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Your options when it comes to buying new assets

17/03/2022

Having access to the right equipment and machinery in order to deliver quality products and services to customers is vital to many businesses.

Yet, when it comes to buying assets, there are many things to consider, particularly with regards to finance and your cash flow.

Here we explore some of your options when it comes to buying new assets to help you decide which option is best for your business.

Buying assets outright

Some companies prefer to purchase assets like plant and machinery, IT equipment and vehicles using their own money, as there is a certain reassurance and benefit in owning assets outright – with no cost of borrowing to consider. Yet doing so may not be possible without sufficient cash reserves.

Benefits

Disadvantages

Hire purchase

Hire purchase allows businesses to hire an asset over a fixed period of time in return for regular payments. Once the repayment period of the hire contract is completed, full ownership of the asset is transferred to the business.

Advantages

Disadvantages

Learn more about hire purchase

Leasing

Leasing is where an asset finance company purchases the required asset on the business’s behalf before leasing it back for a fixed period in return for monthly payments.

Advantages

Disadvantages

Learn more about leasing

Business loans

Some businesses who like the security of owning assets outright but don’t have the necessary funds to purchase the asset themselves choose to get a business loan to cover the cost.

Advantages

Disadvantages

Learn more about business loans

Which asset finance option is best for your business?

With so many finance products and providers available, it can be hard to know which option is best for your business when it comes to buying a new asset.

As an FCA-authorised and award winning commercial finance broker, we’ll use our extensive experience and market insight to quickly and effectively identify the most suitable options and lenders to meet your needs.

Contact us on 0800 9774833 or request a call back to discuss your requirements in more detail.
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Some of the funders we work with

  • Clear Factor
  • Peak Cashflow
  • Castlebridge
  • Leumi ABL
  • Santander Corporate & Commercial
  • Davenham Asset Finance
  • Lloyds Bank Commercial Finance
  • Metro Bank SME Finance
  • Secure Trust Bank
  • IGF Invoice Finance
  • Bibby Financial Services
  • InvoCap
  • Partnership Invoice Finance
  • iwoca
  • MaxCap
  • Nationwide Finance
  • Davenham Trade Finance
  • Accelerated Payments
  • Team Factors
  • inFund
  • Creative Capital
  • Royal Bank of Scotland
  • Merchant Money
  • Regency Factors
  • Shawbrook Business Credit
  • Sonovate
  • Tradeplus24
  • Time Finance
  • Nucleus Commercial Finance
  • Close Brothers Invoice Finance
  • Trade Finance Partners
  • ABN AMRO Commercial Finance
  • Selina Finance
  • Giant
  • Investec
  • 4Syte
  • Berkeley Trade Finance Ltd
  • MarketFinance
  • Haydock Finance Ltd
  • Optimum Finance
  • Pulse Cashflow Finance
  • Barclays
  • Ultimate Finance Group
  • Aldermore Invoice Finance
  • Asset Advantage
  • Blazehill Capital
  • Roma Finance
  • Praetura Invoice Finance
  • FIBR Tech Limited
  • Woodsford Tradebridge
  • PNC Business Credit
  • Skipton Business Finance
  • Boost Capital

Authorised and regulated by the Financial Conduct Authority (FCA number 730445)
We are a credit broker and not a lender and offer credit facilities from a panel of lenders

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