Do you fund cash flow needs during the build (eg, supplier deposits)?
Short answer
We don’t provide finance ourselves, but yes — we can help UK businesses get matched with lenders and brokers who fund cash flow needs during a build, including supplier deposits, staged payments, and progress claims. Options may include stage-payment asset finance, trade and purchase order finance, revolving credit lines, and invoice finance against certified works. Funding is always subject to lender criteria, affordability, and status.
What “during-the-build” cash flow funding can cover supplier deposits?
What can typically be funded?
Many lenders in our network can support project-stage costs such as supplier deposits, pro-forma invoices, milestone payments, and installation costs. This is common in construction, shopfitting, manufacturing, hospitality fit-outs, and multi-stage equipment projects. Lenders may pay suppliers directly or reimburse you upon proof of payment.
Funding types that can help
Stage-payment asset finance: finance large items or projects where suppliers require deposits and phased payments before delivery or commissioning. Trade or purchase order finance: short-term funding to pay suppliers for goods or materials based on an order or contract. Revolving credit and working capital loans: flexible lines to smooth cash flow during the build window.
More solutions businesses consider
Invoice finance against interim valuations or certified works (for B2B contracts): unlock a percentage of approved invoices or applications for payment. Business credit lines or overdraft alternatives: provide drawdown flexibility for multiple small-stage payments. Hire purchase with staged supplier payments: structured to release funds to suppliers as build milestones are reached.
When does funding start?
Once approved, some facilities can release deposits immediately on receipt of a supplier pro forma and build plan. Others require evidence of a purchase order, contract, or specification before committing funds. Timing depends on the type of finance and the lender’s underwriting process.
Typical use cases
A restaurant refurbishment needing a 30% kitchen equipment deposit and staged payments for installation. A manufacturer purchasing a production line with pre-shipment deposits and commissioning costs over several months. A shopfit across multiple sites requiring rolling supplier payments and interim contractor invoices.
How staged payments work in practice
Who gets paid — you or the supplier?
For deposit funding, many lenders pay the supplier directly to reduce fraud risk and align with the project plan. In other cases, reimbursement can be offered if you’ve already paid and can evidence the expense. Specific rules vary by provider and will be clarified during onboarding.
What documents will lenders expect?
Expect to provide a project scope, supplier quotations or invoices, a schedule of works or Gantt chart, and payment milestones. For construction, lenders may request the contract type (for example, JCT), insurance details, and principal contractor information. Where relevant, lenders may seek proof of end-client purchase orders or signed agreements.
How milestone verification is handled
Lenders typically release stage payments upon proof that a milestone is met. Evidence may include delivery notes, commissioning certificates, installation photos, or a professional valuation. For invoice finance, certified applications for payment or approved interim valuations can be advanced as cash.
Deposits and retention
Supplier deposits often range from 10% to 40% of contract value, and many lenders can fund this with the right evidence. Retentions are usually excluded from immediate funding but may be supported indirectly via wider cash flow facilities. Clarify deposit, retention, and payment terms up front to ensure smooth drawdowns.
Fit-out and refurbishment specifics
For office, retail, or hospitality refits, lenders may fund furniture, fixtures and equipment, joinery, AV, and M&E packages via staged asset finance. Where the works include a mix of assets and labour, lenders may split funding between asset-backed and working capital solutions. Explore specialist fit-out finance options if your project is primarily a refurbishment.
Eligibility, costs, and what to expect
General eligibility guidelines
Lenders generally prefer established UK limited companies with at least 12 months’ trading, stable turnover, and demonstrable affordability. Directors and key shareholders may be subject to credit checks and, in some cases, guarantees. Industry experience, supplier track record, and a clear project plan can strengthen your case.
How much can you borrow?
Facility limits depend on turnover, profitability, assets, order book quality, and contract counterparties. For asset-backed stage payments, the total financed value often aligns with asset value and residual strength. For trade and invoice solutions, limits may align to the value of confirmed orders, purchase orders, or certified invoices.
Costs to consider
Pricing may include arrangement fees, interest or discount charges, non-utilisation fees for some credit lines, and documentation fees. For trade finance, charges may apply per drawdown or supplier payment. Always compare APRs or flat rates, and ensure you understand total cost of funds over the project timeline.
Risk, security, and conditions
Some facilities are unsecured; others may require debentures, personal guarantees, or asset security. Providers may require all deposits and stage payments to be routed through them to maintain control. Delays or variations in the build can impact funding availability, so keep lenders updated on timelines.
Timeframes and speed
Simple revolving credit or cash flow loans can complete in days once documents are ready. Stage-payment asset finance and trade finance typically take longer due to supplier verification and contractual checks. Invoice finance may onboard within 1–2 weeks, with same-day drawdowns once live.
How Best Business Loans helps you navigate build-stage funding
We are an introducer — here’s what that means
Best Business Loans is not a lender and does not offer credit directly or provide financial advice. We use AI-driven matching and a professional network to connect you with suitable lenders or brokers. You remain in full control at every stage and can choose whether to proceed with any offer.
What to include in your Quick Quote
Tell us what you are building or fitting out, your planned start and completion dates, and your total budget. Outline expected deposit percentages, payment milestones, and key suppliers or contractors. Share your company details, trading history, and indicative credit needs.
How our matching works
Complete a Quick Quote and our system maps your profile to lenders known to support deposits and stage payments in your sector. You may be introduced to providers offering stage-payment asset finance, trade finance, or revolving credit facilities. We aim to save you time contacting multiple firms and repeating details.
Documents that speed up approvals
Supplier pro formas and quotes, contracts or purchase orders, and a schedule of works. Company accounts, bank statements, management information, and ID for directors. For construction: insurance, RAMS summary, and principal contractor details where applicable.
Compliance and clarity
Information on this page is for UK businesses and does not constitute regulated advice. Finance is subject to status, terms, and affordability; eligibility and rates vary by provider. We may receive an introducer fee from selected partners; there is no obligation to accept any offer.
Practical FAQs, next steps, and key takeaways
Can supplier deposits be financed before goods are delivered?
Yes, many lenders will fund deposits once you are approved and documentation is in place. Funding may be paid to the supplier directly on receipt of a pro forma invoice. This helps secure production slots, materials, and lead times without draining cash reserves.
What if the project involves both assets and labour?
Providers often blend solutions: asset finance for equipment or fixtures, plus working capital or invoice finance for labour. The goal is to align facility type to the underlying spend for efficiency and control. Your matched provider can structure staged drawdowns against both elements.
Can interim certificates or applications for payment be financed?
Many invoice finance providers advance funds against certified works or approved applications for payment. This is common in construction and shopfitting where monthly valuations drive cash flow. Facilities are typically revolving so funds can be redrawn as invoices are raised and collected.
What about project delays or variations?
Communicate changes quickly so lenders can adapt drawdown schedules and conditions. Some facilities are flexible, but significant scope changes may require re-approval. Keeping documentation current helps maintain funding momentum.
Who is a good fit for this type of funding?
Established UK limited companies with consistent trade, clear project plans, and reputable suppliers. Sectors include construction, manufacturing, hospitality, retail fit-out, healthcare, logistics, and engineering. We do not currently support start-ups, sole traders, franchises, property finance, or commercial mortgages.
Next steps: get a quick, no-obligation match
Submit a Quick Quote with your project details and target timelines. We will introduce you to relevant lenders or brokers who fund deposits and staged payments. Compare terms, ask questions, and choose the route that best fits your cash flow.
Important information
Best Business Loans is an independent introducer, not a lender. All finance is subject to lender assessment, terms, eligibility, and status. Please consider seeking independent professional advice before committing to any finance agreement.
Key takeaways
- Yes — many lenders will fund supplier deposits and staged payments during the build, subject to approval.
- Common routes include stage-payment asset finance, trade finance, revolving credit, and invoice finance.
- Direct supplier payments are typical, supported by pro formas, contracts, and milestone evidence.
- Strong project documentation and supplier credibility improve approval likelihood and speed.
- Use our Quick Quote to be matched with providers who actively support build-stage cash flow.
Example scenarios where funding may apply
- F&B fit-out: deposit for kitchen equipment, staged joinery payments, and final commissioning.
- Manufacturing: staged payment schedule for a CNC line with factory acceptance testing.
- Retail: multi-site store refits with rolling contractor invoices and phased FF&E deliveries.
Updated
Updated October 2025.
About Best Business Loans
BestBusinessLoans.ai helps UK businesses explore finance options through AI-powered matching and a curated network of lenders and brokers. We do not guarantee the lowest rates and we do not provide loans directly. Our goal is to connect you quickly and transparently with relevant providers so you can make informed decisions.
Ready to explore funding during the build?
Complete your Quick Quote to check potential eligibility for deposit and stage-payment funding. It takes minutes and there is no obligation to proceed. Get matched and keep your project moving without overstretching your cash flow.
Frequently asked questions
Do you directly fund supplier deposits?
No — we are an introducer. We match you to lenders and brokers who may fund deposits and staged payments.
Can funds be released before delivery?
Often yes, once approved and with supplier documentation in place. Many lenders pay suppliers directly against pro formas.
Is invoice finance available against certified works?
Yes, for many construction and fit-out contracts where interim valuations or applications for payment are approved.
How fast can this be arranged?
Simple facilities can complete in days, while staged or trade solutions may take longer due to verification. Having documents ready speeds things up.
What sectors are most suitable?
Construction, shopfitting, hospitality, manufacturing, healthcare, logistics, and retail are common. We help established limited companies only.
Important compliance note: This content is for UK businesses only. It is a general information resource and not financial or legal advice. Finance is subject to status, terms, and affordability. Eligibility, rates, and fees vary by provider. We do not support start-ups, sole traders, franchises, property finance, or commercial mortgages. Advertisers must comply with UK regulations; ensure you read all lender disclosures carefully before proceeding.