Asset Finance
Purchase new or used assets with asset finance.
Get one step ahead of your competition. Asset finance makes the latest equipment, machinery and vehicles affordable to everyone.
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We used The Business Finance Group for finance on new CNC machines. The rates were unbeatable and service was impeccable.
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Aicraft Manufacturing Company - Wales
All you need to know.
What is asset finance?
Asset finance, often referred to as equipment finance, is a type of secured business loan that allows companies to acquire assets without paying upfront. It enables business owners to expand operations, capitalize on opportunities, or quickly obtain necessary equipment. By distributing the cost over several years with affordable monthly payments, it helps preserve cash reserves and other credit lines.
Commercial asset finance provides businesses with the means to acquire or upgrade equipment, purchase vehicles, or renovate premises. The lender purchases the required assets and leases them back to the business through fixed monthly payments over a specified term. This approach ensures businesses can efficiently access vital resources while maintaining financial flexibility.
Asset finance allows businesses to acquire essential tools and equipment while maintaining effective financial management. This approach safeguards cash flow and fosters growth, making it a strategic option for companies aiming to optimize their operations.
What is an asset?
A business asset is any resource owned by a company that holds economic value and is expected to provide future benefits. These assets are essential for the operation, growth, and profitability of the business. They can be tangible (physical) or intangible (non-physical) and are typically classified into several categories based on their nature and use.
Decisions...
Hire Purchase or Lease?
Hire Purchase
Hire Purchase is the smart way to get what you need because you get to choose, use and manage the assets you need for your business over an agreed period, typically up to five years.
The regular installments you pay as part of your agreement will cover:
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The asset's depreciation
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Interest on the cost of the asset
At the end of the term, you get to choose to buy the asset and own it outright. Remember on a HP, all of the VAT (if applicable) is paid upfront.
Lease
Think of Finance Lease as a long-term rental for business assets (or equipment, which is the same thing). Instead of buying the asset upfront, you pay rent to use it, with a flexible rental period to match your needs and cash flow fluctuations, which we know can change month-to-month.
At the end of the initial lease, you have various options available to you:
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Keep on using: Continue leasing the asset by extending the rental period – otherwise known as a ‘secondary rental period’
Take a look at our finance example...
Regardless of whether you're a new business or an established business, we have access to the most competitive rates in todays market.
Contact us:
01604 201510
Finance example: Trading under 12 months
Finance amount: £100,000.00 + VAT
Term: 60 months
Deposit: 10%
Monthly repayment: £2,024.25
Rate: 8.2% flat
*All figures are subject to credit, business financials and a full underwrite by our funder(s). As a brokerage we earn a commission for the introduction of your finance application which will affect the cost of your agreement should you wish to proceed. The examples given above are based on a typical asset finance application and funders pricing at the time.