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CW Asset Finance | Vehicle & Equipment Finance Yorkshire

CNC and machine tool finance

Guillotine finance

A shear is the least glamorous machine on the shop floor and one of the most reliably fundable, because it simply does not go out of date.

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Can you finance a guillotine?

Yes. Guillotines and sheet shears are funded as equipment, normally on hire purchase, and used machines are readily fundable because they are mechanically simple and long-lived. The usual complication is size of deal rather than the machine: a guillotine on its own can fall below some funders’ minimum agreement value. The other thing to check on a used machine is blade condition and back gauge accuracy, since reblading and gauge repairs are real costs that a low purchase price is often hiding.

Used kit: Yes — used guillotines fund well and can be many years old, with blade and back gauge condition mattering more than the date of manufacture.

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What would a guillotine cost per month?

Business asset finance is quoted on a flat rate, so that is what this shows — with the equivalent APR underneath, because the two are not the same number. A quick guide only; your actual rate depends on the asset, term, deposit and lender.

Indicative flat rate
Approx. monthly£—
Get my exact rate
Total repayable£—
Cost of finance£—
Equivalent APR—%

Representative example: on Hire Purchase, borrowing £25,000 over 48 months at a 6.0% flat rate (equivalent to 11.5% APR representative), you would repay around £646 a month; total amount repayable approximately £31,000, of which £6,000 is the cost of finance. This calculator is for illustration only — it is not a quote or an offer of finance, and the rate and repayments you are offered will depend on the asset, term, deposit and your circumstances. CW Asset Finance is a credit broker, not a lender, and may receive a commission from the lender that funds your agreement. All finance is subject to status, affordability and lender approval. CW Asset Finance is an Appointed Representative of Rural Finance Limited, which is authorised and regulated by the Financial Conduct Authority (FRN 630701).

How lenders treat it

Funders consider guillotines low-risk, low-excitement security. The engineering is simple, the machines last decades, and there is an unbroken second-hand trade, so a funder can put a value on one without much difficulty. Because most of the machine is mechanical and hydraulic rather than electronic, control obsolescence is less of an issue here than on other machine tools, though on CNC-gauged machines the support status of the control still shapes the value. Blades, back gauge fingers and support arms are consumable or soft. Underwriters know shearing capacity serves fabrication generally rather than one sector, which spreads the cyclical risk. The typical reason a proposal fails is deal size or a weak trading position, not the machine itself.

Makes and models we fund

Examples of the machines we are asked to fund. This is not an exhaustive list — if what you are buying is not here, it does not mean we cannot fund it. Your supplier quote is what the agreement is written against.

MachineWhat it is
Edwards Pearson VR 3100British built variable rake guillotine
Edwards Pearson guillotinesHydraulic shears for sheet metal shops
Amada M-2060Mechanical shear for light gauge sheet
Amada hydraulic shearsSwing beam shears for production cutting
LVD MVS-C 3100Hydraulic guillotine with programmable backgauge
LVD hydraulic guillotinesShears sized for small and large fabricators
Haco TS series shearsVariable rake shears for general cutting
Durma SBT 3006Value hydraulic guillotine for workshops
Baykal hydraulic guillotinesShears for sheet metal and fabrication work
Morgan Rushworth hydraulic guillotinesEntry shears for smaller British workshops

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Who buys one

Fabricators, sheet metal shops, ductwork and ventilation firms, steel stockholders cutting to size, and maintenance workshops. Often bought when a shop moves premises and wants its own cutting capacity rather than paying a stockholder to shear every sheet, or when the existing machine is too narrow for the material widths now being bought. Occasionally the trigger is simply that the old shear has become unsafe and the insurer has said so in writing.

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How it is treated for tax

Bought on hire purchase, business plant and machinery normally qualifies for capital allowances on the full cost even though you pay for it monthly, which is a large part of why hire purchase is the common structure. On a finance lease you generally set the rentals against profit instead. The rules change between budgets and your position depends on how you trade, so treat this as the direction of travel and get your accountant to confirm the detail before you commit.

Guillotine finance questions

Is a guillotine big enough to finance on its own?

Sometimes, and sometimes not. Larger CNC-gauged machines usually clear funder minimums comfortably. A small basic shear may not, in which case we either go to funders who write smaller agreements or combine it with other equipment on your list so the facility makes sense for everyone involved.

Do the blades come with the finance?

The blades fitted to the machine at purchase are part of it. Spare blade sets bought as consumables are not something a funder advances against separately, though they can sometimes ride on the same invoice within a soft-cost allowance. If a used machine needs reblading, treat that as a cash cost of the purchase.

Are old mechanical shears still fundable?

Frequently yes. Mechanical guillotines were built to last and a good one from decades back can still work accurately and sell on. The funder is judging condition and dealer value rather than age. A machine with a bent bed, worn blade holders or a seized gauge is the version that gets a poor valuation.

Can I refinance a guillotine to raise cash?

It is possible if you own it outright, though a single shear rarely releases enough on its own to be worth the exercise. It works better where several owned machines are refinanced together, which is a route we use for fabricators needing working capital without disturbing the bank facility.

Does installation come within the agreement?

Positioning, levelling and connection are usually modest on a guillotine and often quoted within the machine price, in which case they are simply part of the invoice. Where a supplier itemises significant installation labour separately, expect a funder to look at excluding it, since labour is not an asset they can recover.

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Not an offer of finance. All finance is subject to status, affordability and lender approval.

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Prefer to talk? Call 07581 364281 · serving Leeds, York, Harrogate, Wakefield, Selby, Tadcaster & across North & West Yorkshire.