How To Offer Finance For Installers

A clear definition: customer finance for installers

Customer finance is a way for your customers to spread the cost of an installation over time, rather than paying in full upfront. As the installer, you still quote as normal, but you introduce a regulated finance option at the right point in the sales conversation. If the customer is approved, the finance provider pays you, helping to stabilise cash flow and reduce the operational drain of chasing staged payments. Done well, finance becomes part of your commercial offer, not an afterthought. It can help you win work that would otherwise be delayed, downsized, or lost to a competitor who makes affordability feel straightforward.

Standout idea: finance is not just a payment method - it is a conversion tool.

The real reason homeowners choose finance

Most customers do not use finance because they cannot afford a project at all. They use it because they want to keep savings intact, avoid disrupting household cash flow, and manage larger bills more predictably. When finance is introduced at quote stage, customers can plan a more realistic spec without last-minute compromises. This is particularly relevant where fitting and labour can form a meaningful part of the overall cost, often around a few thousand pounds for kitchens and bathrooms, and where bundling the full installed price into one monthly figure feels simpler. In practice, finance can reduce decision friction and increase satisfaction because the project stays aligned to the customer’s original expectations.

Turning quotes into conversions (and improving cash flow)

Offering finance can increase sales because it removes the single biggest reason people pause after receiving a quote: the upfront hit. Interest-free options such as 0% APR over 12-24 months can feel low risk to customers and often drive faster decisions, while interest-bearing loans can make higher-value work feel accessible over longer terms. For you, the commercial impact is twofold: higher conversion rates and larger average order values when customers choose better specifications. Just as importantly, being paid by the finance provider rather than waiting on the customer can reduce late-payment risk and make it easier to schedule labour, order materials, and scale.

Typical transaction values (what finance often needs to cover)

Quick check: if your average quote is close to a lender’s minimum, make sure your finance-eligible total includes fitting and labour where permissible.

What you can typically finance (examples)

1. Supply and installation of kitchens

2. Bathrooms and wet rooms

3. Windows, doors and glazing upgrades

4. Boilers, heating systems and heat pumps

5. Solar panels and battery storage

6. Roofing and insulation improvements

7. Built-in cabinetry and fitted furniture

8. Electrical work included as part of an installation package

FCA and compliance: the non-negotiables

In the UK, offering finance is regulated activity, so installers typically need to work with an FCA-authorised lender or broker and follow the correct process. You should ensure promotions are clear, not misleading, and that APRs, terms, and key conditions are presented transparently. Customers must be assessed for affordability and status by the lender, not by you guessing eligibility in the kitchen. Treat finance as part of a compliant sales journey, with records and training that match how you sell.

Broker and introducer models, explained plainly

Most installers do not want the burden of managing multiple lender relationships, underwriting rules, and compliance administration. That is where the broker or introducer model helps. You introduce the customer to a regulated broker or finance platform, which can then present options from a lender panel. The customer completes an application, the lender makes the credit decision, and once approved and the job meets the agreed conditions, payment is made to you according to the product structure. Practically, this can give you a broader range of choices, such as 0% interest-free credit for mid-ticket jobs and longer-term, interest-bearing loans for higher values, without asking customers to fill out multiple applications.

Comparing common finance structures

What the customer journey looks like (step by step)

1. Quote the full installed project: include products, fitting, and any essential labour so the customer sees the true total.

2. Introduce finance early: position it as an option at the same time as design choices, not at the final handshake.

3. Offer a clear comparison: show a few realistic examples, such as 12, 24, and 60-month options, and any 0% offer if available.

4. Let the customer apply: they complete the application through the regulated process and receive a credit decision subject to status and affordability.

5. Confirm the order: once approved, finalise scope, timelines, and any deposit requirements.

6. Install as agreed: deliver the job to specification and keep documentation tidy.

7. Payment is processed: you receive funds under the finance arrangement, reducing reliance on customer collection.

8. Aftercare and reviews: follow up like a premium service business, because customers who pay monthly still judge the experience in full.

Practical next steps you can implement this week

• Add a monthly payment example to your top-selling package pages.

• Train your team to introduce finance at the design and quote stage.

• Use a finance calculator on your website to increase transparency and reduce quote hesitation.

Getting started with Kandoo

Kandoo is a UK-based retail finance broker, set up to help installers offer customer finance in a way that is clear for homeowners and workable for growing businesses. The first step is a conversation about your typical job sizes, customer profile, and where finance will sit in your sales process. From there, you can align to suitable options from a lender panel, so customers can see straightforward choices without you having to manage multiple lender relationships. With the right setup, finance becomes a consistent part of your quoting toolkit, supporting better conversion and more predictable cash flow.

If you want finance to increase order value, introduce it before customers start cutting corners.

FAQs

Do I need to be FCA authorised to offer finance?

Not necessarily. Many installers operate by introducing customers to an FCA-authorised broker or lender, using an approved process and compliant marketing. Your exact position depends on how you promote and handle finance.

Will offering finance slow down my sales process?

It can do the opposite. Clear finance options, particularly 0% interest-free credit where available, often reduce delays because customers can decide based on an affordable monthly figure.

Can fitting and labour be included in the finance amount?

In many cases, yes, and it is often commercially sensible. It lets customers finance the full installed project rather than splitting payments across multiple providers.

What job values are best suited to finance?

Finance can work from smaller jobs (subject to minimum order values) through to substantial projects. Interest-free offers tend to suit mid-ticket work, while longer-term loans suit higher values.

Is 0% APR always the best option?

Not always. 0% can be a powerful converter, but it may not fit every basket size or term. For larger projects, a longer-term, interest-bearing loan can produce a more comfortable monthly payment.

How do I present finance without sounding pushy?

Position it as a planning tool: “If you would prefer to spread the cost, we can look at monthly options.” Customers appreciate clarity, especially when comparing specs.

Will I get paid upfront?

Typically, you are paid by the finance provider under the agreed terms once conditions are met, which can reduce reliance on collecting large sums from customers directly.

What should I put on my website?

At minimum: representative examples (where required), clear eligibility language, and a route to see monthly payments. A finance calculator can improve transparency and reduce drop-offs.

Can finance help me sell higher-spec products?

Yes. When customers can see the monthly impact of an upgrade, they are more likely to keep premium choices in the design rather than stripping features late in the journey.

What makes a finance partner reputable?

Look for FCA regulation, transparent product information, sensible affordability checks, and a process that supports customers without confusing them.