Hire Purchase

Hire Purchase is a simple, well-established way to finance the purchase of equipment and machinery for your business. You pay an initial deposit, and then the balance and interest through regular instalments.

The lender buys the asset on your behalf and owns it until you have made the final payment, when ownership transfers to you.

Assets you can acquire

• Cars
• Commercial vehicles
• HGVs
• Buses and coaches
• Plant and machinery
• Agricultural equipment
• Construction equipment
• Materials handling equipment
• IT equipment
• Furniture and Furnishings
• Catering equipment

Key Advantages

• You own the asset at the end of the agreement
• Simple, regular payments
• The interest rate can be fixed or variable at your option
• There can be tax advantages such as recaiming VAT and capital allowances.
• The agreement can be flexible in that the size of the deposit and the numbers of payments can be changed with possibly a balloon payment at the end.

If you would like to explore these options, contact us to discuss.

Leasing

A lease helps you keep your options open when you acquire an asset, by not committing yourself to ownership. So if it’s flexible financing you’re after, a lease finance facility could be the way forward.

The leasing company buys and owns the asset and you enter into an agreement to hire it from them at an agreed rental over a set period. This may be a more tax efficient way for you to have use of the asset.

You also have the option to retain use and possession of the asset when the lease contract ends - potentially at a price agreed at the start of the lease period. Alternatively, you can sell the equipment for and on behalf of the leasing company and retain the majority of the sale proceeds as a rebate of rentals.

Assets you can acquire

• Fork lift trucks / aerial work platforms
• Construction equipment
• Cars and vans
• HGVs
• Buses and coaches
• Plant and machinery
• Agricultural equipment
• Information Technology & Office Equipment
• IT equipment
• Furniture and Furnishings
• Catering equipment

Asset-based Lending

By securing a loan against a valuable asset or a collection of assets, funds can be obtained for any legal purpose, quickly. Alternatively, the lender can buy your existing assets off you and lease them back. This can be very cost-effective.

If you are seeking funding for your business there is a variety of ways of doing this.

You could ask your bank for money and, after they have examined your accounts for the past several years, questioned your business plans and perhaps had a meaningful discussion with your accountants, they will probably decline.

This would not be a reflection on you, your business or your plans, of course, but your Account Manager (or whatever he/she is called) will tell you that the Bank's policy precludes lending to you.

What else can you do?

You could fund the business needs personally, assuming you have the means to do this. This might require you taking out a loan, secured on a property you own or unsecured, and then making a loan to your business in that sum.

If this is not an option for you or you consider it too risky, you could use assets the business already owns that are unencumbered and release capital from those assets.

One way would be to sell those assets to a leasing company and then to lease them back over a period. Provided the assets have a resale value and there is no adverse credit situation, we should be able to find a leasing company prepared to take on this proposition.

Another way, which can be faster and which will work if there are any credit profile issues, would be to draw down on the value of valuables such as jewels, paintings, wine portfolios, sports cars, etc for a short-term loan, which can be repaid after an agreed period.

The advantage of this latter approach is that if there is a critical cash-flow situation which will be resolved after a very few months, such a solution could enable the business to continue to function during that critical period.

If you would like to explore either of these options, call us to discuss.

Unsecured Business Loans

Funding Circle is an online marketplace to help businesses find low-cost loans quickly and investors get better returns. There are no middlemen, no banks, and no lengthy delays. By directly connecting investors with vetted businesses, the process eliminates the cost and complexity of traditional banking. It’s simple, better for businesses, and better for investors.

Funding Circle loans are fast, flexible, and offered at great rates.

Apply online in just 20 minutes and speak directly to decision makers. Get a decision within 48 hours and money in your account within 2 weeks, sometimes as little as 3 days.

• Quick and Convenient
• Great Rates
• Independent from Your Bank
• No Early Repayment Charge