Ideas & Trends

Should I Lease/Finance or Buy My Commercial Kitchen?

michael@strategyexchange.co.uk
June 30, 2025
Should I Lease/Finance or Buy My Commercial Kitchen?

Whether you’re running a restaurant, a corporate canteen or a hotel dining hall, you need a well-equipped, perfectly laid out commercial kitchen that keeps everything running smoothly. In this blog post, we discuss the pros and cons of leasing/financing a commercial kitchen versus purchasing your own.

Kitchen work
1. Leased Commercial Kitchens are Easy to Install but Temporary

Good for use during refurbishments, events or emergencies, leased commercial kitchens can be hired as single units or linked together to form large-scale commercial catering complexes. This means that they can be installed quickly and removed in a day, but it also means they are not designed for permanent installation.

2. Purchasing Equipment Costs More Upfront but Less Long Term

Purchasing new commercial catering equipment requires an upfront investment, but it also gives you the benefit of long warranties that protect your equipment from failure or damage. Once the equipment is installed, it is yours to use for life and the only ongoing costs are for running it. When you lease/finance commercial kitchen equipment, you pay less upfront but are likely to pay more for the equipment over the long term and will not be able to keep it or sell it on.

3. Leasing/Financing Kitchen Equipment Might be Easy, but Quality Control Is Hard

Leasing/Financing your commercial kitchen equipment means that you have less control over its quality, suitability and age. You must ensure that you know how old each piece of kitchen equipment you are leasing is, whether it’s had any repairs and if it comes with a warranty. If the leased equipment breaks, does the company you leased it from include repairs in your agreement? When you purchase a new piece of kitchen equipment, it comes with a blank-slate service history. You can rest easy that it is fit for purpose and covered by warranty.

4. A Bespoke Kitchen Layout Lets You Maximise Productivity

Most commercial kitchen leasing companies provide out-of-the-box solutions, with pre-built units that can be connected to form larger kitchen complexes. If you have a regular-shaped room in a size that best suits a pre-fabricated kitchen layout, this is fine, but in many cases, it is simply not possible to make a pre-fabricated kitchen fit your available space in a way that optimises production and ensures maximum working room for staff. Having a trusted company design a bespoke commercial kitchen that perfectly fits your space is the best way to maximise productivity and minimise issues.

5. Purchasing a Commercial Kitchen Requires More Planning But Carries No Rental Requirements    

When you lease/finance a commercial kitchen, there will be rental requirements to consider. These include (but are not limited to) the required insurance, the rental charge per week, month or hour, which equipment is available to lease under the scheme, terms of use for the equipment and so on. It is simpler and more straightforward to purchase the equipment yourself from a company like Advance Catering, which can help you take care of the liability insurance and food handler’s certificate for your permanent commercial kitchen installation.

Things to Be Aware of If You Decide to Lease Your Commercial Kitchen

Advance Catering recommends installing a kitchen that has been planned by experts for maximum productivity and minimal downtime. If you decide to lease a commercial kitchen instead of purchasing it outright, here are some important factors to consider:

  • Check the equipment – How old is it, has it ever been repaired, and if it fails, will the lease company replace or repair it?
  • Ensure you have adequate storage – Check for secure storage areas, cold storage devices and dry storage.
  • Read through the contract thoroughly – Ensure you understand all of the rental requirements and that there is nothing that could hold you back from using your commercial kitchen right away, such as any local health department requirements that may delay the launch.
  • Ensure your hire kitchen is not a shared space – Some lease companies will hire kitchen components out as shared spaces between multiple businesses.
Have a Permanent Commercial Kitchen Installed by Advance Catering

Advance Catering is the UK’s leading installer of commercial kitchens, with over thirty-eight years of experience and more than 100 new kitchens built every year. We supply the highest quality equipment and provide end-to-end project management, from the FREE initial consultation and survey to ongoing kitchen maintenance and regular servicing. 

Find out More about Purchasing Your Own Commercial Kitchen

Ready to discuss your commercial kitchen requirements and book a FREE initial consultation? Give our friendly team a call and they’ll be happy to help. Contact Advance Catering today.

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