Asset & Equipment Finance

Asset & Equipment Finance

One of the key challenges when growing an SME is expanding or upgrading your asset base, thereby growing your overall business. Asset finance is a solution to overcome this, allowing businesses to ‘purchase’ specific equipment, vehicles or heavy machinery without enduring the upfront cost. 

There are three types of asset finance…

Hire purchase usually involves a regular payment to ‘hire’ the asset over a specified period of time. After the final instalment, the business purchases the asset for a nominal amount.  

Leasing provides access to new equipment through a rental agreement with a specified time frame, but there is no transfer of ownership once the value is paid. While you have the equipment during the rental term, the asset is officially owned by the lender. There are two main types of leasing: finance or operating. 

With a finance lease, the rental payments pass through the profit and loss account of the business. This may have tax benefits for the borrower, but you bear the risk of disposal at the end of the lease. 

With an operating lease, you make payments for the use of its equipment while needed. As the borrower only keeps the asset for a limited period, it’s not shown on the business balance sheet. 

Whatever your requirements, DEIS Capital will establish the most suitable solution to help support your SME well into the future.

This is a loan agreement where funds are borrowed by the customer to purchase equipment. The customer provides security for the loan by the Lender taking a registered mortgage over the subject asset. 

Whatever your requirements, DEIS Capital will establish the most suitable solution to help support your SME well into the future.