Tractor & Farm Vehicle Finance
By Joshua Giles, Founder and Director · Reviewed by the CoreFi credit team
Last updated 20 July 2026
CoreFi is a broker, not a lender. We do not set rates and lenders make all credit decisions.
In short: Agricultural vehicle finance funds tractors, telehandlers and farm vehicles, with the repayment profile bent around the farming calendar rather than a flat monthly figure. It runs on hire purchase or lease, secured on the vehicle. Deals typically run from £10k to £500k over 2 to 7 years. We are a broker and place these for UK farming companies.
A tractor or telehandler can run to £100,000 or more, and the cash goes out long before harvest income arrives. That is the core problem agricultural vehicle finance is built to solve. You draw down the asset now, and the repayment profile bends around the farming calendar instead of a flat monthly standing order.
The product is hire purchase or lease in most cases. You own the asset at the end, it sits on your balance sheet, and you claim capital allowances. The lender takes a first charge over the vehicle. The part that differs from standard commercial vehicle finance is the payment structure. Lenders with genuine agricultural appetite will write a seasonal profile, so payments are heavier in autumn after harvest and lighter through planting and growing seasons. We have placed deals where Q1 and Q2 payments are reduced to near-zero, with the balance recovered across Q3 and Q4. Most high-street banks will not draft that without a fight.
New and used vehicles are both financeable. Residual values on good agricultural iron hold reasonably well, which is why lenders will go to 70 to 80 percent of invoice on used kit. A balloon at the end of the term reduces the monthly cost but means you either refinance or pay it out, so decide which you want before you structure the deal.
As a broker we cannot promise you a rate or an advance percentage. The lender sets that once they have seen the asset, the business accounts, and the VAT registration. What we can tell you is which lenders actually have appetite for agricultural vehicles right now, and which ones will slow the process down asking for arable plans they have no idea how to read.
Key Benefits
- Seasonal payment profiles: lenders with agricultural appetite will write lower payments during planting months and higher ones post-harvest, which a generic asset lender usually will not
- Used tractors and trailers are financeable: residual values on agricultural vehicles hold well enough that lenders will advance 70 to 80 percent on good used kit, not just new
- Balloon payments reduce the monthly commitment, but you need a clear plan for the balloon at term-end, whether that is refinance, trade-in, or cash
- ATVs, UTVs, telehandlers, and specialist farm vehicles all qualify, not just tractors, subject to minimum values typically around £5,000
Frequently Asked Questions
Can I get seasonal payments rather than a flat monthly amount?
Yes, and this is the main reason to use an agricultural-specialist lender rather than a generalist. We have placed deals with near-zero payments in Q1 and Q2, recovered across Q3 and Q4 once harvest income is in. The lender will want to see that the business income supports the heavier months, so having your last two years of accounts to hand speeds this up.
Are ATVs and UTVs included?
Yes. Quad bikes, all-terrain vehicles, and utility vehicles used in farming are eligible, subject to minimum value thresholds that are typically around £5,000. Below that figure most lenders will not process the paperwork, so very low-value vehicles are usually better bought outright.
What about road tax and insurance?
Insurance is a condition of the finance agreement and must be arranged separately. Some hire purchase agreements can roll in first-year road tax but that is not universal. Agricultural vehicle insurance is a niche, so get a quote from a specialist insurer before you sign the finance docs.
Can I part-exchange my existing vehicle?
Yes. The trade-in value reduces the amount financed, which cuts your monthly payment or lets you shorten the term. If the part-exchange is handled through the dealer they will usually net it off the invoice directly. If you are selling it privately, the lender just needs to see the proceeds go toward the deposit.
Related Funding Options
Asset Finance for Agricultural Businesses
Finance tractors, combine harvesters, irrigation systems & farm equipment with asset finance built around harvest cash flow. We place agricultural deals across the UK.
Unsecured Business Loans for Agricultural Businesses
No charge on your farmland. As a broker we place unsecured business loans from £5k to £200k for UK farms funding seasonal inputs, diversification, and working capital.
Bridging Loans for Agricultural Businesses
Bridging loans for UK farms buying land, funding barn conversions, or moving on diversification projects before a longer-term agricultural mortgage can be arranged.
Commercial Vehicle Finance UK
Commercial vehicle finance for UK businesses: HGVs, vans, trucks, tractors and plant vehicles funded through hire purchase, finance lease or contract hire. We place these deals across an asset-finance lender panel and tell you which structure fits.
Asset finance by location
Lender appetite varies by city and region. If you would rather start from where your business is based, these local guides cover the same funding with the local picture.
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Get matched with lendersCoreFi is a trading name of JG Core Ltd (Company #16218779, England & Wales). CoreFi acts as a commercial finance broker and does not provide regulated financial advice. All products described are unregulated business-to-business finance. Information on this page is for general guidance only and does not constitute a formal offer of finance. Terms, rates, and availability are subject to lender criteria and may change without notice.