Engineering Firms
Buying an engineering firm?
Precision work, loyal customers. A business lenders can understand.
An established engineering firm earns from skilled people, specialist equipment and long-standing customer relationships — often with repeat or contracted work. Specialist lenders value that combination of technical capability and dependable income. Generalist lenders can struggle to look beyond the workshop floor.
What lenders look at
Lenders focus on the customer base and how much work is repeat or contracted, how concentrated revenue is among the largest customers, gross margins, accreditations such as ISO 9001, and the value and condition of machinery such as CNC, fabrication and testing equipment.
Your background matters too. Engineering qualifications, industry experience or senior management roles reassure lenders, as does a plan to keep key engineers and customer relationships through the handover.
How we help
We are brokers, not lenders. We combine business loans, asset finance and commercial mortgages into a single funding structure, package the application and manage the process through to completion.
Where a deal suits it, we can look at government-backed lending schemes, which can support businesses with limited security.
Tell us about the business you've found.
01 — Who we help
Buyers of established engineering firms
First-time buyers
experienced engineers ready to own the business rather than run it for someone else.
Management buy-outs
a team buying the firm from its retiring founder.
Existing engineering businesses
adding capability, capacity or customers through acquisition.
Investors
acquiring a firm with a strong technical team in place.
02 — The opportunity
What kind of engineering firm?
We arrange finance for established engineering businesses across precision, mechanical, electrical, structural and building services engineering.
Precision engineering
CNC machining and specialist components for sectors such as aerospace, automotive and medical, often with long-term supply agreements.
Fabrication and steelwork
businesses with workshop facilities, equipment and repeat project work from contractors and manufacturers.
Maintenance and service contracts
recurring contracted income from servicing equipment or buildings gives lenders predictable cash flow.
Specialist and accredited firms
quality accreditations and approved-supplier status add value and protect the income.
Freehold premises
if the firm owns its workshop or unit, a commercial mortgage can fund the property alongside the business purchase.
Leasehold premises
a long, secure lease supports the deal. We know which lenders are comfortable with industrial leases.
03 — The transaction
What can be funded?
Business purchase and goodwill
Freehold workshop or unit
Leasehold premises
Machinery, tooling and equipment
Working capital
Not every element can be funded on every deal. We give you an honest view of what is achievable before you commit.
04 — The lender's view
What does a lender need to see?
Lenders need a professional application that shows the business is viable, the borrowing is affordable and the repayments are secure — including the customer contracts, the order pipeline and the people who deliver the work.
We build it around the iLendi Six™.
Read more05 — The funding
How much can you borrow?
The amount depends on the purchase price, the business's profits, your deposit, the value of the equipment and property included, and your experience.
For engineering firms, lenders look closely at contract terms, customer concentration, equipment valuations and how dependent the business is on a few key people.
We match the structure to the deal, not the other way round.
06 — The completion
Quietly arranged
Three chapters between you and the keys.
01
The Discovery
you tell us about the business; we tell you honestly what's fundable.
02
The Finance
we package the application and find the right lender.
03
The Completion
we stay with you through legal work to completion.
Common questions
Questions buyers ask us
What if the business depends on the current owner?+
Lenders will want to see a handover plan, such as the seller staying on for a period and key engineers committed to staying. We help present that clearly.
How much deposit is typical?+
It depends on how much of the price is property, equipment and goodwill. Firms with valuable machinery can sometimes be bought with a smaller deposit. We'll give you an honest figure at the first conversation.
Can the equipment help fund the purchase?+
Often, yes. Asset finance can be arranged against valuable machinery, reducing the amount needed from a business loan or your deposit.
How long does arranging finance take?+
Indicative terms can often follow within days of a complete application. Completion usually takes several weeks, depending on due diligence, valuations and legal work.
Are you a lender?+
No. iLendi Capital is a commercial finance broker. We arrange finance with lenders and don't lend ourselves.
Keep exploring
Related businesses we fund
Related businesses we fund.
Found your engineering firm?
Let's find the finance.
Begin your funding process
Start with a conversation.
Tell us what you want to buy and an experienced funding specialist will call you back same day to discuss how we can help.
Other ways to contact us
Send an email:enquiries@ilendicapital.co.ukCall us: +44 (0)20 3488 8126We'll open WhatsApp with: "Hello iLendi Capital — I'm looking at buying a business and would like to talk."