Finance leases give businesses the option of borrowing an asset for a fixed period, rather than having to buy it outright. Not only does this overcome the cash flow implications of paying for a new piece of equipment or machinery up front, it also means the issue of asset depreciation is avoided.
A finance company will buy the asset that you require, and allow you to use it exclusively.
Your business pays for the use of the asset through regular instalments, which helps with cash flow management. Meanwhile, to make the finance lease more affordable, the asset finance company claims the capital allowances on the asset.
At the end of the lease, you can either purchase the asset or the asset finance company will sell it, possibly giving your business a share of the proceeds.
As a commercial finance broker that specialises in asset based finance, we can identify and help your business secure the most suitable finance lease for your requirements. Simply call 0800 9774833 or request a call back to discuss how we can help.