Asset Finance Loans enable businesses to purchase assets they need to operate and grow.
Hire Purchase (HP)
The company will own the asset and pay for it over its useful working life.
Buying assets outright can drain on cash flow so this can boost working capital and ease your cash flow through regular monthly installments over a period of time.
Depending on the asset type, they can also be refinanced if relatively new
Typical Assets funded include:-
There are currently tax benefits available when using HP and we recommend speaking to your accountant before committing to a purchase
Lenders Assessment
Lenders generally wish to see at least 12 months trading history and will require at least a 10% deposit and VAT paid upfront.
Profitability will need to be demonstrated to ensure affordability.
Owner-Occupied Commercial Mortgages are secured long term mortgages, secured against commercial properties used as the trading premises of the borrower. This may include any warehousing and other property assets on the balance sheet that the business uses for its business operations.
This can also be a multi unit property, either commercial or semi-commercial, with other units leased to 3rd parties where leases are established between the trading business and the tenants
We can also source funding on Opco/Propco arrangements where the asset is held in a Property Company "Propco" in common ownership to the Operating Company "Opco" and where a lease is established between the two.
Classic examples of requiring an owner-occupied mortgage are:-
The term 'Owner-Occupied' covers any form of business where there is a trading operation and a freehold trading asset offered as security so this incudes, but is not limited to the following sectors:-
We can assist literally any trading sector so if it is not listed above please enquire.
Lenders Assessment
Lenders will typically want to see a strong, sustained trading performance over 2-3 years and we will work with you to present the case in the best possible light.
As every case is different, on occasion we can structure a deal with less trading history or with poor performance in any given year, where we will work with you to try to mitigate the poor trading period before presenting the case to lenders.
Generally you will require at least 25% deposit for this type of finance but there are exceptions and each deal will be assessed on its own merits.
All offers of lending would be subject to affordability checks
Invoice Finance is a working capital solution where businesses release cash tied up in their invoices.
Lenders will typically advance up to a maximum of 85%-90% of the invoice value while you chase your clients for the payment.
Types of Invoice Finance:
With many large companies dragging their heels with payment terms, waiting for payments can be very restrictive on your business operations and growth.
Invoice finance can provide the money upfront on the day the invoice is raised, enabling your business to maximise its output and growth.
Invoice finance is used across a range of industries including but not limited to:-