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Asset Finance
Can a loss-making business get asset finance? It may be possible.
A paper loss in your accounts, or even a recent cash loss, does not automatically close the door to funding. We help UK businesses explore finance for vehicles, machinery and equipment when mainstream lenders cannot help.
Soft search first. No footprint on your credit file.
The commercial reality
Why lenders look beyond profit and loss
Mainstream banks often use automated scorecards. If your most recent accounts show a net loss, the result may not reflect the wider context.
Specialist lenders may recognise that a loss-making year does not necessarily mean a failing business. Companies can record losses after significant investment, expansion, one-off bad debts, or the timing and accounting treatment of expenditure. Sometimes, a fundamentally sound business has faced a temporary disruption.
With asset finance, the financed asset typically supports the facility. A van, excavator or CNC machine with an identifiable resale market may give a lender more comfort than an unsecured request. This can help a specialist lender assess hire purchase for a loss-making company in its full commercial context.
Tax efficiency
Paper losses are often driven by significant capital allowances or director remuneration strategies, not poor trading.
One-off events
A difficult contract, a bad debt, or supply chain issues may have caused a historical loss that is now resolved.
Startups & scale-ups
Asset finance for startups is common. Early-stage businesses frequently run at a loss while building market share.
Asset security
Hard assets with strong secondary markets provide lenders with a reliable fallback, reducing their exposure.
Approval criteria
What lenders actually assess
If the bottom line is negative, lenders look elsewhere to build comfort. These are the factors we use to present the application clearly.
Asset Security
Equipment with a strong resale value, such as commercial vehicles, HGVs or yellow plant, may give a lender more confidence. The asset age, condition and likely resale market all matter.
Director Experience
A track record of success in your industry goes a long way. Lenders back people as much as balance sheets. Your personal financial stability also helps.
Affordability & Cash Flow
Can the business comfortably make the monthly repayments from its current bank statements? Cash flow today matters more than historical accounts.
Future Contracts
Evidence of secured future work, upcoming contracts, or a solid order book demonstrates that revenue is incoming, justifying the need for the new asset.
Recent Trading Evidence
Up-to-date management accounts or recent bank statements showing a return to profitability can overwrite a poor set of filed year-end accounts.
Deposit Size
Putting down a larger deposit (e.g., 20% instead of 10%) immediately reduces the lender's risk and demonstrates your financial commitment to the asset.
Indicative Figures
Illustrative finance snapshot
When structuring bad credit asset finance or equipment finance despite losses, rates may be slightly higher and deposits may be required. Adjust the figures below to see an indicative example using an assumed 12.9% APR.
£50,000
£10k£1m
10%
0%40%
48 months
12 months60 months
A lower deposit may be available. No minimum trading history is required as a blanket rule, and finance requests up to £1m may be considered.
Estimated Monthly Payment
£1,205.01
per month for 48 months
Amount financed£45,000.00
Assumed indicative APR12.9%
Important disclaimer: This snapshot uses 12.9% APR as an indicative starting assumption. Actual rate, deposit, term, fees, and approval depend entirely on an independent lender assessment of your specific circumstances. We cannot guarantee approval.
Overcoming barriers
Common objections answered
If your business is loss-making, you might assume other factors will completely block your application. We regularly place deals for businesses facing these specific challenges.
Bad Credit & CCJs
A satisfied CCJ or a historic missed payment is rarely a dealbreaker. Even active issues can be overcome if there is a clear explanation and the overall business model is viable.
New Business / No Accounts Yet
Start-ups naturally have no filed accounts. Lenders will base their decision on your opening balance sheet, director experience, and realistic cash flow projections.
HMRC Arrears
Owe money to HMRC? If you have agreed a Time To Pay (TTP) arrangement and can prove you are making the agreed payments, several specialist lenders will consider your application.
Asset Coverage
Assets commonly considered for loss-making businesses
Commercial Vehicles & Vans
HGVs & Trailers
Agricultural Machinery
Construction Plant
Manufacturing Plant
Printing Equipment
Catering Equipment
Medical & Dental Equipment
IT & Telecoms Hardware
Renewable Energy Installations
While we cover a wide range of assets, we cannot say every single asset will qualify. Hard assets with strong resale value are easiest to place.
How it works
A straightforward broker process
We organise the information, approach suitable lenders and explain each step before you proceed.
01
Candid Assessment
We have an open, confidential conversation about your losses, the asset you need, and your current cash flow. No judgment, just practical advice.
02
Soft Search
We approach the lenders most likely to accept your profile using a soft search, meaning no hard footprint is left on your credit file.
03
Review Options
We present any available rates, deposits and terms. As an independent broker, we explain the lender options and any commission we receive.
04
Formal Application
Once you are comfortable proceeding, we submit the formal application, handle the documentation and keep the process moving.
Who you could speak to
- STEP 1
A conversation with a broker
You talk to a real Sorbus broker about the business, the purpose and what is affordable. No application at this stage.
- STEP 2
Credit placement
If you choose to go further, we prepare the case and decide which lenders on our panel of 150+ are worth approaching.
- STEP 3
Lender assessment
The lender, not Sorbus, underwrites and makes the credit decision. Approval is never guaranteed.
- STEP 4
Documentation
If a lender offers terms and you accept, we help coordinate agreements and payout paperwork with you.
Every step after the first is optional. You can stop after the conversation. Sorbus is a broker, not a lender.
Client journey
Explore real client journeys
Read how real businesses approached a funding goal, what Sorbus arranged and what happened next.
Browse anonymised case studiesEnquire about Asset Finance for Loss-Making Businesses
Start with a conversation
Tell us a little about what you need and who you would like to speak to. No obligation, no credit check at this stage. We aim to respond within one business day, Monday to Friday, 9am to 5:30pm.
Prefer to call?
Speak directly to an adviser Monday–Friday, 9am–5:30pm.
01246 383500Free call. No obligation.
Unique to Sorbus Finance
Optional: Business Finance Health Check
Want to see your lending profile before speaking to us? Try our free Finance Health Check.
Take the short Health CheckFree · No credit check · Not required before you talk
Want the full picture? The full fact-find is longer and also optional.
Email us anytime
hello@sorbusfinance.co.ukGoogle Reviews
What our clients say
Verified reviews from business owners we have helped.
Google Review
"Arran and the team at Sorbus Finance were fantastic with the all round process. Not only did they make my life easy in purchasing a car, but took the stress away from me with the w…"
Alex Pugh
Vehicle Finance
Google Review
"Thank you Arran and team for your excellent service in sourcing and arranging my lease car — a VW Tiguan. The whole process, thanks to yourselves, was made so much easier and stres…"
Catherine Wenborn
Lease Car — VW Tiguan
Frequently asked questions
Straight answers about securing finance when making a loss.
Let's find a way forward
Speak to a specialist who understands business challenges, not just a call centre.
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