Independent ranking
Best UK business loans for manufacturing
Independent UK lender rankings from desk research, post-decline options included. FundBiz does not run a credit check. Typical decision times vary by product and lender and are stated in the ranking below.
Start here · What do you need?
Manufacturing is capex-heavy and order-led. Asset finance against plant and machinery dominates over unsecured term loans. Mainstream lenders that understand engineering / production cashflow win this segment. This FundBiz ranking assesses 4 UK lenders for "best uk business loans for manufacturing", weighting primarily on asset finance and refinance (35%), manufacturing sector underwriting (20%), eligibility breadth (15%) (see the full weighted criteria below). Scores are our own desk-research assessment built from the FCA Register, Companies House filings and each lender's published product criteria, not customer reviews and not paid placement. Lenders don't pay for inclusion or rankings. If you send an enquiry, we pass it to a business finance broker, who pays us a fixed fee; you pay nothing.
Source: FundBiz methodology. Editorial by Best Business Loans Ltd (16833937).
Want the sector overview, cash-flow shape and typical decline reasons instead? See manufacturing business finance →
Founder & Managing Director, Muswell Rose, FundBiz
Adam is the founder and managing director of Muswell Rose and a founder of Best Business Loans Ltd, the company behind FundBiz. His background runs through commercial finance, mortgages and fintech, including as managing director of an invoice finance business. He oversees FundBiz's guides and lender reviews.
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SME term loan, asset finance + commercial mortgage · £25k to £150k (business loans); up to £15m (commercial mortgages) · Money in days on business loans; longer for larger facilities
Asset finance + commercial mortgage stack for owner-occupied manufacturers.
Our assessment: Eligibility breadth: strong · Decision speed: average (money in days on business loans; longer for larger facilities).
Read full Allica Bank review → -
SME term loan + bridging · £1m to tens of millions · Typically funds within weeks (OakNorth's own wording)
Bespoke deals from £1m, including acquisition and capacity expansion.
Our assessment: Eligibility breadth: strong · Decision speed: average (typically funds within weeks (OakNorth's own wording)).
Read full OakNorth review → -
Term loan · £10k to £750k · As little as 5 minutes
Term loans for working capital alongside asset finance.
Our assessment: Eligibility breadth: top tier · Decision speed: strong (as little as 5 minutes).
Read full Funding Circle review → -
Flexi-loan / line of credit · £1k to £1m · Same day to 24 hours
Flexi-loan for raw-material cashflow gaps.
Our assessment: Eligibility breadth: strong · Decision speed: top tier (same day to 24 hours).
Read full iwoca review →
Side-by-side comparison
| Lender | Typical rate | Ticket | Decision | Best for |
|---|---|---|---|---|
| Allica Bank | Business loans 9.90% to 13.75% interest; other products quoted per deal | £25k to £150k (business loans); up to £15m (commercial mortgages) | Money in days on business loans; longer for larger facilities | Established Ltd companies with three or more years of filed accounts |
| OakNorth | Bespoke | £1m to tens of millions | Typically funds within weeks (OakNorth's own wording) | £1m+ tickets backed by clear acquisition, growth or property story |
| Funding Circle | From 6.9% per year | £10k to £750k | As little as 5 minutes | Established Ltds with a trading record and clean credit |
| iwoca | From 1.5% per 30 days | £1k to £1m | Same day to 24 hours | Working capital and cash-flow-gap files needing flexible draw-down |
Sources: each lender's own published product pages: Allica Bank · OakNorth · Funding Circle · iwoca. Figures change; confirm with the lender before you rely on one.
What is the best business loan for a UK manufacturer?
For plant, machinery and vehicles, asset finance from Allica Bank, Aldermore or specialist providers. For owner-occupied facilities, an Allica or Shawbrook commercial mortgage. For working capital across order cycles, an iwoca flexi-loan or Funding Circle term loan.
How does asset finance work for UK manufacturers?
Hire purchase: pay deposit, fixed monthly payments, own the asset at end of term. Lease: pay monthly, lender owns the asset. Both treat the asset as primary security, so credit and turnover hurdles are lower than unsecured term lending.
Can UK manufacturers refinance existing equipment to release cash?
Yes, via sale and leaseback. Lender buys the existing asset from you, leases it back. Frees up balance-sheet cash. Our asset-refinance guide names Time Finance and Aldermore for this, and Haydock Finance runs a refinance product for owned hard assets.
What turnover does a UK manufacturer need for £500k+ funding?
Lenders set their own turnover tests, and larger unsecured loans usually need several years of filed accounts. For asset-backed deals (asset finance, commercial mortgage), the asset carries more weight than turnover. OakNorth handles bespoke deals from £1m.
Are there grants for UK manufacturers in 2026?
Yes. Innovate UK funds R&D and process innovation. Made Smarter offers digital adoption grants for SME manufacturers in eligible regions. Local growth funds support capacity expansion in target sectors. Grants typically require matched private funding.
How we ranked these
We weight asset finance and refinance (35%), manufacturing sector underwriting (20%), eligibility breadth (15%), decision speed (15%), post-decline acceptance (15%). Rankings reflect our published editorial methodology, not any commercial arrangement. See our /methodology/ for the full basis.
Methodology weights
Weights specific to "Best UK business loans for manufacturing":
- Asset finance and refinance35%
- Manufacturing sector underwriting20%
- Eligibility breadth15%
- Decision speed15%
- Post-decline acceptance15%
Read the full methodology for how we score and rank the lenders we review.
Also considered
- Aldermore (asset finance)
- Time Finance
- Specialist manufacturing-equipment lenders
Not for
Sole-trade manufacturers without filed accounts; new-build manufacturers under 18 months.
Send an enquiry
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Send an enquiry →FundBiz is owned and operated by Best Business Loans Ltd, directed by Oliver Mackman. Editorial by Best Business Loans Ltd (16833937).