Finance Assets arranges plastics machinery finance for UK limited companies buying blow moulding machines, extrusion lines, thermoformers, granulators and the auxiliary equipment that keeps them running.
Plastics machinery finance spreads the cost of processing equipment over 3 to 7 years, so a packaging, container, pipe or profile manufacturer can add capacity, replace an older energy-hungry machine or bring recycling in-house without a large cash outlay. We arrange hire purchase and leasing for new and used machinery from established European and Asian makers. For injection moulding, see our separate injection moulding machine finance guide.
Written by Marcus Wright, founder of Bolton Business Finance Ltd, in financial services since 2008 and a commercial finance broker since 2019. Last reviewed September 2026.
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The short version
- Plastics machinery finance spreads the cost of blow moulding, extrusion, thermoforming and recycling equipment over 3 to 7 years.
- Lenders fund extrusion lines as a whole, valuing the extruder and downstream kit rather than the product-specific die.
- Moulds and tools owned by your customer cannot be used as security, so they usually sit outside the agreement.
- Granulators, dryers, chillers and robots are usually funded alongside a main machine.
- Finance Assets arranges plastics machinery finance for UK limited companies and LLPs.
| Item | Detail |
|---|---|
| Machinery covered | Blow moulding machines, extrusion lines, thermoformers, granulators, shredders and auxiliary equipment |
| Deal sizes | From a granulator or chiller to a complete extrusion or blow moulding line |
| Terms | Usually 3 to 5 years on used machinery, and up to 7 years on new machinery from major makers |
| Paid upfront | Hire purchase: often a 10% deposit plus VAT. Leases: usually 1 to 3 rentals in advance |
| New or used | Both, from manufacturers, dealers and other processors, including imported machinery |
| Who we help | UK limited companies and LLPs |
Plastics machinery we finance
Lenders will fund most plastics processing equipment, provided it comes from an identifiable maker with service support in the UK.
| Machinery group | Examples |
|---|---|
| Blow moulding machines | Extrusion blow moulding for HDPE bottles, drums and containers, and stretch blow moulding for PET bottles, from makers such as Kautex, Bekum and Sidel |
| Extrusion lines | Single and twin-screw extruding machines for pipe, profile, sheet and film, with downstream haul-offs, cutters and winders, from makers such as KraussMaffei, battenfeld-cincinnati and Reifenhäuser |
| Thermoforming machines | Inline and sheet-fed thermoformers for food trays, blister packs and technical parts, from makers such as Illig and Kiefel |
| Granulators and recycling | Beside-the-press and central granulators, shredders, and washing and pelletising lines |
| Auxiliary equipment | Material dryers, loaders, blenders, chillers, mould temperature controllers and robots |
Lines, moulds and recycling
A few points about plastics machinery change how lenders look at it.
- Complete lines. Extrusion and blow moulding are usually bought as lines. Lenders fund the whole line, but value it mainly on the extruder, downstream equipment and controls, which can be resold, rather than on parts built for one product.
- Moulds, dies and tools. These are specific to one product and are often owned by the processor’s customer, so lenders cannot take them as security. They can sometimes be included in a package if you own them and the main machine makes up most of the cost.
- Used and imported machinery. Used machines from major makers are widely funded, after lenders check the age, hours and service history. Machines imported from overseas makers can be funded when there is a UK agent or service partner.
- Recycling equipment. The Plastic Packaging Tax applies to plastic packaging made in or imported into the UK with less than 30% recycled plastic. It has pushed many processors to invest in granulators and recycling lines, and lenders fund these alongside or separately from the main machines.
Finance options for plastics machinery
Most processors buy plastics machinery on hire purchase, as the machines run for many years. Our types of asset finance guide covers each option in more depth.
| Type | How it works | Suits |
|---|---|---|
| Hire purchase | A deposit, then fixed monthly payments. You own the machinery after the last one | Lines and machines you will run for their full working life |
| Finance lease | Rentals with VAT added to each one. The lender owns the machinery | Spreading the VAT on a complete line with auxiliaries |
| Operating lease | Lower rentals set around the machinery’s expected resale value. Hand back at the end | Machines needed for a fixed-length supply contract |
| Type | VAT | Tax treatment |
|---|---|---|
| Hire purchase | VAT on the full price is paid at the start, and a VAT-registered company usually reclaims it on its next return | The company is treated as the owner, so it may be able to claim capital allowances, such as full expensing or the annual investment allowance on new machinery |
| Finance lease | VAT is added to each rental and reclaimed as normal | Rentals are usually deductible as a business expense |
| Operating lease | VAT is added to each rental | Rentals are usually deductible, and the lender claims the capital allowances |
Your accountant can confirm how each option works for your company’s tax position.
Hire purchase for blow moulding, extrusion and thermoforming machines
Hire purchase for blow moulding, extrusion and thermoforming machines suits a processor that will run the equipment for many years. You pay a deposit, often around 10% plus the VAT, then fixed monthly payments, and the machinery becomes yours after the final payment and a small option fee. A balloon can lower the monthly cost on newer machines from major makers, which hold their value well.
Finance lease for plastics machinery
A finance lease for plastics machinery spreads the VAT across the rentals, which helps when a line comes with granulators, dryers, chillers and robots. The lender owns the equipment, and at the end you can usually carry on at a small secondary rental, or sell it for the lender and keep most of the proceeds.
Operating lease for plastics machinery
An operating lease for plastics machinery suits a processor that needs a machine for a fixed-length supply contract. The rentals are set around what the machine should be worth at the end, so they are lower than a finance lease, and you hand it back when the lease ends. It works best with well-known makers whose used machines sell readily.
Plastics machinery finance costs: a worked example
A new extrusion blow moulding machine for HDPE containers at £320,000, including a chiller, granulator and installation, costs about £5,978 a month on a 5-year hire purchase, or about £5,130 a month with a 20% balloon.
| Item | Standard | With 20% balloon |
|---|---|---|
| Price (excl. VAT) | £320,000 | £320,000 |
| Deposit (10%) | £32,000 | £32,000 |
| VAT paid upfront | £64,000 | £64,000 |
| Monthly payment (60 months) | £5,978.41 | £5,129.87 |
| Final balloon payment | None | £64,000 |
| Total interest | £70,704 | £83,792 |
The balloon lowers the monthly payment by about £849 but adds around £13,088 of interest.
Illustration calculated in September 2026, assuming an interest rate of 9% a year. It is not a quote. Your rate depends on your trading history, credit profile and the machinery.
What lenders look for in plastics machinery finance applications
Lenders look at the usual financial documents, plus a clear quote and the work the machinery will do.
- Accounts and bank statements. The last two years of filed accounts, recent management accounts and three to six months of business bank statements.
- Supplier quote. An itemised quote showing the main machine, downstream and auxiliary equipment, any moulds or dies, and installation separately.
- Customers and contracts. Your main customers and supply contracts. Packaging processors often rely on a few large customers, so lenders look at how much of your work each one gives you.
- Director history. Lenders check the directors’ credit records and may ask for personal guarantees on newer companies or larger lines.
Related guides
Who we can help
We arrange plastics machinery finance for UK limited companies and LLPs. We are not authorised by the FCA, so we cannot arrange agreements of £25,000 or less for sole traders or small partnerships, or finance for personal use.
Plastics machinery finance FAQs
Can I finance a blow moulding machine?
Yes. Lenders fund new and used extrusion blow moulding machines for HDPE containers and stretch blow moulding machines for PET bottles. As an illustration, a £320,000 extrusion blow moulding line costs about £5,978 a month over 5 years on hire purchase at 9%, after a 10% deposit and the VAT paid upfront.
Can moulds and tooling be financed?
Sometimes. Moulds, dies and tools are specific to one product and are often owned by the processor’s customer, so lenders cannot take them as security. If you own them, they can sometimes be included in a package with a main machine, as long as the machine makes up most of the total cost.
Can I finance a complete extrusion line?
Yes. Lenders usually fund an extrusion line as a whole, including the extruder, die, calibration and cooling, haul-off, cutting and winding or stacking equipment. They value the line mainly on the extruder and downstream equipment, because the die is specific to your product.
Can I finance a used thermoforming machine?
Yes. Used thermoformers from established makers are widely funded, from dealers and other processors. Lenders look at the machine’s age, hours and service history, and whether parts and support are still available. Terms are often shorter on older machines.
Can granulators and auxiliaries go on the same agreement?
Usually, yes. Granulators, dryers, loaders, chillers and robots can normally go on the same agreement as a main machine, along with installation. They can also be funded on their own, although lenders prefer larger items or a bundle because of their lower individual value.
Can I raise cash against plastics machinery I already own?
Yes. Through a sale and hire purchase back, a lender buys machinery you own outright and sells it back to you over a fixed term, so it stays in production. The amount depends on the machinery’s value, age and maker. Processors use it to fund new equipment, recycling kit or working capital.
Get a plastics machinery finance quote
Tell us about the machinery
Send us the supplier quote and a few details about your business. We will come back with the options that are realistic and what they are likely to cost.
About the author
Marcus Wright is the owner and founder of Bolton Business Finance Ltd, which trades as Finance Assets. He has worked in financial services since 2008, beginning his career at Santander, and has been a commercial finance broker since March 2019.
He founded Bolton Business Finance in 2020 to give businesses access to the whole lending market rather than one bank’s own product range. The firm is a member of the National Association of Commercial Finance Brokers and works with a panel of 135+ lenders. Call 0161 546 9128.
Finance Assets is a trading name of Bolton Business Finance Ltd, an independent commercial finance brokerage, not a lender. We are not authorised by the Financial Conduct Authority and can only complete non-regulated introductions. All lending is for business purposes only. Registered address: Westgate House, 1 Westgate Avenue, Bolton, Greater Manchester, BL1 4RF. Company number 12495909.