Product Overview
Understanding Finance Lease
A Finance Lease allows businesses to use vehicles, equipment and other business assets over an agreed term without purchasing them outright. The lender retains ownership of the asset throughout the agreement, while the business makes regular rental payments for its use. VAT is payable on the rental payments rather than on the full purchase price which gives an immediate cash flow saving.
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Once the finance is repaid you can continue to lease the asset for a nominal annual payment until disposal.
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Agreement structures, rentals and end-of-term options may vary depending on the asset type, funding structure and individual business
circumstances.
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Balloon payments and structured repayment plans available depending on asset category.
Key Benefits of Finance Lease
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Preserve Working Capital
Spread the cost of acquiring business assets without having to pay the full amount of vat due on your next asset purchase.
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Flexible Rental Structures
Rental profiles may be structured to support seasonal business.
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Balloon/lump sum rentals may be available depending on asset type.
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Flexible End Of Term Options
At the end of the agreement, you have the option to extend the lease or arrange for the asset to be sold to a third party.
Additional Finance Lease Information
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Funding available for new and used business assets
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VAT is payable on the rental payments rather than on the full initial purchase price
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Structured or seasonal rental profiles may be available where required
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The lender retains ownership of the asset throughout the agreement term
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Businesses are responsible for maintenance and insurance costs
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Minimum transaction size - £25K
Common Finance Lease Assets
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Car, van and commercial vehicle/trailer fleets
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Manufacturing and engineering equipment
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Construction and plant machinery
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Agricultural equipment
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Technology and IT infrastructure
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Medical and specialist industry equipment
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Business-critical operational assets
The Finance Lease Process
01.
Initial Consultation
02.
Indicative Funding Review
03.
Approval & Documentation
04.
Asset Delivery & Use
Discuss your asset requirements and preferred funding structure with our team.
We assess suitable funding options and provide indicative quotations based on your individual requirements and circumstances.
Once a suitable facility has been identified and approved, documentation is completed and the finance lease agreement is finalised.
The asset is delivered and can be used immediately, with rental payments made over the agreed term.