used and refurbished assets can be eligible, subject to lender criteria. You can often align repayments to seasonal cash flow to reduce pressure during quieter months.

If you need a fast eligibility check, our Quick Quote process is free and without obligation. You’ll receive introductions to relevant providers who are actively lending to hospitality and food service businesses. You stay in control of any decisions, and there’s no impact on your credit score for making an initial enquiry.

What equipment can you finance?

Kitchen and front-of-house assets that lenders commonly support include combi ovens, ranges and grills, blast chillers, walk-in fridges and freezers, extraction and ventilation, and warewashing equipment. Coffee machines, grinders, water filtration, and point-of-sale systems including EPOS, PDQ terminals and handheld ordering devices are also typical. Many providers will fund food prep, counters and servery, ice machines, microwaves, fryers, and specialist bakery or pizzeria equipment.

Soft costs such as delivery, installation and commissioning may be included within the finance ticket, depending on lender policy. Some lenders also accept bundled quotes that combine multiple items from different suppliers. For businesses in hospitality, you can learn more about sector-specific support on our restaurant and hospitality page at restaurant and hospitality finance.

If your requirement is part of a larger refurbishment or fit-out, fit-out finance or asset-backed solutions may cover furniture, counters, signage and lighting. Where you already own equipment outright, asset refinance may help release equity to fund upgrades or expansion.

Who is eligible?

Eligibility usually favours established UK limited companies and LLPs with at least 12–24 months’ trading. Lenders consider industry experience, turnover, profitability, cash flow, existing leverage, and credit history at both company and director level. They also check the equipment’s supplier, asset type, age and resale value.

Start-ups and sole traders are generally outside our current scope of support. Typically, directors’ personal guarantees may be requested for added security, and assets are often taken as collateral under hire purchase or lease agreements. Being VAT-registered and having up-to-date management information can improve outcomes.

If you’re unsure where you stand, a no-obligation eligibility check is a quick way to gauge your options. We connect you with lenders and brokers aligned to your profile and equipment needs, saving time and avoiding mismatched applications.

Finance options for kitchen and hospitality equipment

There are several proven routes to fund ovens, refrigeration, EPOS and coffee machines. Each option has distinct cash flow, ownership and tax considerations. The right fit depends on your objectives, VAT position and how long you plan to keep the asset.

Below are the most commonly used funding structures for equipment acquisition in hospitality and food production. We’ll outline what they are, how they work, and when they can be most effective. The goal is to help you make a people-first, well-informed choice.

Our platform introduces you to providers that actively support your sector and asset type. You can then compare indicative terms, deposits and documentation requirements before you proceed.

Hire Purchase (HP)

HP spreads the cost over a fixed term and transfers ownership at the end, usually for a nominal fee. VAT on the equipment is typically due upfront, though some lenders offer VAT-deferral to ease cash flow. HP suits assets with a long working life such as combi ovens, refrigeration, and warewashing.

Pros include predictable repayments, ownership at term end, and potential capital allowances. Consider the initial VAT requirement and whether the deposit fits your cash position. Terms often run 24–60 months, depending on asset life and business profile.

Finance Lease

With a finance lease, you rent the asset for most of its useful life with fixed rentals and no immediate ownership. VAT is spread across rentals, which can suit VAT-registered businesses. At the end, you typically continue with a secondary rental or ask the lessor to sell the asset and share the proceeds per the lease terms.

Pros include lower upfront cost and flexibility at term end. Consider that you won’t own the asset during the initial lease period. Finance leases are commonly used for EPOS systems, coffee machines and refrigeration.

Operating Lease

This option is closer to long-term rental, often used where you plan to upgrade frequently. Rentals are typically lower because the lessor expects a residual value. Operating leases can be effective for technology that becomes obsolete quickly, such as certain EPOS hardware.

It can preserve cash flow and keep equipment up to date. The trade-off is that ownership usually remains with the lessor and return conditions apply. Maintenance may be included in some agreements.

Asset Refinance

If you already own equipment outright, a lender can refinance it to release working capital. This can fund upgrades, new lines, or additional kit like a second coffee machine or blast chiller. The lender takes security over the asset and advances a percentage of its value.

Pros include quick access to cash using assets you already have. Consider the asset’s age, resale value and any existing liens. Refinance is often used alongside new acquisitions to optimise overall cost.

Unsecured Business Loan

An unsecured loan offers flexibility if you want to buy smaller items, pay suppliers directly, or bundle soft costs. Terms are generally shorter and rates can be higher than asset finance. It can work when speed and simplicity are your priority.

Repayments are fixed, and there’s no security over specific equipment. Lenders will assess affordability, trading history and credit profile. Some will consider top-ups as your business grows.

Merchant Cash Advance (card-takings funding)

This is repaid as a percentage of card sales, aligning repayments with your revenue. It’s popular with cafés, restaurants and bars that have steady card volumes. Funds can be used to acquire or install kit and manage short-term cash flow during upgrades.

Pros include variable repayments that flex with trade. Consider total cost and ensure it fits your turnover profile. It’s best viewed as a revenue-linked working capital tool rather than a long-term asset solution.

Typical terms at a glance

• Ticket sizes: circa £5,000–£250,000+ for asset finance, depending on profile and asset.
• Terms: 12–72 months for HP/lease; unsecured loans often 6–36 months.
• Deposits: 0%–20% typical; VAT deferral may be available on HP.
• Payments: monthly, with seasonal or stepped structures possible for hospitality.

How to secure equipment funding — fast and with less friction

Good preparation helps lenders give quicker, clearer decisions in principle. By supplying a complete picture of your business and the equipment, you reduce back-and-forth and speed up underwriting. Our AI-led matching prioritises providers who will work with your sector, assets and affordability.

Most introducers and lenders will ask for recent management information and proof of ID. For larger facilities, additional documents are typical. If you need multiple items, a consolidated quote helps.

Follow the steps below to streamline your application. This approach is designed for UK hospitality businesses investing in essential kitchen and front-of-house equipment.

Step-by-step: from quote to installation

1. Complete a Quick Quote. Share your company details, time trading, and equipment wish list with approximate costs.
2. Provide supplier quotes. Include delivery, installation and warranty information if you want soft costs included.
3. Upload key documents. Recent bank statements, management accounts, and VAT status help speed up assessment.
4. Receive matches and terms. We introduce you to suitable lenders or brokers for an in-principle view.
5. Choose your route. Compare repayments, term length, deposit and end-of-term options before you proceed.

What affects approval and rates?

Lenders assess affordability, credit history, time in business, and asset quality. Strong cash flow, clean filing at Companies House, and realistic projections help. Equipment with robust resale value can unlock better terms in asset-backed deals.

Hospitality seasonality isn’t a blocker if presented transparently. Seasonal payments can better align with your trading pattern. If you’re VAT-registered, consider VAT deferral on HP to ease the initial outlay.

How Best Business Loans helps

We don’t supply loans; we streamline your journey to the right finance partners. Our AI filters by sector, asset type and lender appetite, saving time and minimising mismatched applications. It’s free to submit an enquiry and there’s no obligation.

You retain control of the decision and lender engagement throughout. We aim to be clear, fair and not misleading in every communication. That way, you can make confident, well-informed choices.

Costs, eligibility, risks, and FAQs

Pricing varies with asset type, term, business profile and market conditions. Asset-backed facilities may offer lower costs than unsecured borrowing, but the asset is at risk if repayments aren’t maintained. Always consider total cost of ownership, maintenance and energy usage before committing.

Indicative terms can often be presented quickly once documents and quotes are provided. Funding for standard equipment can complete in days, subject to underwriting and supplier readiness. There is no guarantee of approval and all finance is subject to status, affordability and credit checks.

Below are concise answers to the most common questions we’re asked by UK hospitality businesses. These mirror what lenders typically look for and how decisions are reached. For a deeper, sector-focused view, see our hospitality page linked earlier.

Can I fund new and used equipment?

Yes, new, used and refurbished items can be funded, subject to lender criteria and asset condition. Suppliers should be reputable, with serial numbers and warranties where possible. Older assets may attract shorter terms or lower advance rates.

What about delivery and installation costs?

Many lenders will include soft costs such as delivery, installation and commissioning within the finance. Provide itemised quotes for clarity. This can simplify cash flow during fit-out or refurbishment.

How fast can I get a decision?

Indicative decisions in principle can often be obtained within 24–72 hours once information is complete. Complex cases or larger ticket sizes may take longer. Early document readiness speeds everything up.

Will I need a deposit or personal guarantee?

Deposits vary by product and profile, commonly 0%–20% on asset finance. Directors’ guarantees are frequently requested, particularly for SMEs. Unsecured loans may not require asset security but can still require guarantees.

Is EPOS and coffee equipment eligible?

Yes, EPOS systems, handheld devices, PDQs, and commercial coffee machines are widely financed. Operating leases and vendor-backed arrangements are common in these categories. Consider upgrade cycles when choosing term length.

Can I align payments with seasonality?

Yes, some lenders offer seasonal or stepped payments to match hospitality trading. This can reduce pressure in lower months. Discuss your trading pattern upfront for a better fit.

What are my obligations?

You must maintain repayments and keep the asset insured and in good order. For leases, return conditions or secondary rentals may apply at term end. Always read terms and conditions carefully before signing.

Are there green or energy-efficient options?

Some providers support sustainability upgrades such as energy-efficient refrigeration or induction cooking. You may also explore dedicated “green” products where available. Check eligibility for any government-backed schemes active at the time.

Common mistakes to avoid

• Applying to lenders who don’t fund your asset type or sector.
• Underestimating installation, extraction or power upgrade costs.
• Locking into a term that outlasts the asset’s useful life.
• Ignoring service, maintenance and energy usage in total cost calculations.

Next steps — Quick Quote and eligibility check

Tell us what you need and we’ll connect you with relevant UK providers for an in-principle view. It’s free to enquire and there’s no obligation to proceed. You choose the route that suits your goals and cash flow.

Best Business Loans acts as an independent introducer using AI to streamline your search. We aim to help you find suitable, reputable funding partners faster. Start your Quick Quote today and move one step closer to installation.

Important information and compliance

Best Business Loans is an introducer, not a lender, broker or financial advisor. We connect UK businesses with third-party finance providers who may be able to help. We do not provide recommendations or advice; any offers are provided by the respective lender or broker.

Eligibility, rates and terms are set by the provider and depend on status, affordability and credit checks. Security, guarantees and additional documents may be required. Finance may not be available in all circumstances and there is no guarantee of approval.

Our communications are designed to be clear, fair and not misleading in line with UK regulatory expectations. Please ensure you understand all features and risks before entering an agreement. If in doubt, seek independent professional advice.

About BestBusinessLoans.ai

We help established UK businesses find suitable commercial funding partners using AI matching and a vetted professional network. Sectors we commonly support include restaurants, cafés, hotels and hospitality, among others. We do not currently support start-ups, sole traders, franchises, property finance or commercial mortgages.

Updated: October 2025. For questions, contact hello@bestbusinessloans.ai. Your information is handled securely and shared only with relevant finance professionals for your enquiry.

Key takeaways

• You can fund ovens, refrigeration, EPOS and coffee machines via asset finance, leasing, HP or loans.
• New, used and refurbished equipment can be eligible, subject to lender criteria and asset quality.
• Soft costs like delivery and installation can sometimes be included in the finance.
• Seasonal or stepped repayments may suit hospitality cash flow patterns.
• Best Business Loans introduces you to suitable lenders and brokers — fast, free and with no obligation.

Author

Author: Commercial Finance Editorial Team, Best Business Loans. Our team combines UK SME funding experience with data-driven research to help businesses navigate finance with confidence.