FAQ

What is Asset Finance?

Asset finance is a type of financing that allows businesses to purchase equipment, vehicles, or other assets without having to pay the full cost upfront. The asset is used as collateral for the financing.

What Types of Assets can be Financed Through Asset Finance?

Assets that can be financed through asset finance include vehicles, machinery, equipment, technology, and other capital assets.

How Does Asset Finance Work?

With asset finance, the lender purchases the asset on behalf of the borrower and then leases it back to them over an agreed-upon period of time.

At the end of the lease period, the borrower may have the option to purchase the asset outright.

What are the Benefits of Asset Finance?

Asset finance allows businesses to acquire essential assets without having to pay the full cost upfront, which can help to conserve cash flow.

It also allows businesses to spread the cost of the asset over a longer period of time, making it easier to manage finances.

What are the Different Types of Asset Finance?

The main types of asset finance include leasing, hire purchase, and asset refinance. Leasing involves the borrower paying monthly lease payments for the use of the asset.

Hire purchase allows the borrower to pay for the asset over a set period of time, with ownership transferring once all payments have been made.

Asset refinance allows businesses to release capital from existing assets by using them as collateral for a new finance agreement.