The Challenge for New Farmers
Most mainstream lenders require at least 2–3 years of trading history before they will consider an asset finance application. This leaves many new farmers and agricultural start-ups in a difficult position when they most need equipment access.
However, specialist lenders on our panel - particularly Aldermore - are specifically designed to help businesses that do not yet have an established trading track record.
Lenders Accepting Start-Up Farms
| Lender | Min trading history | Deposit required | Notes |
|---|---|---|---|
| Aldermore | 0 months (start-up) | 20–25% | Business plan & personal statement required |
| Shawbrook | 6–12 months | 15–20% | Some income evidence required |
| Close Brothers | 12 months | 10–15% | Case by case for under 2 years |
| Black Horse | 36 months | 10% | Established farms only |
| Lombard | 36 months | 10% | Established farms only |
| BNP Paribas Leasing | 24–36 months | 10% | Established businesses only |
Strengthening Your Application as a New Farmer
Business plan
A credible business plan showing projected income, expenditure and break-even is essential for start-up applications. Include BPS/SFI payment entitlements where applicable.
Larger deposit
A 20–25% deposit significantly reduces lender risk on a start-up application and is often the difference between approval and decline.
Personal credit
For a new business with no trading history, lenders place heavy weight on the personal credit history of the directors or sole trader. Clean personal credit is very helpful.
Grant funding
Evidence of Countryside Stewardship, SFI or other grant funding demonstrates income certainty and is viewed positively by lenders assessing a new farming business.
Young Farmer Schemes
Some lenders and manufacturer captive finance arms offer specific Young Farmer or Next Generation schemes with preferential rates or reduced deposit requirements. These are typically available through specific manufacturers (John Deere Financial, CNH Capital) rather than the open market.
An independent broker can identify whether any manufacturer promotional offers are available alongside open-market options, giving you the full picture before you commit.