Updated: 5th May 2020
If you are looking to purchase equipment, machinery and vehicles for your business, then asset finance could be a suitable funding option. It can be a great way for a company to obtain new equipment and machinery in an affordable way. Paying for a substantial asset up front can cause issues when it comes to cash flow, while for other companies paying outright is simply not possible. Asset finance allows you to spread the cost while also giving you full use of the item while you are paying for it.
Asset finance sees loans being wholly or largely secured on the assets being financed and gives you the flexibility to fund your equipment purchases while also avoiding paying out a lump sum. As this is a type of secured borrowing, the interest rates and terms offered are often more competitive than those offered on unsecured loans.
There are four common types of asset finance:
With a huge variety of different providers and products available, the choice can sometimes be bewildering; you should, therefore, make it a priority to seek expert advice before going ahead. You need to ensure that you know exactly what you are signing up for and to be confident that this meets your needs both now and in the future.
Real Business Finance has close relationships with a wide range of asset finance providers, and we know exactly who to put you in touch with to secure the most appropriate funding option for you and your business. Contact us to learn about your options for obtaining finance and take the next step toward improving your cash position and growing your business.