Fit Out Finance | Shawbrook

What is fit out finance?

Fit out finance is designed to help you spread the cost of fit outs and refurbishments. At Shawbrook, we support this through CapEx Term Loans.

Instead of securing the loan on the business assets like a typical asset finance loan, we’ll lend based on the company’s ability to repay the loan. This can be a useful solution to support project spend associated with a fit out or refurb.

Because the loan isn’t secured on assets, we ask for a personal guarantee from individuals with 25% or more shareholding. We’ll also ask for evidence of how the funds are used.

Fit out finance at Shawbrook

We have combined the best of digital processes with human ingenuity, to be able to give you the quick lending decision you need to grow your business.

Fixed interest rate
Loans from £25k - £150k
Terms from 1 year to 5 years
£200 acceptance fee (payable together with the first loan repayment)
Fixed monthly repayments for the term of the loan
Overpayment and early repayments accepted subject to terms
Same day pay-outs*

*Once approved, if Loan Agreement and Personal Guarantee is provided by 12pm and pass our checks

What can fit out finance be used for?

If your business is looking to refresh its current facilities or expand and open new commercial premises to cater for growth, we can support fit out finance with a CapEx Term Loan.

This can be used for projects from £25k - £150k, including:

Healthcare facility fit out and refurbishments – including financing specialist diagnostic and therapeutic equipment, facility refurbishment and furniture, and green energy solutions.
Office space fit out and refurbishments – including installation of solar panels and charging points, furniture and fixings, or investments in IT and software licenses.
Construction site fit out and refurbishments – Sales & marketing and operations suites and capital equipment – including furniture and fittings, scaffolding for your own use, technology, software and specialist assets.

Broker? We’ve got you covered

If you're a new or existing Commercial Finance Broker, head to our dedicated site where you'll find everything you need on how we can work with you to grow your business.

Visit our dedicated broker site

We can support

We can support a broad range of projects. If you are not sure whether your project qualifies, take a look at your CapEx Term Loan Fact Sheet or get in touch with our team.

They won’t be able to provide financial advice but will be able to confirm if we can lend for those assets. Some of the projects we can consider are:

Fit outs or refurbishments of
Offices, warehouses, commercial buildings

Tangible assets
Furniture, equipment and bespoke or specialist assets

Technology
IT hardware, software licenses, installation costs, training fees etc.

Intangible costs
Architecture fees, consultancy (must be associated with an asset purchase)

Sustainability
Solar panels, charging points etc.

We’re unable to support:

Physical retail stores
Pubs, bars, clubs, restaurants
Scaffolding (unless exclusively for your own use)

How it works

Who can apply?

Your business needs to:

Be a Great Britain based incorporated business
Be a Limited Company or LLP
For loans up to £100k, have 3 years trading history and the last 2 years filed accounts
For loans over £100k, have 5 years trading history and the last 4 years filed accounts
Provide a personal guarantee from all individuals with 25% or more shareholding. For loans over £75k, at least one individual must be a homeowner

What you'll need to apply

ID
Details of all individuals with 25% or more shareholding, including date of birth and home address
Details of how the funds will be spent

Personal Guarantees

We’ll ask for a personal guarantee from individuals with 25% or more shareholding. If none have at least 25% we’ll ask for a personal guarantee from all shareholders.

What is a personal guarantee?

In the context of a loan, a Guarantee is a contract under which the person providing the guarantee to the lender promises to be responsible for the debt of the borrower.

The guarantor may, therefore, become personally liable for repaying that debt if the borrower defaults under the loan (e.g. if they default on their repayments or become insolvent).

Why does Shawbrook need a personal guarantee?

The provision of guarantees to support a loan can be a useful way for business owners to access finance if there are no business assets that can be used as security for the debt.

If the business defaults under the loan and they are unable to repay us, we will be able to make a demand under the guarantee and seek repayment from the guarantors. However, if a guarantor is unable to make payment, we may seek to recover the outstanding debt through the courts. If we obtain a court judgment against the guarantor, we may then be entitled to enforce against the guarantor’s assets to seek recovery of that judgment debt (e.g. a charging order on their home).

You should get independent legal advice before you proceed it is vital you understand both the advantages and disadvantages of agreeing to provide a personal guarantee and you should be fully informed and understand the terms you are agreeing to.

You may wish to consider alternative funding options which might not require a personal guarantee and instead are secured on business assets.

Ready to apply?

Submit an application

Why use finance for fit outs and refurbishments?

For businesses that rely heavily on office space or commercial buildings to deliver their products or services, growth relies on expanding operations or enhancing the capacity and productivity of existing space. The costs associated with fit outs and refurbishment projects can put significant strain on your day-to-day cashflow, and they often incur a variety of expenses across a broad range of suppliers.

Accessing finance may help you to speed up the delivery of your project and ease the pressure on your day-to-day cash flow by spreading the costs of these capital expenditure investments into single, fixed monthly repayments. That is great for helping you deliver on your vision, and for keeping cash in your business.

Help with Fit Out Finance

Below are some of the most common queries about fit out finance.

What are the repayment terms for fit out finance?

We can support refurbishments and fit outs with a CapEx Term Loan.
You can borrow between £25k - £150k over a period of 1 – 5 years. Repayments are made on a monthly basis with a fixed interest rate.

Are there any upfront costs associated with fit out finance?

There is a £200 acceptance fee (payable together with the first loan repayment), but there are no arrangement fees to pay.

Can I finance 100% of my fit out costs?

We don’t require you to fund a certain part of your fit out costs. So we may be able to lend you enough to cover the costs of your fit out.

Can I use fit out finance for equipment as well as property renovations?

We can support a broad range of projects. If you are not the sure whether your project qualifies, take a look at our Fact Sheet or get in touch with our team.

How much can I typically borrow with fit out finance?

Using a CapEx Term loan to support your fit out or refurbishment, you can borrow between £25k - £150k over a period of 1 – 5 years depending on your business’ circumstances.

Is fit out finance tax deductible?

The interest on your CapEx Term Loan may be tax deductible as it is a business loan, but you’ll need to check with your accountant to confirm your business’ circumstances.

Can fit out finance cover both small and large-scale projects?

Yes, CapEx Term Loans can be used to support a range of projects. You can borrow between £25k - £150k over a period of 1 – 5 years depending on your business’ circumstances.