If your business is looking to purchase a new asset in order to grow, then there’s a chance you’ve considered applying for finance in order to help you do so. What you might not have considered is the fact that there are a range of options available to your when it comes to asset and equipment finance, one of which is hire purchase.
Hire purchase is effectively a loan that is secured over the asset or goods being financed. The customer will usually own the goods upon the final payment of the loan. The facility will appear on the customer’s balance sheet and capital allowances can be claimed.
Typically hire purchase loans are used to fund assets with a good to strong residual value such as vehicles, cars, machinery, etc.
Payments are calculated based on the full cost of goods, plus the appropriate interest. The full elements of VAT (if applicable) are usually payable at the start of the agreement. If you are looking for an excellent hire purchase facility for your business, CMF can put one in place that suits you.
Here at Corporate and Medical Finance, we are happy to help you fund the assets that your business needs, and our highly experienced team of finance experts are always on hand to talk you through the full range of options available for you to make your next purchase.
Remember, hire purchase loans may not be the only business asset finance option available to you – you may also want to consider leasing or loans. If you’re unsure which would be the best for your business, one of the team here at CMF will be happy to talk you through you options.
Why not give us a call today to discuss your requirements?