Haulage finance that keeps your fleet moving

In haulage, cash goes out daily and comes in monthly, so most haulage finance exists to cover the gap between running the trucks and being paid for the loads. The bigger the fleet and the longer the customer terms, the wider that gap becomes.

Fuel is usually the largest variable cost, and its price can move sharply within weeks. Some contracts include a fuel surcharge to share that risk. Where yours do not, a rise in diesel prices comes straight out of your margin.

Invoicing adds delay. Many customers will not accept an invoice until a signed proof of delivery (POD) has been supplied, and some only pay on a set day each month, so a missing POD can push payment into the next run.

• Tractor units, rigids and trailers: business hire purchase lets you own the vehicle at the end. Some agreements include a final balloon payment to lower the monthly cost.
• Vans and light commercials: vehicle and fleet finance covers single vehicles and whole fleets, including leasing options.
• Value in owned trucks: asset refinance can raise cash against vehicles you own outright or have paid down.
• Waiting on 30 to 90-day terms: invoice factoring includes credit control, which can help operators without a dedicated accounts team. Invoice discounting leaves collections with you and usually suits larger, well-run ledgers.
• Fuel spikes, repairs and new contract costs: working capital loans give a lump sum repaid over an agreed term.

Illustrative example only: actual costs depend on the lender and your circumstances. A haulage company raises £50,000 of invoices in a month on 60-day terms. If its invoice finance provider advances 85%, it could receive £42,500 soon after raising the invoices, with the remaining £7,500, less the provider's charges, paid when customers settle.

Lenders want evidence that the fleet is well run and that customers pay reliably. A clean compliance record can make a real difference to how they view the risk.

• Your operator licence: its type, the number of authorised vehicles and any history with the traffic commissioner
• Fleet age, mileage and condition, and how vehicles are maintained
• Existing finance agreements and when they end
• Customer spread, particularly if one customer provides a large share of turnover
• Whether invoices are backed by signed PODs and agreed rates
• Fuel and wage costs against revenue in your management accounts

• Filed accounts and recent management accounts
• Business bank statements, often for the last three to six months
• Operator licence details and a current fleet list
• Aged debtor and aged creditor reports
• For vehicle finance, a dealer quote or vehicle specification
• Key customer contracts or rate agreements

• Collect PODs promptly and invoice the same day. Lenders can usually only fund invoices that have been raised.
• Review fuel surcharge clauses whenever contracts renew.
• Stagger finance end dates so the whole fleet does not need replacing in the same year.
• Where you can, match the finance term on dedicated vehicles to the length of the contract they serve.
• Remember that a financed vehicle can be repossessed if payments are missed, so keep a buffer for quiet periods.

We are a commercial finance broker, not a lender. We help established limited companies, LLPs and partnerships of four or more partners in transport and logistics find suitable lenders on our panel.

Your dedicated relationship manager is a real person, available by phone, email and chat from your first enquiry until the lender pays out. They will help you compare vehicle and invoice finance options and gather what lenders need.

We charge you no fee. The lender pays us a commission when the finance completes, and you can ask how much it is. Commission can differ between lenders. Our eligibility check takes about 60 seconds and does not affect your credit score; lenders run their own credit checks later, if you choose to apply, and make their own decisions.

Can I finance second-hand HGVs and trailers?

Often, yes. Many lenders fund used tractor units and trailers, but older vehicles or high mileage may mean a shorter term or a larger deposit.

What if one customer provides most of our work?

Finance is still possible, but concentration makes lenders more cautious. Some invoice finance providers cap how much they will advance against a single customer.

Can we fund vehicles for a contract before it starts?

Sometimes. Lenders will usually want to see the contract or letter of award, your track record and how wages and running costs will be covered until the first invoices are paid.

Are haulage finance agreements regulated?

Finance for limited companies, LLPs and partnerships of four or more partners is generally unregulated, so Consumer Credit Act protections usually do not apply. Read the terms carefully, and see our guide to regulated vs unregulated business finance.