Trailer finance more capacity without buying another truck

How does trailer finance work?

Trailer finance lets your business spread the cost of a new or used trailer over fixed monthly payments, typically between two and seven years, with the trailer itself usually acting as security. You can fund a trailer on its own, add trailers to an existing fleet, or finance a tractor unit and trailers together.

Trailers are often the quickest way to add capacity. A haulier can run more trailers than tractor units to cut waiting time at loading bays, a groundworks firm can move its own plant rather than paying for low-loader hire, and an equestrian business can transport horses for clients. Because a well-built trailer often outlasts several tractor units, lenders are generally comfortable funding them over longer terms than many vehicles.

Most trailer finance is arranged on hire purchase, where you own the trailer after the final payment, or on a finance lease, where you rent it for an agreed period. We're a broker, so we compare lenders on our panel and match the trailer, its age and your business profile to the ones most likely to suit. Some lenders specialise in transport and are comfortable with older trailers, refurbished units and owner-drivers building a fleet.

If you're also funding a tractor unit or rigid, see our HGV and truck finance page, and our haulage and logistics finance page covers the wider funding picture for transport operators.

Key features

What businesses use it for

• Extra curtainsiders for a growing haulage contract
• Refrigerated trailers for chilled or frozen loads
• Tipper and bulk trailers for aggregates
• Plant and beavertail trailers for groundworks
• Low-loaders for heavy machinery moves
• Horseboxes and horse trailers for equestrian businesses

Car-towed trailers vs heavy trailers: what lenders and regulators look at

Licences, plating and testing

GOV.UK says drivers who passed their car test from 1 January 1997 can now tow a trailer up to 3,500kg maximum authorised mass (MAM), within the limits of the towing vehicle, and those who passed before 1997 can usually drive combinations up to 8,250kg MAM. Heavier combinations need a further entitlement such as C1+E. Your vehicle's gross train weight must not be exceeded.

Semi-trailers, horseboxes over 3,500kg and trailers with an unladen weight above 1,020kg and powered braking systems need an annual test, and GOV.UK says trailers must usually be tested one year after they were first sold or supplied. A goods vehicle operator's licence is normally needed where the plated weights of a vehicle and trailer combination total more than 3,500kg, though there are exemptions, including for trailers under 1,020kg unladen carrying only your own goods. Lenders will often ask to see your O-licence for heavier trailers, so it's worth getting this lined up early.

Horseboxes and horse trailers for business

We arrange finance for horseboxes and trailers used in a business, such as livery yards, transport services, competition yards and trainers. GOV.UK guidance says you'll usually need a goods vehicle operator's licence if you use a horsebox or horse trailer commercially with a combined gross plated weight over 3,500kg in the UK, even for short periods. Lenders will want to understand how the trailer earns money for the business, so a short summary of your work helps.

What lenders typically look at

• Trailer details or a dealer quote: make, type, year, axles and any fitted equipment
• Operator's licence details where the trailer will run in a heavy combination
• Business bank statements, typically the last three to six months
• Accounts or tax returns if trading more than a year or two
• Owner or director details for identity and credit checks
• Details of existing vehicle and trailer finance