Best Asset Finance Lenders for the Construction Industry
For UK franchise buyers and operators, this guide compares loan periods and amounts, APRs, and terms across leading providers, with a focus on eligibility and fit. Amounts that could not be verified are left blank, prices accurate as of 2026-03-13.
Funding Agent focuses on helping UK SMEs navigate and compare various business finance options quickly through a straightforward process. It is typically suitable for franchise buyers and operators looking for clarity and speed in loan options. The platform offers flexibility in terms and access without requiring collateral.
Loan Details
- Min Amount: £10,000
- Max Amount: £1,000,000
- Min APR: 4%
- Max APR: 20%
- Loan Duration: 3–60 months ⌛
Services & Industries
- Finance Types: Unsecured business loans, MCA Loans, Working capital
- Industries: UK SME's
Pros
- fastest and easiest application process
- No collateral required
Cons
- lower track record, only trading 1 year
Aldermore Bank offers tailored asset finance solutions focused on businesses in the construction sector. It is suitable for companies seeking structured loans with clear terms and a range of flexibility options. The bank provides lending with an emphasis on industry expertise and asset-backed security.
Loan Details
- Min Amount: £25,000
- Max Amount: £2,000,000
- Min APR: 6.9%
- Max APR: 15.04%
- Loan Duration: 3–60 months ⌛
Services & Industries
- Finance Types: Asset Finance, Invoice Finance
- Industries: Construction, Transportation
Pros
- Wide range of asset finance options
- Strong sector expertise
Cons
- Higher APR for smaller loans
Paragon Bank specialises in asset-backed finance with an emphasis on construction and engineering sectors. It suits borrowers who need larger loan amounts and prefer lending that is secured against assets. The bank offers competitive rates with flexibility in repayment terms.
Loan Details
- Min Amount: £150,000
- Max Amount: £60,000,000
- Min APR: 5%
- Max APR: 0%
- Loan Duration: 12–72 months ⌛
Services & Industries
- Finance Types: Asset Finance, Development Finance
- Industries: Construction, Engineering
Pros
- High maximum loan amounts
- Comprehensive industry coverage
Cons
- High minimum loan amounts
Bibby Financial Services offers specialised invoice and asset-based finance primarily for SMEs across diverse sectors. It suits businesses in need of flexible funding with services that focus on invoice management and working capital. Lending is adaptable for companies requiring bespoke credit solutions.
Loan Details
- Min Amount: £7,500
- Max Amount: £25,000
- Min APR: 6.3%
- Max APR: 0%
- Loan Duration: 1–5 years ⌛
Services & Industries
- Finance Types: Invoice Finance, Asset Based Lending
- Industries: Construction, Manufacturing
Pros
- Flexible funding options
- Long established business
Star Asset Finance offers tailored asset finance solutions across sectors, including the construction industry. It is suited to SMEs seeking personalised funding with an emphasis on flexible products like hire purchase. The provider focusses on quick decisions and custom terms to fit business needs.
Loan Details
- Min Amount: £10,000
- Max Amount: £250,000
- Min APR: 7.9%
- Max APR: 0%
- Loan Duration: 3–60 months ⌛
Services & Industries
- Finance Types: Asset Finance, Hire Purchase
- Industries: Construction, Automotive
Pros
- Fast funding decisions
- Tailored finance solutions
Crown Business Finance specialises in SME loans with an option to avoid personal guarantees, concentrating on construction and related sectors. It is appropriate for firms seeking substantial finance with variable interest rates and familiar repayment structures. Lending access includes a broad lender network for flexibility.
Loan Details
- Min Amount: £5,000
- Max Amount: £10,000,000
- Min APR: 6%
- Max APR: 25%
- Loan Duration: 3–60 months ⌛
Services & Industries
- Finance Types: Business Loans, Asset Finance
- Industries: Construction, Technology
Pros
- Quick application process
- Wide lender network
Pegasus Finance acts as a broker specialising in hire purchase and leasing products for small to medium businesses. It is apt for SMEs needing tailored finance solutions with flexible terms but does not lend directly. It focuses on competitive rates and simpler applications.
Loan Details
- Min Amount: £5,000
- Max Amount: £2,000,000
- Min APR: 4.5%
- Max APR: 14.9%
- Loan Duration: 12–60 months ⌛
Services & Industries
- Finance Types: Asset Finance, Business Loans
- Industries: Construction, Transport
Pros
- Competitive rates
- No long-form applications
Honey Asset Finance focuses on personalised asset finance for niche sectors such as construction and agriculture. It suits SMEs requiring specialised funding solutions with attention to individual business needs. Some details on loan amounts and repayment terms may vary or be undisclosed.
Loan Details
- Min Amount: £0
- Max Amount: £0
- Min APR: 4%
- Max APR: 5%
- Loan Duration: Unknown ⌛
Services & Industries
- Finance Types: Asset Finance, Invoice Finance
- Industries: Construction, Agriculture
Pros
- Specialized in niche markets
- Award-winning service
Cons
- Limited online information
Portman Finance Group delivers a broad array of asset finance and business loan options tailored to construction and manufacturing businesses. It suits clients needing a wide range of products and flexible terms supporting various financing needs. The group combines direct lending with brokered resources.
Loan Details
- Min Amount: £10,000
- Max Amount: £2,000,000
- Min APR: 6.9%
- Max APR: 0%
- Loan Duration: 3–72 months ⌛
Services & Industries
- Finance Types: Asset Finance, Business Loans
- Industries: Construction, Manufacturing
Pros
- Wide range of financial products
- Established financial institution
Cons
- APR can vary significantly
ABC Finance Ltd specialises in secured and unsecured loans with a focus on asset finance for small businesses. It suits firms seeking clear lending terms and experienced brokerage support. Products include a balance of transparency and flexibility to meet diverse financing needs.
Loan Details
- Min Amount: £5,000
- Max Amount: £750,000
- Min APR: 5.5%
- Max APR: 12%
- Loan Duration: 3–72 months ⌛
Services & Industries
- Finance Types: Asset Finance, Business Loans
- Industries: Construction, Retail
Pros
- Transparent loan terms
- Experienced finance brokers
Cons
- Higher fees for unsecured options
How to choose
When choosing the best asset finance lender for the construction industry, consider your loan amount requirements and the APR offered. Evaluate eligibility criteria carefully and balance the speed of funding against the flexibility of loan terms. Look at whether the lender requires collateral and if the repayment options suit your cash flow and seasonal income. Consider whether a direct lender or broker best matches your needs in terms of access and customisation. Finally, review fees and early repayment conditions before committing.
Conclusion
Lenders vary between banks, brokers, and specialists, each suited to different use cases within construction asset finance. Banks typically offer secured loans with broad industry expertise, while brokers can provide access to multiple lenders and tailored terms. Specialists often serve niche sectors with more personalised service but may have less transparency. Funding Agent remains a strong choice for SMEs seeking quick comparison across options. Matching your specific needs to the right provider is key when borrowing for construction projects up to 200 thousand pounds loan amounts or more.
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