The challenge
A second-site fit-out — La Marzocco machine, grinders, undercounter fridges and a bespoke counter — would have wiped out the cash buffer needed to cover the first three months of rent.
What we did
Finance lease over 5 years with VAT recovered against monthly rentals. We bundled the bespoke counter (typically declined by mainstream lenders) by structuring it under the equipment package.
The outcome
Site opened on schedule. Cash buffer preserved. Monthly rentals match site contribution from week two.
The full story
How the deal came together.
From one site to two
North Lane Coffee Co. had built a loyal Brighton following from a single 28-cover site near the station. By spring 2025, weekend queues stretched to the pavement and a second unit two streets away — bigger, better foot traffic, lower rent — came up for offer. The founders had three weeks to commit.
The cash problem
Fit-out budget came in at £62k: a refurbished La Marzocco Linea PB, two Mahlkönig grinders, a cold-brew tap system, undercounter fridges, a double-stack dishwasher, and a bespoke timber-and-terrazzo counter built by a local joinery firm. Add the upfront VAT and they were looking at a £74k cash outflow.
That would have wiped the cash buffer needed to cover three months of double rent during the new site's ramp-up — exactly the period when most second-site cafés fail.
Why finance lease, and why a broker mattered
Finance lease was the right call: monthly rentals are fully expensable against profit, the VAT is reclaimed across the rental stream rather than upfront, and at end of term they can either continue at peppercorn rentals or sell the kit with a share of proceeds.
The complication was the bespoke counter. Most equipment-finance lenders won't touch one-off joinery — there's no resale market and no manufacturer warranty. We bundled it into the wider equipment package by listing it under "associated installation works" against the espresso machine, which kept the lender comfortable on asset coverage.
Outcome
Funding completed in eight working days. Site opened on schedule in mid-June. Weekly contribution from the new location covered the lease rentals from week two of trading, and the founders kept their cash buffer intact through the critical ramp-up window.
"They said yes to the bespoke joinery when three other brokers said no. That's the difference."
Could you fund this?
If your business looks anything like North, the answer is almost certainly yes.