Can you finance a forklift?

Yes, forklifts are financed as a standard asset purchase, usually on hire purchase or a lease, with the machine itself acting as the security. UK prices typically run £8,000 to £80,000, and most deals are written over 12–60 months with a deposit of around 10–20%. Decisions typically take 24–48 hours. Used machines are financeable too, usually with a shorter term.

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Q: Can I finance a used forklift?

Yes. Most lenders will finance a used forklift up to around 8 years old, and rates for used trucks are typically 0.5 to 1% higher than for new equipment to reflect the shorter remaining service life. Electric and LPG counterbalance trucks tend to hold their value and financeability for longer than diesel where duty cycles have been light, but an inspection or valuation is usually required for anything towards the upper end of that age range, particularly if hours run are high. Buying through a forklift dealer rather than a private sale also tends to make the application move faster, since the dealer can provide service history alongside the invoice.

Q: What deposit do I need for forklift finance?

For hire purchase, most lenders ask for a 10 to 20% deposit, while finance lease and operating lease agreements are commonly available with no deposit at all. Putting down a larger deposit on a hire purchase reduces the monthly repayment and can help secure a better rate, which is worth considering on forklifts towards the top of the typical £8,000 to £80,000 price range. Businesses financing more than one truck at once, such as fitting out a new warehouse, sometimes find it more efficient to negotiate the deposit across the whole order rather than per individual forklift.

Q: How quickly can I get forklift finance?

Most forklift finance applications are approved within 24 to 48 hours once the supplier quote and basic business details are submitted. For straightforward deals under £30,000, same-day approval is common, particularly for an established business buying a single standard counterbalance truck. Orders covering multiple units, such as a mixed fleet for a distribution centre, typically take 3 to 5 working days, since the lender is reviewing a larger facility and may want each truck itemised on the supplier invoice. Having your accounts and the full equipment specification ready before applying tends to be the biggest factor in keeping the process quick.

Q: Do I need to have been trading for a minimum period to get forklift finance?

Most lenders look for at least 2 years of trading history to offer standard rates and terms on forklift finance. A newer business can still get approved, but may be asked for a personal guarantee from a director, a larger deposit, or a shorter term to offset the lender's risk. A poor credit history doesn't automatically rule a business out either, since some lenders specialise in this area, though the rate offered is usually higher and the deposit larger than for an established business with a clean record. Being upfront about trading length and credit history when applying tends to get you a quicker, more accurate quote.

Q: Can delivery and installation be included in forklift finance?

Yes. Delivery, and any charging point or racking work needed to get an electric or LPG forklift operational, can usually be included in the finance amount provided it is itemised on the supplier's invoice alongside the truck itself. This is worth doing rather than paying installation costs separately, since it keeps the whole project cost within one facility and one repayment schedule. It's particularly relevant for electric counterbalance trucks, where charging infrastructure can add a meaningful amount to the total cost of getting the forklift into use, so it helps to agree this with your supplier before the finance amount is confirmed.

Q: What happens if I sell the business or part-exchange the forklift during the agreement?

The forklift remains the lender's asset until a hire purchase agreement is settled in full or a lease reaches its end, so it cannot simply be sold or part-exchanged without the lender's involvement. If you want to upgrade or part-exchange partway through an agreement, the usual route is to settle the outstanding finance, often using the part-exchange or trade sale value towards that, before the new forklift is financed separately. If the business itself is being sold, the finance agreement typically needs to be settled or, in some cases, transferred with the lender's agreement, so it's worth contacting your lender early in either situation rather than after a sale is agreed.

Typical Cost

£8k – £80k

Approval Speed

24–48 hours

Same-day for < £30k

Rates From

5.0% APR

What would a forklift cost per month?

Forklift price (ex VAT) £25,000

Deposit 10%

Agreement term 60 months

Annual interest rate 9%

Balloon payment £0

Your estimate

Indicative only. Not a quote and not an offer of finance.

Pre-filled with a typical forklift price. Indicative only, not a quote.

Finance options

Hire Purchase (HP)

Rate: From 5.5% APR
Term: 12–60 months
Deposit: 10–20%
Ownership: Yours at the end
Best for: Businesses wanting to own the forklift outright

Finance Lease

Rate: From 5.0% APR
Term: 12–60 months
Deposit: None required
Ownership: Return or buy (balloon payment)
Best for: Tax-efficient, claim 100% of payments against profit

Operating Lease

Rate: From 5.8% APR
Term: 24–48 months
Deposit: None required
Ownership: Return at end
Best for: Includes maintenance options. Off balance sheet.

Representative example

On a purchase price of £25,000: a 10% deposit of £2,500, then 48 monthly payments of £527 at 5.9% APR representative (fixed). Total amount payable £27,796, including the deposit. The rate you are offered depends on your business and the asset.

What buyers actually specify

Guide prices for sizing a finance agreement, not quotes. Manufacturers in this market mostly price on application, so where a current UK list price could not be confirmed the row describes a specification class rather than naming a model. Your supplier quote is what the agreement is written against.

Machine or specification	Guide price	Type
Toyota Tonero 2.5t	£22,000 – £32,000	Counterbalance Forklift
Linde H30D	£28,000 – £40,000	Diesel Counterbalance
Jungheinrich EFG 220	£25,000 – £38,000	Electric Counterbalance
Hyster H3.0FT	£24,000 – £35,000	LPG Counterbalance

Tax benefits

Forklifts qualify for Annual Investment Allowance (AIA), letting you deduct the full purchase cost from taxable profits in year one, up to £1,000,000. HP agreements allow capital allowances. Lease payments are typically fully deductible from profits as a business expense.

Market context

Forklifts are bought by warehouses, manufacturers, builders' merchants and distribution centres, covering a single counterbalance truck for a small warehouse to a mixed fleet for a large distribution operation. Finance suits most buyers because a forklift is a working tool rather than an investment, and a lease or hire agreement, often bundled with servicing, keeps the truck available without tying up capital better used on stock or premises. Replacement is generally driven by hours run and rising maintenance costs on an ageing unit rather than age itself, with busier sites cycling trucks faster. A deep, well-established used market keeps residual values predictable.

Bad credit?

Several of our 200+ lenders specialise in businesses with imperfect credit histories. You may need a larger deposit or personal guarantee, but options exist. Checking your options here does not affect your credit score, because we do not run a credit search to match you. A lender will run their own checks only if you decide to apply.

Frequently asked questions

Can I finance a used forklift?

Yes. Most lenders will finance a used forklift up to around 8 years old, and rates for used trucks are typically 0.5 to 1% higher than for new equipment to reflect the shorter remaining service life. Electric and LPG counterbalance trucks tend to hold their value and financeability for longer than diesel where duty cycles have been light, but an inspection or valuation is usually required for anything towards the upper end of that age range, particularly if hours run are high. Buying through a forklift dealer rather than a private sale also tends to make the application move faster, since the dealer can provide service history alongside the invoice.

What deposit do I need for forklift finance?

For hire purchase, most lenders ask for a 10 to 20% deposit, while finance lease and operating lease agreements are commonly available with no deposit at all. Putting down a larger deposit on a hire purchase reduces the monthly repayment and can help secure a better rate, which is worth considering on forklifts towards the top of the typical £8,000 to £80,000 price range. Businesses financing more than one truck at once, such as fitting out a new warehouse, sometimes find it more efficient to negotiate the deposit across the whole order rather than per individual forklift.

How quickly can I get forklift finance?

Most forklift finance applications are approved within 24 to 48 hours once the supplier quote and basic business details are submitted. For straightforward deals under £30,000, same-day approval is common, particularly for an established business buying a single standard counterbalance truck. Orders covering multiple units, such as a mixed fleet for a distribution centre, typically take 3 to 5 working days, since the lender is reviewing a larger facility and may want each truck itemised on the supplier invoice. Having your accounts and the full equipment specification ready before applying tends to be the biggest factor in keeping the process quick.

Do I need to have been trading for a minimum period to get forklift finance?

Most lenders look for at least 2 years of trading history to offer standard rates and terms on forklift finance. A newer business can still get approved, but may be asked for a personal guarantee from a director, a larger deposit, or a shorter term to offset the lender's risk. A poor credit history doesn't automatically rule a business out either, since some lenders specialise in this area, though the rate offered is usually higher and the deposit larger than for an established business with a clean record. Being upfront about trading length and credit history when applying tends to get you a quicker, more accurate quote.

Can delivery and installation be included in forklift finance?

Yes. Delivery, and any charging point or racking work needed to get an electric or LPG forklift operational, can usually be included in the finance amount provided it is itemised on the supplier's invoice alongside the truck itself. This is worth doing rather than paying installation costs separately, since it keeps the whole project cost within one facility and one repayment schedule. It's particularly relevant for electric counterbalance trucks, where charging infrastructure can add a meaningful amount to the total cost of getting the forklift into use, so it helps to agree this with your supplier before the finance amount is confirmed.

What happens if I sell the business or part-exchange the forklift during the agreement?

The forklift remains the lender's asset until a hire purchase agreement is settled in full or a lease reaches its end, so it cannot simply be sold or part-exchanged without the lender's involvement. If you want to upgrade or part-exchange partway through an agreement, the usual route is to settle the outstanding finance, often using the part-exchange or trade sale value towards that, before the new forklift is financed separately. If the business itself is being sold, the finance agreement typically needs to be settled or, in some cases, transferred with the lender's agreement, so it's worth contacting your lender early in either situation rather than after a sale is agreed.

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