Asset Finance
A useful finance option to help you grow your business by acquiring much needed capital equipment, vehicles and more.
What is Asset Finance?
Asset finance offers a flexible solution that allows your business to pay for equipment over a chosen period of time with fixed monthly payments. Businesses can use asset finance to buy new equipment, upgrade existing machinery, or acquire second-hand resources too.
Asset finance covers both ‘hard assets’ such as construction equipment, vehicles, and manufacturing machinery, and ‘soft assets’ such as office furniture, IT equipment, and solar panels. The type of security required by the lender will depend on the asset type, with hard assets primarily secured by the value of the equipment and soft assets secured with additional collateral.
This helpful finance solution is designed to support business investment and growth, helping to overcome the issue of upfront costs. By spreading out payments over a set period of time, small and medium-sized businesses can acquire the necessary assets without having to pay large sums of money upfront.
What Asset Finance Is Right For Your Business?
Hire Purchase
Hire Purchase is a type of asset finance that allows companies and self-employed to purchase and make use of an asset during an agreed term, whilst paying instalments and interest to cover capital cost. At the end of the term, title will pass to you upon paying your pre-agreed option-to-purchase fee.
Finance Lease
Perfect for businesses who want to acquire a depreciating asset, but don’t want to commit to ownership. The lender buys the asset and charges you a monthly rental. At the end of the agreed term, you can extend the lease, sell the asset to a third party or give the asset back to the lender.
Refinance
Refinancing is a quick way to access the value of assets on your existing balance sheet and use that value elsewhere within your business, e.g. to fund a deposit on new equipment or ease cash flow. This option applies whether you already own the asset or have equity in the equipment.
