What Equipment Qualifies?
Automated Storage & Retrieval
Vertical lift modules, AS/RS cranes, AutoStore cube systems, miniload cranes. Typically £250,000–£2m+.
Conveyor & Sortation Systems
Belt conveyors, crossbelt sorters, tilt-tray sorters, pop-up transfer units. Typically £100,000–£1m+.
Goods-to-Person Robotics
AMRs (autonomous mobile robots), Locus, 6 River Systems, Geek+ fleets. Typically £200,000–£3m+.
Materials Handling Equipment
High-reach forklift fleets, VNA trucks, order pickers, reach trucks. Typically £50,000–£500k.
Lender Appetite for Warehouse Automation
| Lender | Max. Single Asset | Rate (p.a.) | Key Strength |
|---|---|---|---|
| Investec | £5m+ | 5.5–9.5% | Bespoke structuring, high-value deals |
| Lloyds Bank | £3m+ | 5.5–8.5% | Prime credit, large projects |
| HSBC | £3m+ | 5.0–8.0% | Lowest rates for qualifying businesses |
| Close Brothers | £2m | 6.5–11.0% | Speed, flexibility, SME appetite |
| Aldermore | £1m | 6.0–10.5% | Pragmatic underwriting |
| Shawbrook | £1m | 6.5–11.0% | Non-standard financials |
Worked Example: £500,000 ASRS System
Scenario: A 3PL operator finances a £500,000 AutoStore cube ASRS system. Finance lease over 7 years at 6.5% p.a. with 10% deposit.
| Parameter | Detail |
|---|---|
| Asset value | £500,000 |
| Deposit | £50,000 (10%) |
| Finance amount | £450,000 |
| Term | 7 years (84 months) |
| Rate | 6.5% p.a. (finance lease) |
| Monthly rental (est.) | ~£6,680 |
| Total rentals | ~£561,120 |
| Total cost of finance | ~£111,120 |
Illustrative only. Rates subject to credit assessment at the time of application.
Staged Drawdown for Phased Projects
Many warehouse automation projects are delivered in phases - racking first, then conveyors, then robotics. A staged drawdown facility commits the total lending but releases funds as each supplier invoice is presented and verified. This avoids paying interest on uncommitted funds and aligns cost with project delivery milestones.
DBF regularly structures phased automation finance for projects from £500,000 to £3m+. Contact us to discuss your project timeline.