Asset and Leasing Finance
You want a funding solution to help purchase new equipment or refinance existing assets.
Asset and Leasing Finance - What is it?
Our Asset and Leasing Finance solution can help you purchase equipment that your business needs to operate without the financial burden of outright purchase. You pay for the equipment with the income it generates or the costs saved helping you to maximise your working capital.
We have a number of solutions that can be tailored to suit your individual requirements.
1. Hire Purchase
You select the supplier and the equipment you want. We agree with you a repayment plan for the equipment – usually between 1 and 5 years (and for certain long life assets, up to 7 years, upon request). The supplier delivers the equipment to you and we pay the supplier. You have direct and immediate ownership of the equipment including all the VAT applicable to the cost price. At the end of the repayment period, upon receipt of an option to purchase fee, the equipment is yours. Hire Purchase helps by spreading the cost of expensive items over an extended time period. All interest costs are off set against tax as they are paid and you claim Tax Write Down allowances.
For limited companies or where you require funding in excess of £25,000.
2. Finance Lease
Similar to our Hire Purchase solution with a repayment plan over 1 to 5 years except that in certain circumstances you can take advantage of substantial tax benefits associated with leasing. This is normally applicable when you acquire short life equipment and you decide to depreciate the equipment over a short period of time. All the lease rentals paid can be off set against tax.
3. Minimum Term Rental Agreement
Similar to Finance Lease, the main difference being that once the minimum hire period has expired, you can return the goods to us giving us advance notice of this at no extra cost to yourself.
4. Refinancing Equipment
If you already have cash tied up in existing plant and machinery, and need to release that cash to invest elsewhere in your business, we can help. We can buy your existing equipment from you and provide you with a Hire Purchase or Finance Lease facility which you can repay over an agreed period. To refinance your assets must be durable with a proven resale potential and which are uniquely identifiable perhaps by a serial number.
What sort of equipment can I acquire?
A range of assets from catering equipment to audio and visual equipment to beauty equipment to name a few and whose value is from £1k to £1m.
However, there are some assets that we prefer not to fund such as cars, telephones, CCTV, photocopiers, mailroom equipment, scaffolding and software.
Benefits of Asset and Leasing Finance
What next?
If you would like to speak with one of our Leasing Finance specialists simply complete our contact form. Alternatively you can call us on 0113 391 9110, email us at leasing@bibbyfinancialservices.com or request a call back.
