What customer finance means for your business

Customer finance lets you offer a bathroom installation with a manageable monthly repayment, rather than asking for the full amount upfront. In practice, you present finance at the point of sale, the customer applies (often online or on a tablet), and a lender makes a credit decision. If approved, you get paid for the work while the customer repays over an agreed term. For many UK bathroom businesses, this turns finance from a “payment method” into part of the sales proposition, especially where full refits include both products and labour.

Why customers choose finance for bathrooms

Bathroom renovations are rarely impulse purchases. Costs have risen, and customers often delay upgrades because paying in one lump sum feels like a hit to household cash flow. Interest free options are particularly persuasive in this sector because they make a full suite and installation feel attainable without adding interest costs, while longer terms suit bigger projects where the priority is a lower monthly figure. For smaller upgrades, shoppers increasingly favour short, interest free instalment plans at checkout, especially when the decision is quick and digital.

How finance helps you sell more (and sell better)

Offering finance reduces the psychological barrier of a large quote and reframes the conversation around affordability. Retailers in the UK bathroom space commonly promote 0% APR over 12 to 24 months on orders from roughly £500 to £1,000 and up, often with a small deposit, which can help convert customers who are otherwise “thinking about it”. Where project values are higher, being able to offer terms up to 60 months (with interest bearing options beyond the interest free window) gives customers a choice: pay more per month to avoid interest, or pay less per month over longer. Either way, finance supports higher average order values because customers can select better fixtures, more comprehensive installation, or bundled packages.

Standout principle: customers rarely buy “a bathroom”, they buy a monthly commitment they can live with.

Typical transaction values in bathroom finance

What you can put on finance

1. Full bathroom supply and fit packages

2. Labour only installation (where eligible within the agreement)

3. Bathroom suites (bath, basin, WC)

4. Showers and enclosures

5. Tiles, underfloor heating, and waterproofing systems

6. Vanity units, mirrors, and fitted storage

7. Accessibility upgrades (walk in showers, grab rails, comfort height WCs)

8. Cloakroom and en suite refurbishments

FCA and compliance essentials to get right

In the UK, consumer credit is regulated, so you must be clear about what you are offering and how applications work. Customers should understand whether finance is interest free or interest bearing, what deposit is required (often 5 to 10%), the term length, and that approval depends on credit and affordability checks. Avoid presenting finance as guaranteed, and ensure all promotional claims are accurate and supported by the lender’s product terms. If you are introducing customers to a broker or lender, your permissions, scripts, and financial promotions should be set up correctly.

Broker and introducer models: how the partnership typically works

Most bathroom installers and retailers do not become lenders. Instead, you introduce eligible customers to a finance provider via an approved broker model. You display finance options at key points in the journey (website, showroom, quote stage) and help the customer start the application. The lender conducts the credit decision and, if approved, funds the transaction according to the agreed process. This structure suits SMEs because it avoids the operational burden of underwriting while still letting you offer a competitive range, from interest free deals that support conversion to longer term options that support higher ticket projects.

A simple view of the customer journey

1. Add finance early: mention monthly options in your advert, website, and initial call.

2. Build a clear quote: separate products, labour, and any optional upgrades.

3. Present two or three terms: for example 12, 24, and a longer term for affordability.

4. Explain the basics: likely deposit, term, APR, and that checks apply.

5. Customer applies: online or in store, typically taking only minutes.

6. Decision returned: if approved, confirm the order and installation dates.

7. Complete the work: keep documentation consistent with the financed scope.

8. Funding and repayment: you receive payment per the finance process; the customer repays monthly.

9. Aftercare: provide warranty and snagging support as normal, since experience drives reviews and referrals.

Getting started with Kandoo

If you want finance to increase conversion rather than add complexity, start by mapping your typical job sizes and deciding where finance will make the biggest impact: small upgrades, mid range fitted bathrooms, or full renovations. Kandoo can help you structure a finance offer that matches how customers buy bathrooms in the UK, from interest free options that remove the upfront cost objection to longer terms that bring larger projects within reach. The goal is simple: make finance visible, easy to understand, and integrated into your quoting process so customers can decide with confidence.

Next steps you can take this week

• Add “from £X per month” alongside your top three bathroom packages

• Update your quote template to include 2 to 3 finance term examples

• Train your team on a short explanation of deposits, checks, and timelines

FAQs

Do I need to offer 0% finance to compete?

Not always, but 0% is a powerful conversion tool for bathrooms because it removes the “why would I pay interest?” objection. Many businesses combine 0% over shorter terms with longer interest bearing options for bigger projects.

What deposit do customers usually need?

Deposits are commonly 5 to 10% depending on the lender and the offer. Setting this expectation early helps avoid last minute surprises.

Can customers finance both products and installation?

Often yes, depending on how the finance agreement is structured and what is included in the approved transaction. Keep the financed scope aligned to the quote and invoice.

What about smaller purchases, like replacing a shower?

For smaller spends, instalment style checkout options are popular, sometimes starting from under £100, with interest free payments taken over a few instalments. This can reduce basket abandonment and convert quick refresh jobs.

How fast is the decision?

Many applications return a decision within minutes, which suits showroom and in home consultations where momentum matters.

Will offering finance slow down my sales process?

Done properly, it usually speeds up decisions because customers can choose a term and proceed. The key is to introduce finance early and keep the explanation simple and consistent.

Do I need to be FCA authorised?

It depends on your exact role and model. Typically, installers operate as introducers under an agreed process with the broker or lender, with compliant scripts and promotions provided.

How should I advertise finance on my website?

Use clear, accurate messaging: example monthly pricing, representative APR where required, and any key conditions like minimum spend, term ranges, and that credit checks apply. Keep it prominent on service pages and package pages.