Finance Assets arranges hire purchase and leasing for UK farms, contractors and plant hire companies buying new or used telehandlers, from compact farm machines to high-reach and rotating models.
Telehandler finance spreads the cost of a telescopic handler over 2 to 5 years, so a farm, builder or hire fleet can add a machine without tying up working capital. We are a broker, not a lender, so we compare quotes from our lender panel rather than offering one bank’s product.
Written by Marcus Wright, founder of Bolton Business Finance Ltd, in financial services since 2008 and a commercial finance broker since 2019. Last reviewed October 2026.
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The short version
- Telehandler finance lets a business spread the cost of a telescopic handler over 2 to 5 years.
- With hire purchase, the business owns the telehandler after the final payment.
- Farms can often arrange seasonal or annual payments that match when income comes in.
- Telehandlers from the main manufacturers hold their value well, so used machines are widely funded.
- Finance Assets arranges telehandler finance for limited companies and LLPs, and for sole traders and partnerships on agreements over £25,000.
| Item | Detail |
|---|---|
| Equipment covered | Agricultural telehandlers, construction telehandlers, compact and low-height models, high-reach and heavy-lift machines, rotating telehandlers and attachments |
| Terms | Usually 2 to 5 years |
| Paid upfront | Hire purchase: often a 10% deposit plus VAT. Leases: usually 1 to 3 rentals in advance |
| New or used | Both. Used telehandlers from established manufacturers are widely funded |
| Payment profiles | Monthly, quarterly, seasonal or annual, depending on the lender and your income pattern |
| Who we help | Limited companies and LLPs, plus sole traders and partnerships on business agreements over £25,000 |
Telehandlers we finance
Lenders will fund most telescopic handlers used in a business, whether bought from a main dealer, an independent dealer or at auction with a proper inspection.
| Machine type | Typical use |
|---|---|
| Agricultural telehandlers | Loading feed and bales, handling grain, clearing muck and stacking in sheds |
| Construction telehandlers | Lifting bricks, blocks, roof materials and pallets onto scaffolds and upper floors |
| Compact and low-height models | Working in low buildings, livestock sheds, yards and tight sites |
| High-reach and heavy-lift | Larger sites, steel erection, cladding and roofing at height |
| Rotating telehandlers | Combining the jobs of a telehandler, small crane and access platform on one machine |
| Attachments | Buckets, pallet forks, muck and silage grabs, bale handlers, jibs, winches and approved work platforms |
We regularly see machines from manufacturers such as JCB, Manitou, Merlo, CAT, Bobcat, Claas, New Holland, Kramer, Dieci and Genie. If you also need forklifts for a yard or warehouse, see our forklift truck finance guide.
Telehandlers for farms
On many livestock and arable farms the telehandler is the most used machine on the holding, so it is often the first piece of kit a farm finances or replaces.
- Seasonal payments. Several lenders will set payments around when your income arrives, such as after harvest, lamb sales or a quarterly profile, rather than equal monthly amounts.
- Part exchange. An existing telehandler often has strong trade-in value, which can cover the deposit on the new machine.
- Attachments and spec. Buckets, grabs, bale handlers and options such as a pick-up hitch or road lights can be funded with the machine.
- Farm accounts. Lenders understand that farm profits vary with prices and the weather, and look at several years of trading rather than one result.
For other equipment on a livestock farm, see our guide to asset finance for dairy farming.
Telehandlers for construction and plant hire
Builders, groundworkers, roofers and civil engineering contractors buy telehandlers to stop paying hire rates on a machine they use every week. Plant hire companies buy them to rent out, and are some of the largest users of telehandler finance.
- Owning versus hiring. If you hire a telehandler for most of the year, the finance payment on your own machine is often lower than the hire bill. Lenders are comfortable with this reasoning when you can show your hire costs.
- Plant hire fleets. Lenders look at utilisation, hire rates and how you manage the fleet. Several machines can be funded together, and a fleet can be refreshed on a rolling basis.
- Rotating telehandlers. These cost more but can replace a small crane and an access platform. Lenders fund them, although the resale market is narrower than for a standard machine.
- Thorough examinations. Telehandlers need a LOLER thorough examination at least every 12 months, or every 6 months when fitted with a platform for lifting people. Keeping these records up to date protects resale value.
For the wider picture on site plant, see asset finance for civil engineering and asset finance for concrete and aggregates suppliers.
What lenders look at on telehandler finance
- Make and model. Telehandlers from the main manufacturers have an active second-hand market, which helps the lender and can support a lower deposit.
- Age and hours. On a used machine, lenders look at the year and the hour meter. They cap the machine’s age at the end of the agreement, so an older telehandler may get a shorter term.
- Where you buy it. Dealer sales are the simplest to fund. Private and auction purchases are possible but usually need an inspection and proof of ownership.
- How the business earns. Lenders want to see how the machine fits your income, whether that is milk and livestock sales, a building contract or hire revenue.
Hire purchase, finance lease and operating lease compared
Hire purchase suits a telehandler you will keep for years. A lease suits you better if you want to spread the VAT or replace machines on a set cycle. Our types of asset finance guide covers each option in more depth.
| Option | How it works | Best for |
|---|---|---|
| Hire purchase | You pay a deposit and fixed payments, and own the telehandler after the final payment and any option fee | Farms and contractors keeping a machine for many years |
| Finance lease | You rent the telehandler for most of its working life. At the end you extend at a low rent, or sell it for the lender and keep most of the proceeds | Businesses that want to spread the VAT and keep upfront costs low |
| Operating lease | You rent the telehandler for part of its life, then hand it back or upgrade. The lender takes the resale risk | Fleets that replace machines every 2 to 4 years |
Hire purchase for telehandlers
Hire purchase is the most common way to finance a telehandler. You pay a deposit, usually 10% plus the VAT, or use a part exchange, then fixed payments. Ownership passes to you after the final payment and a small option-to-purchase fee. As the owner for tax purposes, the business may be able to claim capital allowances on the machine.
Finance lease for telehandlers
A finance lease keeps the upfront cost to a few rentals, and VAT is spread across the rentals rather than paid at the start. The lender owns the telehandler throughout. At the end of the main term you can keep using it for a low secondary rent, or sell it on the lender’s behalf and receive most of the sale proceeds.
Operating lease for telehandlers
An operating lease sets the rentals against what the telehandler is expected to be worth at the end of the term, so the lender carries the resale risk. Because telehandlers keep their value well, operating leases are widely available on new machines, usually with an agreed annual hours limit. At the end you hand the machine back, extend the lease or upgrade. Excess hours or damage may be charged.
Telehandler finance costs: a worked example
A £95,000 new telehandler with a bucket and pallet forks costs about £2,128 a month on a 4-year hire purchase, or about £1,775 a month over 5 years.
| Item | 4 years | 5 years |
|---|---|---|
| Price (excl. VAT) | £95,000 | £95,000 |
| Deposit (10%) | £9,500 | £9,500 |
| VAT paid upfront | £19,000 | £19,000 |
| Monthly payment | £2,127.67 | £1,774.84 |
| Total interest | £16,628 | £20,990 |
The longer term lowers the monthly payment by about £353 but adds around £4,362 of interest. A part exchange can replace the cash deposit, and many lenders will also defer the VAT for a few months.
Illustration calculated in October 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 equipment.
VAT and tax on telehandler finance
| Option | VAT | Usual tax treatment |
|---|---|---|
| Hire purchase | Paid on the full price at the start, reclaimable if you are VAT registered | You may be able to claim capital allowances, such as the Annual Investment Allowance, and the interest is deductible |
| Finance lease | Added to each rental | Rentals are usually deductible |
| Operating lease | Added to each rental | Rentals are usually deductible |
Tax depends on your circumstances, so check the treatment with your accountant.
What lenders ask for
Most telehandler finance applications need the following.
- Your last 2 years of filed accounts, or management accounts and a forecast if you are newer
- Your last 3 to 6 months of business bank statements
- A quote or invoice from the seller, showing the make, model, serial number, year and hours if used
- Details of any part exchange and any finance still owed on it
- Photo ID and address history for each director, member or partner
- Details of any existing finance agreements
Related guides
Who we can help
We arrange telehandler finance for UK limited companies and LLPs, and for sole traders and partnerships on agreements over £25,000 that are for business purposes. We are not authorised by the FCA, so we cannot arrange agreements of £25,000 or less for sole traders or partnerships of two or three partners, or finance for personal use.
Telehandler finance FAQs
Can I finance a used telehandler?
Yes. Used telehandlers from the main manufacturers are widely funded, especially through dealers. Lenders look at the year and hours, and cap the machine’s age at the end of the agreement, so an older telehandler may get a shorter term. Private and auction purchases are possible with an inspection and proof of ownership.
How much does it cost to finance a telehandler?
It depends on the machine, the term and your business. As an illustration, a £95,000 telehandler costs about £2,128 a month over 4 years on hire purchase at 9%, after a 10% deposit and the VAT paid upfront, or about £1,775 a month over 5 years.
Can farm telehandler payments be made seasonally?
Often, yes. Several lenders offer quarterly, half-yearly or annual payments, or profiles with lower payments in quiet months, so the cost lines up with when the farm is paid. The total cost may be slightly different from equal monthly payments.
Can I use my old telehandler as a deposit?
Usually, yes. The trade-in value of your existing machine can be used as the deposit. If there is still finance owed on it, the dealer settles that first and the remaining equity goes towards the new machine.
Is it cheaper to buy or hire a telehandler?
If you need a telehandler for most of the year, financing your own machine is often cheaper than ongoing hire, and you own it at the end of a hire purchase agreement. For occasional use, hiring is usually better. Compare your annual hire bill against the finance payment, insurance, servicing and examinations.
Can a plant hire company finance a fleet of telehandlers?
Yes. Lenders regularly fund telehandler fleets for hire companies, either machine by machine or through a facility that lets you add machines as you grow. They look at utilisation, hire rates and how long you keep machines before selling them.
Get a telehandler finance quote
Tell us what you want to finance
Send us the machine, the price 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.