Garage, MOT & Repair Centre Loans


Get the wheels turning with business loans for garages & MOT centres.

All garage owners know the importance of steady cash flow. Whether it’s to ensure your staff are paid on time, or to buy car parts & spares, a steady cash flow is vital to the business as the complications of cash flow difficulties can be devastating BUT can be avoided – with the right business finance option funding.

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How can Smart Funding Solutions help your garage or MOT centre?

Smart Funding Solutions specialise in matching you with the right type of funding at competitive rates for your Garage business or MOT Centre, to help you focus less on your cash flow and more on the customer.
Regardless of the type of garage you run, we’ll find you a comfortable loan amount with affordable monthly payments.
Your total repayment will depend on the term you choose to take along with the interest rate and loan amount.

Want to find out more or apply?

Contact options:

Enquiry Form

What could I use the funding for?

Below are examples of how you could utilise any funding you apply with us:


Cash flow drives you to success

Cash flow is the engine at the heart of your business, when it’s suffering, needing repairs, or just a tune-up – Smart Funding Solutions could help you ensure it’s ticking over nicely and back to optimum performance. There are several ways to obtain garage financing, an unsecured business loan with a fixed monthly repayment to spread the costs or something more flexible like a revolving credit facility. The total amount you will repay will be dependant on the advance, interest rate and term.
Let us help you drive your business forward, apply online for a funding loan today with Smart Funding Solutions.

How we can help

As a credit broker, it’s our job to make sure you’re matched with your ideal finance provider and product, from short term loans to long term loans, asset finance, debt consolidation loans or a merchant cash advance. As a business, you might not have a perfect credit score, some businesses even had bad credit but we feel we have every solution to finance your garage. Poor credit loans will of course have a higher loan rates but we strive to make sure we find flexible repayments for the cash advance needed for your business.

If your aim is converting your garage, adding in new bays or updating your current site, then a renovation loan could be ideal. Garage conversion loans can be both short and long term, unsecured or secured. We find that even when we go down the secured route which can take a bit of time, it’s still quicker than bank loans and that’s even if you can get one. It’s important to weigh up all the financial decisions available to you as a business which is why it can be very beneficial to use an authorised and regulated commercial finance broker such as Smart Funding Solutions.

Unsecured loans are typically the quickest and easiest way to achieve funding but we can also go down the route of secured loans. Often know as a secured homeowner loan, the amount you’re offered will be down to the equity in your home.

Q & A

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Try a small funding loan for marketing purposes. You could use the funds to advertise your business locally, whether it be by running adverts on social media or paying for a small billboard or local radio advert to help bring in more enquiries and customers.

Funding from us could be used to help you through a difficult period and keep you afloat long enough to turn it around. Maybe you’re going through a period of growth and need extra help around the shop – funding from us could be the answer. Whether you’re going through a transition period or just need a little help, Smart Funding Solutions could assist you.

Is your diagnostic equipment not keeping up with newer vehicle technology and could do with an upgrade? Or maybe you’re looking to expand the range of services you provide and need to buy entirely new tools or equipment. Whatever the reason, Smart Funding Solutions could assist you.

Tyres are disposable and customers will always be looking to purchase new ones, that’s why it’s vital to keep your tyre stocks replenished, especially those in the most common sizes – otherwise you’ll often lose that customer to somebody who needs them sooner than you’re able to order them in.

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If you have a steady supply of common parts that seem to sell consistently, then you’d likely save money by buying those parts in bulk. Lower operating costs would lead to more profit, so it makes sense to save on costs where you can.

Similar to a car redlining, your business can only do so much in one gear. If you’re maxed out for space or overflowing with bookings, then maybe it’s time to change gear and move to a larger premises? Or maybe you just need another hydraulic ramp installing and have the space available. Whatever the reason you need funding for your garage or MOT centre – we could help you today.

We do not currently have a loans calculator to use on our website (yet), but apply with us and our friendly team will supply you with a list of tailored business funding quotes rapidly.

Apply for funding

Request a call back

How does it work?

Fill in our form​

A member of the team will be in touch to collect some basic information. This helps us understand the type of funding that would best suit your business.

We find the best funding for you

We use the information you provided to source the best funding options for you and your business using our panel of over 250 lenders.

We present your options

We’ll then present you will all of the funding options available to you and give you time to decide which one you would like to proceed with.

Financial Assistance for Garage and Auto Repair

We are professionals at assisting auto repair shops and garages with their financial missions. Getting the most competitive funding is essential for success because the motor servicing and repair industry is extremely competitive. We operate throughout the whole loan industry and draw on our knowledge to identify the lenders who will provide you with the best funding options.

Although running a car repair shop may be based on technical expertise and knowledge, working on current vehicles will require significant investment for your garage business. New instruments for diagnosis and repair are constantly required.

The location of your workshop must comply with current health and safety laws, and in addition to your working space, you’ll require a welcome area and customer waiting area, a payment counter, a back office, restrooms, and customer parking places.

In addition, you will require insurance for your buildings, vehicles, and general liability. Rent, business rates, power, and trash removal costs must all be covered by the company, and you almost probably need a waste carrier licence from the Environment Agency to dispose of used motor oil, batteries, and tyres.

Additionally, you’ll need to attract customers. It will be necessary to have clear signage, listings in trade and local directories, and maybe most importantly, a professional website.

What are your options?

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Revolving credit facility

RCF financing is a flexible loan product. You can take out cash as needed and repay it over time with no long-term commitment, repeating the process until the funds are no longer required.
Some lenders will let you take money the same day you apply if you need it straight away. Financing through this method takes far less time than through a commercial loan, which could take weeks to complete. Additionally, RCF Finance provides you with a financial cushion that you can utilise anytime you need it if you need additional finances.
Pay interest only when you utilise the facility – The interest rate on revolving credit facilities is fixed, and interest is only due when the facility is used. If you are not using it, there is no need to pay interest. You can easily manage this funding option.
Every time you utilise your credit facility, you do not need to sign a new contract.
To find out more about revolving credit facilities, click the button below.

Unsecured Loans

Unsecured business loan

An unsecured business loan is one for which the borrower is not required to put up any security. Because the loan is unsecured, businesses who choose this funding option don’t have to worry about losing expensive equipment, real estate, or land.
An unsecured business loan has an easy repayment plan. You borrow money from a lender after determining that you’ll make consistent, fixed monthly repayments at a certain interest rate. Until the entire loan is repaid, payments are made over the term of the loan. Unsecured loans may have interest rates that are higher than secured loans.
To find out more about unsecured business loans, click the button below.

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Merchant funding

Repayment terms for both the business loan and merchant cash advance are simple and flexible. Regular payments will be deducted automatically as a small proportion of your takings or as a percentage of client card payments. You’ll be able to control your cash flow and debt repayment at the same time.
It may be good news for you because many clients will pay with a credit or debit card for their MOT and maintenance services.
The Merchant Cash Advance is a really effective business financing strategy that garages can implement. Your company will receive a large sum of cash and then repay it with a portion of the debit and credit card payments made by your consumers. You’ll get one step closer to paying it off each time someone pays for their MOT.
To find out more about merchant funding, click the button below.

Advantages of a loan for a car garage

Coming to Smart Funding Solutions for a car servicing and MOT business financing has several advantages.

It’s critical to stress that any business goal, whether it’s for one of the aforementioned motives or something entirely different, may be used for the loan.

Find out if you qualify

Any person looking to expand their firm should definitely consider a vehicle garage business loan. It can be physically taxing but also fascinating to own a business where you service and MOT automobiles every day. People in this profession will develop new models throughout time, each with special characteristics. Additionally, it offers the chance to use cutting-edge machinery and equipment.

Winter through summer, there is always work for those in this trade. There is still rivalry, though. Business owners must take charge at this point and ensure that their garage is the top option. Smart Funding Solutions can help you with financing so that you may gradually increase your consumer base.

To qualify, you must:

Loans for a Garage with Bad Credit

When you have a bad credit history, it can occasionally be difficult to acquire business funding. The biggest obstacle many garage business owners who have tried and failed to acquire financing via their bank is their poor credit history. There are various causes for poor credit rates. Your clients not paying you on time and your company’s inability to pay suppliers.

Many MOT and garage firms that have bad credit histories have found loans via Smart Funding Solutions, you’re only a few simple steps away from potential business funding.

Frequently Asked Questions

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Garage Loans are business loans tailored specifically for garages, automotive workshops, and car service centres. They can provide the financial support needed for purchasing equipment, expanding operations, or covering day-to-day operational expenses for businesses in the automotive repair and maintenance industry.

Garage Loans are designed for business owners, operators, or entrepreneurs involved in the automotive repair, maintenance, or service industry. This covers independent garage owners, franchisees, or even mobile mechanics with plans to set up a fixed location.

Garage Loan funds can be used to purchase essential equipment like vehicle lifts, diagnostic tools, or tyre machines, renovate or upgrade your premises, expand your business, stock up on parts inventory, or manage day-to-day cash flow.

Available options include term loans, lines of credit, working capital loans, equipment financing, or asset-based lending, depending on the specific needs of your business and the lender’s offerings.

Before applying, consider the purpose and amount of funding you need, your ability to repay the loan, the anticipated return on investment, and the overall cost of the loan. A solid business plan and a good credit history could increase your chances of securing favourable loan terms.

The application process involves selecting a lender, such as a bank or an alternative financier, providing them with a detailed business plan, and submitting necessary documentation. Examples of required documents include financial statements, business registration details, and bank transaction records.

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Interest rates can vary based on the loan type, your credit history, and the health of your business, among other factors. Always compare different loan offers to obtain the most favourable terms and rates for your business.

This depends on the specific loan product and lender. Secured loans will require collateral, while unsecured loans might not. However, note that unsecured loans may come with higher interest rates and stricter eligibility requirements.

While favourable credit history tremendously helps, some lenders may still consider providing loans to businesses with poor credit if they demonstrate potential, or if you can offer security for the loan.

Yes, the UK government offers several schemes to support small and medium-sized businesses, like the ‘Start-Up Loan scheme’ and the ‘Recovery Loan Scheme.’ Ensure you consult the official government websites for the most updated and accurate information.

The speed of funding depends on the lender. Traditional banks may take several weeks, while online lenders can often disburse funds within a few days of approval.

Early repayment penalties, if present, will be stipulated in your loan agreement. Some lenders may charge a fee, while others might not. It’s crucial to understand this aspect before you finalise the loan agreement.

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