An established farming partnership in Aberdeenshire approached Moorgate Finance seeking funding for the purchase of a brand-new AgXeed Agbot T2 5 Series. As one of the most innovative developments in modern agriculture, the autonomous Agbot machine has also been featured in the television series Clarkson’s Farm, bringing wider public attention to the technology. The purchase represented a significant investment for the business. The customer wanted to secure the most competitive funding package available while preserving cashflow for the busy season ahead.
The Highlights
✅ Beat the customer’s high street bank rate with funding at 3.3% per annum
✅ Arranged a VAT-only deposit structure to reduce the upfront cash outlay
✅ Financed one of the first AgXeed Agbot T2 5 Series units in the UK
✅ Preserved working capital, allowing further investment in machinery ahead of the season
The Challenge
Like many businesses considering a major capital investment, the customer initially approached their high street bank for funding. While the bank was able to provide a finance proposal, the structure of the deal was less than ideal for the farming partnership’s requirements.
The offer required both a deposit and the VAT to be paid upfront, creating a sizeable initial cash outlay. Although the business was keen to move forward with the purchase, committing such a large amount of capital at the outset would have reduced financial flexibility at a crucial time of year.
With ongoing operational costs, seasonal expenditure and plans to invest in additional machinery, the customer wanted to explore whether a more competitive funding solution was available. Their objective was not only to secure an attractive rate but also to find a structure that would minimise the impact on working capital and allow them to continue investing in the wider business.
The Solution
After reviewing the customer’s requirements and the proposal from their bank, Moorgate Finance worked closely with its panel of specialist lenders to source a more suitable solution.
We successfully arranged funding of £211,000 over a 72-month term at a highly competitive rate of 3.3% per annum, beating the offer already provided by the customer’s high street bank. More importantly, we were able to structure the agreement with a VAT-only deposit, significantly reducing the upfront cash commitment required.
By removing the need for a larger traditional deposit, the farming partnership was able to retain more of its working capital while still securing the equipment it needed. This provided greater financial flexibility and ensured funds remained available for other planned investments ahead of the season.
The purchase enabled the business to introduce one of agriculture’s most talked-about innovations into its operation. The AgXeed Agbot gained widespread attention after showcasing the potential of autonomous farming technology and its ability to improve efficiency, productivity and precision in modern agricultural businesses.
The deal also marked a significant milestone, with this AgXeed Agbot T2 5 Series being one of the first AgBots to be financed in the UK. Through a combination of competitive pricing, flexible structuring and industry expertise, Moorgate Finance enabled the customer to embrace cutting-edge technology without placing unnecessary strain on cashflow.
Need funding solutions like these for your business? Give us a call on 01908 92 62 62 or head to www.moorgatefinance.com/apply-now to start the conversation.
