Direct answer
The short answer
A start-up may be considered for asset finance, but a new company has no automatic entitlement to approval. Prepare an exact supplier quote, your cash contribution, a business plan and a forecast showing how payments would be met. Providers decide whether they can assess a pre-trading business or one without filed accounts, and what evidence or security they require.
Key points
- Identify the exact asset, supplier, price, VAT, delivery and installation costs.
- Explain why the equipment is needed and how it fits the operating plan.
- Use a realistic cash-flow forecast that includes the finance payments and a weaker trading case.
- Keep an initial Bene enquiry separate from any later provider application and document request.
Worked example: project cost is not the same as the finance request
Suppose a new company plans equipment costing £60,000 before VAT, plus £4,000 delivery and installation, £2,000 training and £9,000 initial operating cash. Its planning budget is £75,000 before VAT and finance charges. If it can allocate £15,000 of confirmed cash, the remaining project gap is £60,000. That does not mean a provider will finance £60,000: it may accept only some costs, require a contribution against the equipment and exclude operating cash. Mark every item as confirmed, provisional or subject to provider assessment. These figures are hypothetical, not prices or available terms.
A deposit and a cash buffer serve different purposes
List the cash required at each date: supplier deposit, any finance contribution or advance rental, VAT and setup costs. Separately identify money needed to keep trading after delivery. Using the same £15,000 as both a deposit and a reserve counts it twice. Ask the provider for its actual initial payment; there is no deposit percentage that applies to every start-up.
What to send with the first provider document request
Prepare one consistent pack: itemised supplier quotation, short business plan, dated cash-flow forecast, evidence of confirmed contributions, ownership details and existing borrowing. Where there are no filed accounts, state that clearly and ask which alternative evidence the provider accepts. Send identity or financial records only through the verified route the recipient specifies. Bene does not need this document pack for the initial enquiry.
Define what start-up means in the enquiry
State whether the company has not started trading, has begun trading without filed accounts, or is an established operation using a newly incorporated entity. Those positions provide different evidence. The incorporation date alone does not establish whether finance will be available.
Prepare an itemised supplier quotation
Identify the asset by make, model, specification, serial or registration number where available. Show whether it is new or used, the price and VAT, supplier details, optional extras, delivery, installation, training, maintenance and the expected delivery date. A provider may not treat every project cost as financeable equipment.
Connect the equipment to the business plan
Explain what the asset will do, who will operate it, what demand supports the purchase and when it should begin contributing to trading. Relevant sector experience, licences, premises, insurance, contracts or customer evidence may help a provider understand the proposal, but they do not guarantee a decision.
Build the complete cash requirement
Record the proposed deposit or advance rental and its source, then list costs outside the equipment agreement such as premises work, stock, recruitment and early operating expenses. Do not assume that asset finance will cover every setup cost or that an unconfirmed grant, investment or sale is available cash.
Forecast payments under a weaker case
A cash-flow forecast should show when customer money is expected to enter the bank and when wages, suppliers, tax, rent and finance payments leave it. Test slower sales, delayed receipts or higher costs. A forecast is a planning tool and does not prove that the income will occur.
Expect business and personal checks to vary
A provider may ask for company and ownership details, business bank statements, available accounts or management information, identity evidence, credit information and details of existing commitments. Security or a personal guarantee may be requested depending on the agreement. The provider must explain its own requirements and terms.
Keep alternatives and timing visible
Compare delaying or reducing the purchase, supplier rental, cash purchase, grants where genuinely available, equity or another finance structure suited to non-asset costs. The asset's useful life should remain sensible against the agreement term, and the business should understand the consequences if it cannot maintain payments.
Common questions
Questions about this guide
Can a start-up apply without filed accounts?
Some providers may consider alternative evidence, but others require trading history. Explain whether the company is pre-trading or already operating and ask what forecast, bank or experience evidence that provider accepts. No filed accounts does not establish eligibility.
How much deposit does a start-up need?
There is no universal percentage. The contribution or advance rental depends on the provider, equipment, business and agreement. Confirm it in writing and budget VAT, setup costs and working cash separately.
Can a newly incorporated company get asset finance?
It may be able to explore it, but incorporation does not establish eligibility. Providers apply different criteria and may consider the asset, supplier, contribution, plan, experience, credit information and evidence supporting payment capacity.
Which documents might a provider request?
Examples include an itemised supplier quotation, business plan, cash-flow forecast, company and ownership details, bank statements, available accounts or management information, identity evidence and details of existing commitments. The exact list varies.
Does Bene Finance collect all of these documents in its initial enquiry?
No. Bene's initial enquiry collects the stated commercial requirement and essential business context. If a separate introduction is later authorised, an independent provider may request documents through its own process.
Primary sources
Sources reviewed for this guide
- What is asset finance?British Business Bank
- Leasing and hire purchase checklistBritish Business Bank
- Preparing for funding applicationsBusiness.gov.uk
- Getting your business ready for financeBritish Business Bank
- PERG 2.7: Activities — a broad outlineFinancial Conduct Authority
External sources provide general context and do not endorse Bene Finance or establish that a funding option is available.
This guide provides general information only and is not financial advice or a guarantee that finance will be available.