Specialist

Plant Machinery Finance

For buying and refinancing business equipment

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Plant Machinery Finance

Clifton private finance

We specialise in sourcing plant machinery finance for business purposes in the UK

We provide high-quality plant machinery finance solutions for UK and international clients.
  • Finance from £25,000
  • Repayment periods geared to the economic life of asset
  • Finance available on new, used and auction-bought items
  • No asset age limit
  • Great way to fund large machine or asset purchases
  • Refinance existing assets to free up your company's liquid capital
  • Cashflow matched repayments
  • Equipment Finance; Agricultural & Grounds equipment; Hospitality & Leisure equipment; Logistics & haulage; Technology & security equipment; Plant equipment; Machinery equipment, Property development equipment
Through our market knowledge we can deliver enhanced, bespoke or exclusive terms.  
Call us on 0203 900 4322 to discuss your requirements or alternatively compare quotes below. 
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Plant Machinery Financing Service

If you want to purchase new equipment or plant machinery, paying upfront in cash may not be an option for you, depending on your cash flow situation.  Alternatively, you may already own business assets, which can be used to release cash to improve working capital. 

Asset financing can provide a solution. 

Equipment leasing:

Purchasing new plant machinery or equipment using company cash can significantly strain cash flow. Excavators, bulldozers, cranes or loading shovels don’t come cheap – so an excellent option to get you started could be to secure this equipment using finance.  

Leasing is a rental agreement where a lessee can use and operate equipment or machinery under a lease agreement from the owner (lessor) in return for regular payments.

Depending on the type of lease agreement, at the end of the term, the lessee can continue making payments to use the equipment, get an equipment upgrade to benefit from improved technologies or return the equipment to the owner (lessor). They can save you from paying large sums upfront while securing the necessary equipment to help you get your business.

There are 2 types of equipment leases:

  • Operating leases -  Usually taken out for a short or medium-term period. Allows the use of an asset but does not convey ownership rights, and as such, the lessor is not responsible for maintenance. The asset will also not appear on the lessee's balance sheet, where rental payments can be offset against profits.
  • Finance leases - Often referred to as "Capital Leases", the lease is typically taken out for the asset's lifetime by the lessee. The lessee will make rental repayments over the rental period equivalent to the asset value plus interest. At the end of the term, the lessee can continue using the asset, usually for a lower rental repayment, sell the asset, get a percentage of the sales proceeds, and return the asset to the owner. With a finance lease, VAT can be spread over the repayment term.

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Hire Purchase:

  • With a hire purchase, you can spread the cost of the asset you buy over time.
  • You own the asset at the term end and are responsible for maintenance and insurance.
  • Typically, a hire purchase agreement will require an initial down payment followed by a set number of capital repayments plus interest over a fixed term.
  • Typically, the type of assets purchased under a hire purchase agreement include business vehicles such as vans and lorries, but can include machinery such as loading shovels, bulldozers, and excavators.

Asset Refinancing

If your business owns assets, it may be possible to unlock value to release cash. Typically, there are two ways to raise finance in this way. One way is to use the asset as a security for a loan. The second way, often called asset-based lending, is to sell an asset to a specialist lender for an agreed amount. Your business can then lease the asset back from the lender based on an approved capital plus interest repayment schedule.

Pros & Cons of Asset Financing

Pros:

  • A great way of reducing the upfront cost of purchasing high-ticket value items
  • With fixed repayments, you can budget effectively
  • With this type of finance the asset you are buying acts as the security
  • The provider normally covers maintenance and insurance costs 
  • It can be more cost-effective than bank loans or an overdraft facility

Cons:

  • As with most debt, there are implications if you don't make repayments on time. The asset could be reclaimed, which could seriously impact your business.
  • Specific damage to the asset may not be covered by insurance and must be covered by you (your business).

Call us today to discuss your requirements on 0203 880 8890

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