Asset finance

Asset-based funding act as a catalyst for business growth

  • Bespoke offers in just minutes
  • Freedom to put any asset
  • Ensure immediate boost in cash flow
  • Effortless comparison
  • Convenient repayment plan

Employ business assets to acquire financing for expansion

Including new machinery or equipment is a costly purchase for any business. What to do if you cannot arrange the bulky amount upfront? Business asset finance is a smart solution as it lets you spread the cost of these items over a period.

Refinancing the existing commercial assets is also possible with this financing option. Easy repayments due to stretchy schedules are add-on benefits you can achieve through TheBusinessFunds. How? We will introduce you to prominent asset finance companies in the UK. It will relieve you from the pressure of maintaining cash flow for upcoming needs.

As a business owner, you must hold balance sheets, short-term investment sources, inventory, and accounts receivable, i.e. stock etc. This financing solution allows you to utilise these assets to get a loan. It is applicable for different types of business structures like:

  • Limited companies
  • Limited Partnerships
  • Public limited companies

Its reach is not restricted to the size of the company you might have. It is, in fact, capable of nullifying the funding gap to buy new equipment. Avail of this useable funding to keep business growth intact at any cost by getting in touch with an asset finance broker i.e. us.

Asset Finance Rates

What is asset finance loan?

The very term “asset finance for business” means commercial funding that intends to benefit the struggling businesses of the UK. Here, the commercial assets will act as security against the loan. Our primary concern is to make sure you find the right lender.

We try to contact asset financing companies in the UK with viable terms and are ready to amplify borrowing opportunities. This financing solution does not let the insufficiency of business cash reserve retard the growth aspect. Nevertheless, you must not confuse it with personal asset finance, an entirely different financial product. Mark the differences from the below representation.

Commercial Asset Finance Personal Asset Finance
It needs commercial assets as collateral. You can get quick access to funds. Feel free to spend the money to further business expansion, invest in new technology or machinery, etc. It needs costly assets like watches, diamonds, fine arts etc. You can spend the money to serve any individual purpose. The borrowing amount will depend on the value of the asset.

You can skip the outright purchase of vital business equipment by getting in touch with us. Here, this asset finance broker will let you continue with the purchase by helping to procure support through a reasonable offer. The money will compensate for the financial requirements of the business.

According to this business asset finance, the acceptable assets should belong to these two categories:

Hard assets: It means machinery, equipment and vehicles.

Soft assets: It means furniture, lighting, and internal renovations of the property.

You can seek the assistance of this financing to free up money equal to the value of the assets you already possess

What are the features of asset finance?

As an asset finance broker, our primary lookout is to introduce you to potential lenders who will process your finance application. We understand how your requirement will vary from one business owner to another. Rest assured to see the quick arrangement of money to purchase the equipment.

Apart from this, you can look up other features like:

  • Broad borrowing limit

    Asset financing gives you the accessibility to borrow up to £5,000,000. You can explore our network of the best asset finance providers to find a deal according to your budget. You can utilise this flexibility to get valuable items for the smooth running of your business.

  • Stretched repayment term

    Duration for repayment will vary from lender to lender. It allows you to look for an extended duration depending on the longevity of the assets. The duration stretches from 1 to 5 years.

    Surprisingly, some of the assets can last quite a long. Thus, asking for a longer duration does make sense here.

  • Zero deposits

    We are independent asset finance brokers in the UK working with loan providers who are ready to offer deals with zero to low deposits. It indicates that you can source the best deal without spending extra money on deposits. Draw comparisons carefully by using our services.

  • Budget price availability

    We have created this platform to help you shop for the best rates. It makes grabbing market-leading rates easy and convenient for you. With a growing number of asset finance providers in our network, the possibility of getting the most affordable offer is quite bright.

  • Tax deductible expense

    You will be happy to know that you can take pleasure in tax deductions on the renting or leasing cost of the asset. Apply this logic while purchasing a new asset to deduct the cost from your taxable profits of the year. Such an arrangement is a capital allowance. For further assistance, you can always find us at your disposal.

How is asset financing useful?

You should be able to scale the business operations if you want to see it expand. Having backup savings in place is critical. It is still not a problem if you do not have such savings with asset finance for business within your reach.

You can make use of this type of business loan in different routes:

  • Upgrading machinery

    You must upgrade the factory machinery or plant from time to time. When purchasing those big-ticket items is difficult, you can count upon this financing option. You can purchase the same item without paying outright by contacting asset finance companies.

  • Leasing of company vehicles

    Your business might need a vehicle for transport purposes. Buying is not worth it, given the depreciation factor. This financing offers you many different choices to get a rented vehicle also. It facilitates being an owner once you complete the monthly payments within time.

upgrding machinery
  • Enhancing the technology

    Your venture will need IT to support to beat the requirements of the modern-day business environment. Moreover, the business must keep up with the technological advancement inside the industry. If you are lagging in supporting your business due to money, you can seek the assistance of business asset finance.

  • Consolidating debt

    Utilise the business-owned assets to borrow money against their value to consolidate debts. This way, you will extract the money by refinancing your asset. We will help you find the best offer from best asset finance companies available in our network. However, sometimes, keeping those assets as loan security is impossible. In such a scenario, you can back your company through unsecured business loans, but the borrowing amount will be lower.

What are the asset finance rates?

The finance deal you will receive from myriad lenders might hold different rates. However, the good thing is that this financing option has the support of business assets. Thus, the interest rates will be slightly lower than any other business funding alternative.

Here, the financing structure you pick will influence the interest rate. Besides, the ongoing financial circumstances of the business will be a decisive factor in determining the price of the loan offer you will receive. For that matter, you can expect better rates if your business can promise good returns in the future and can ensure better growth capital.

The credit history of the business can also impact the finance rates. Moreover, the lender will consider the equipment or tool you will purchase with the help of this funding solution at the time of finalising the loan rates. Refinancing can be somewhat cheaper depending on the assets that will be used as collateral.

What are the types of asset finance?

Knowing the diverse product categories available under the primary category of UK business asset finance is life-saving. It can clarify the different avenues you can snatch the best finance offer. Most importantly, you can choose the right type of finance that perfectly coincides with the commercial requirements.

The various types of asset finance for business you can check out here are:

Hire purchase

It is a simple asset finance arrangement. It allows you to purchase a new asset by paying instalments and not a lump sum amount on the spot. Your business will own the asset once the payment is complete.

It will positively impact the balance sheet during signing the agreement. However, the asset will remain with the asset finance providers till you finish the payment. Therefore, you cannot sell the asset before the completion of the payment.

Finance lease

Capital asset finance is it’s another name. It is like an agreement between your business and a leasing company. The latter will buy a commercial asset in your name.

After that, the leasing company will rent this asset to you. Keep paying the primary rental period payments monthly until you cover the purchase value and interest. You are free to extend the rental period and sell or return the asset in place of the leasing firm.

Equipment lease

You can call it equipment asset finance for business. The only difference, in this case, is that you will not be the owner even when the payment is complete. You will have to rent the asset from a vendor or the leasing firm for a particular time span.

You must continue to make monthly payments on a specified schedule, as you will be using the asset. No need to bother about asset maintenance. The leasing firm will take care of this. You can extend the term, return the asset, or upgrade to a new asset.

Operating lease

If you want to get a specialist plant or equipment for a limited duration and not always, opting for this financing arrangement is the best idea. You can rent the asset for the short or medium term.

Payments should regularly come from your end, as you will use the asset for the time being. These financing facilities allow easy upgradation of equipment. It might often turn out to be more cost-effective than a finance lease.

Asset refinance

Use this mechanism to access cash stuck in the business assets easily. It means you can sell the asset to the finance provider before giving it away on rent. The business cash reserve will increase while you continue using the asset.

What to consider before applying for asset finance?

Once you approach us, we will contact a bunch of asset finance companies. Meanwhile, you must dig through the advantages and disadvantages of it to think rationally and make the right decision.

This financing solution has the following pros and cons:

Advantages Disadvantages
  • Affordable way of purchasing better and pricey equipment for the business.
  • No worries about maintenance costs.
  • Reduced risk of purchasing equipment.
  • Less strain on the business cash flow as repayment should occur after a regular duration.
  • No fluctuation of rates, as they will remain fixed for the entire term.
  • Free from worries related to the depreciation of asset value.
  • Replacement is possible in case of a damaged asset.
  • Some asset finance providers might need a deposit amount from you. Compare regressively to work it out.
  • Early payment might levy an extra charge. Negotiate with your lender before taking this step.
  • The overall cost might be higher than the price of the asset.
  • Depending on the agreement, any damage to the asset can cost you more. Read it carefully to avoid such happenings.
  • In the case of leasing or hire purchase, you might not become the owner at the end.
  • The duration for repayment will be at least a year or more.
  • The finance provider might conduct credit checks, hurting the business credit reports.

How does asset finance work?

This funding option lets you benefit from the already owned or new assets to fetch additional money. Maintaining cash flow consistency is not a challenge anymore when you are with us. Therefore, let your business go ahead and scale up without hitches by completing the following steps:

Provide asset details: Share basic details about assets you want to buy or lease for your business. We will require this information to match you with a lender. You will have to put in the necessary information in the form that is available here.

Request delivered to lenders: We will forward your details to suitable asset finance companies in the UK. We will contact you further if we need additional information. You will be notified once your request is being processed.

Receive a free quote: Lenders will send you a proposal free of cost. It will give you a complete idea of asset finance rates that will vary from lender to lender. Go through each of them to filter the best one out of them.

Give your consent: A final agreement will come to you. Review it carefully and understand the overall cost. Sign it finally if you are convinced with the rates, terms and other conditions. You can deny and take up the next offer if the previous one is unsuitable.

Wait for the release of money: You will have to keep patience for some time to get a response from the lender. After that, money will credit to your account. You can assign it for the purpose you have borrowed money on behalf of your business.

Despite being an asset finance broker, we can provide basic information about asset finance eligibility:

  • It should be a UK-based business
  • The trading period should be more than 3 months
  • Turnover should be at least £35000 annually

Why seek the help of thebusinessfunds?

We have perceived how requirements vary from borrower to borrower. With a growing number of available loan options, the borrower might get stuck at any point and lag behind in reaching the ideal lender. Our primary responsibility is to join the missing link and make the finance deal-finding process easy.

We as one of the reliable asset finance brokers in the UK look forward to defining our approach in terms of the following aspect:

Speed: Forget about waiting for hours. Our swift procedure allows you to find the right lender in a quick span.

Convenience: We usually work with asset finance providers who follow the less complicated process. It even calls for less paperwork.

Confidentiality: A few personal information that the process demands should be in the application. No further enquiry will follow for other personal information.

Market awareness: Our work demands us to study the market. It is a continuous process for us. You can cash, to our knowledge without, paying anything extra.

Anytime support: Our services are accessible round the clock. Feel free to send us your query anytime and without any hesitation.


Is there any need to pay brokerage fees?

You need not have to pay us brokerage fees. We do not charge any fees for our services. We just received an amount as a commission from the lender only after accepting the finance deal.

Does asset finance for business have any alternative?

A business loan can be a suitable alternative to consider in place of this financing solution. It is primarily applicable if you are looking for finance for the short-term purpose. Later, you can sell the asset to withdraw cash. Weigh your options carefully.

What is the total price to pay for it?

Every finance proposal will have a unique price. It will depend on the type of asset you want to own. Interest rates will further accompany the overall price. You might also observe fluctuation in price depending on the type of finance you choose.

How asset-based financing and factoring are different?

Both these methods have a striking resemblance. The common ingredient is an asset. In the case of factoring, you need to sell off the accounts receivables. On the flip side, you have to use them as collateral to avail of business asset finance.

Will lender repossess the assets?

Your assets will remain with the lender till the term of the contract ends. In the event of default, the lender will repossess the asset and use it further to collect the unpaid money. Be aware, as the asset could be vital equipment for your business!