Finance Assets arranges hire purchase and leasing for UK joiners, kitchen and bedroom makers, shopfitters and furniture manufacturers buying CNC routers, panel saws, edgebanders, boring machines, sanders and dust extraction.
Woodworking machinery finance spreads the cost of new or used machines over 2 to 5 years, so a workshop can bring cutting, edging and machining in-house without a large cash outlay. 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
- Woodworking machinery finance spreads the cost over 2 to 5 years.
- With hire purchase, the business owns the machines after the final payment.
- Finance and operating leases keep upfront costs lower, but the machines stay with the lender.
- CNC routers, edgebanders and panel saws from established makers have an active used market, so used machines are widely funded.
- Finance Assets arranges this finance for limited companies and LLPs, and for sole traders and partnerships on agreements over £25,000.
| Item | Detail |
|---|---|
| Machinery covered | CNC routers and machining centres, panel saws, beam saws, edgebanders, boring and dowel insertion machines, sanders, moulders, planers and dust extraction |
| 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 machines from established makers and dealers are widely funded |
| Extra costs | Tooling, software, extraction ducting, delivery, installation and training can often be included |
| Who we help | Limited companies and LLPs, plus sole traders and partnerships on business agreements over £25,000 |
Woodworking machinery we finance
Lenders will fund most woodworking machinery used in a business, as long as it comes from an identifiable supplier on a clear quote.
| Machine type | Examples |
|---|---|
| Routing and machining | CNC nesting routers, 3-axis and 5-axis CNC machining centres, pod and rail routers, and stair and door machines |
| Panel cutting | Sliding table panel saws, vertical wall saws and computer-controlled beam saws |
| Edgebanding | Single-sided edgebanders with pre-milling, corner rounding and laser or hot air edging units |
| Boring and assembly | CNC panel boring machines, dowel insertion machines, hinge boring machines and case clamps |
| Sanding and finishing | Wide belt sanders, edge sanders, brush sanders and spray booths |
| Solid wood | Planers and thicknessers, four-sided moulders, spindle moulders, tenoners and band saws |
| Extraction and handling | Dust and chip extraction systems, filter units, briquetting presses and vacuum panel lifters |
We regularly see machines from makers such as SCM, Biesse, HOMAG, Felder, Holz-Her, Weinig, Altendorf and Morbidelli. If you make furniture at scale, our guide to asset finance for furniture manufacturing covers the wider factory. For metal boring mills and machining centres, see milling machine finance.
CNC routers and panel processing
Kitchen, bedroom and shopfitting firms that cut sheet material usually build their workshop around a CNC nesting router or beam saw, an edgebander and a boring machine. Moving from a manual panel saw to this set-up is one of the most common reasons workshops look for finance.
- Buying a cell together. A router, edgebander and boring machine from different suppliers can go on one agreement, with each machine listed on the schedule. This usually gives better terms than funding each one separately.
- Software and tooling. Design and nesting software, tool sets and labelling systems can normally be funded with the machine, usually up to a set share of the total.
- Extraction. A new router or edgebander often needs a bigger extraction system and new ducting. These can be included, and lenders treat them as part of the installation.
- Saving on bought-in work. If you currently pay a cutting service to cut and edge your panels, show the lender what that costs each month. It helps to show the finance payment replaces an existing cost.
Joinery and solid wood machines
Joiners making windows, doors, stairs and bespoke furniture tend to buy individual machines over time, often used, as work grows.
- Used machines. Planers, spindle moulders and wide belt sanders from established makers last for many years and hold their value, so lenders will fund older machines than they would for some other equipment.
- Smaller deals. A single sander or spindle moulder can fall below some lenders’ minimum deal size. Grouping two or three machines together usually opens up more lenders.
- Moulders and window lines. Four-sided moulders and window and door machining centres are high-value machines. Lenders look at your order book and the type of work behind them.
- Safety upgrades. Guarding, braked spindles and extraction upgrades needed to bring a used machine up to standard can usually be funded with it.
What lenders look at on woodworking machinery finance
- Maker and model. Machines from established makers have the widest resale market and support longer terms.
- Age and condition. On used machines, lenders look at the year built and service history. They cap the machine’s age at the end of the agreement, so an older machine may get a shorter term.
- Your customers. Kitchen and shopfitting firms often rely on house builders, main contractors or retail clients. Lenders look at your customer spread and how quickly you are paid.
- 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.
Hire purchase, finance lease and operating lease compared
Hire purchase suits machines you will keep for most of their working life. A lease suits you better if you want to spread the VAT or plan to upgrade. 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 monthly payments, and own the machine after the final payment and any option fee | Saws, sanders, moulders and routers you will keep for years |
| Finance lease | You rent the machine 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 | Larger panel processing cells where spreading the VAT helps cash flow |
| Operating lease | You rent the machine for part of its life, then hand it back or upgrade. Mostly available on new machines from major makers | CNC routers and edgebanders you expect to replace |
Hire purchase for woodworking machinery
Hire purchase is the usual choice. You pay a deposit, usually 10% plus the VAT, then fixed monthly payments, and 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 woodworking machinery
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 machine 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 woodworking machinery
An operating lease sets the rentals against what the machine is expected to be worth at the end of the term, so the lender carries the resale risk. It is most often available on new CNC routers, machining centres and edgebanders from major makers. At the end you hand the machine back, extend the lease or upgrade.
Woodworking machinery finance costs: a worked example
An £85,000 new CNC nesting router, with software, tooling and an extraction upgrade, costs about £1,904 a month on a 4-year hire purchase, or about £1,588 a month over 5 years.
| Item | 4 years | 5 years |
|---|---|---|
| Price (excl. VAT) | £85,000 | £85,000 |
| Deposit (10%) | £8,500 | £8,500 |
| VAT paid upfront | £17,000 | £17,000 |
| Monthly payment | £1,903.71 | £1,588.01 |
| Total interest | £14,878 | £18,781 |
The longer term lowers the monthly payment by about £316 but adds around £3,903 of interest. 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 woodworking machinery 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 woodworking machinery 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 from the supplier, showing the machine, its serial number and year if used, and any software, tooling, extraction and installation separately
- 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 woodworking machinery 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.
Woodworking machinery finance FAQs
Can I finance a used CNC router?
Yes. Used CNC routers and machining centres from established makers are widely funded, especially through dealers who inspect and recommission them. Lenders cap the machine’s age at the end of the agreement, so an older router may get a shorter term.
How much does it cost to finance a CNC router?
It depends on the machine, the term and your business. As an illustration, an £85,000 CNC nesting router with software, tooling and extraction costs about £1,904 a month over 4 years on hire purchase at 9%, after a 10% deposit and the VAT paid upfront, or about £1,588 a month over 5 years.
Can I finance a router, edgebander and boring machine together?
Usually, yes. Machines from different suppliers can go on one agreement, with each item listed on the schedule. Funding the whole cell together often gives better terms than financing each machine separately.
Can dust extraction be included in the finance?
Usually, yes. Extraction units, filters and ducting needed for the new machines can normally be funded alongside them, together with delivery, installation and training, up to a set share of the total.
Can a small joinery business get machinery finance?
Yes. Limited companies and LLPs of most sizes can apply. Sole traders and partnerships can use Finance Assets on business agreements over £25,000, so it can help to group machines together to reach that level.
Is it better to lease or buy woodworking machinery?
Hire purchase usually works out better for machines you will keep for many years, such as saws, planers and sanders, because you own them at the end and may be able to claim capital allowances. An operating lease can suit a CNC router or edgebander you expect to upgrade. Finance Assets compares both for each deal.
Get a woodworking machinery 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.