Specialist
Transport & Logistics Finance & Leasing
Finance Solutions for Transport & Logistics
Finance Solutions for Transport & Logistics
Transport & Logistics Finance & Leasing is a type of asset finance that allows businesses in the transport and logistics industry to acquire the vehicles, equipment, and machinery they need to operate efficiently and competitively.
Transport and logistics businesses often require specialised and expensive assets, such as trucks, trailers, forklifts, cranes, and warehouse systems. These assets can be difficult to purchase outright, especially for small and medium-sized enterprises (SMEs) that may have limited cash flow or working capital.
By using Transport & Logistics Finance & Leasing, businesses can spread the cost of acquiring these assets over a fixed period of time, typically ranging from 12 to 60 months. This can help them preserve their cash flow, improve their liquidity, and avoid the risks of depreciation and obsolescence.
Transport & Logistics Finance & Leasing can also offer tax benefits, as the monthly payments can be deducted from the taxable income of the business. Additionally, some types of Transport & Logistics Finance & Leasing can allow the business to claim capital allowances on the assets, reducing their tax liability further.
There are two main types of finance available for Transport & Logistics Finance & Leasing: hire purchase and finance lease.
Hire purchase is a type of Transport & Logistics Finance & Leasing that gives the business the option to own the asset at the end of the agreement. The business pays a fixed monthly instalment to the lender, which includes interest and a portion of the capital. At the end of the term, the business can pay a final balloon payment to acquire full ownership of the asset, or return it to the lender.
Hire purchase is suitable for businesses that want to eventually own the asset and benefit from its residual value. It also allows the business to claim capital allowances on the asset, as they are considered the legal owner of the asset from the start of the agreement. However, hire purchase also means that the business is responsible for the maintenance and insurance of the asset, and that they bear the risk of depreciation and obsolescence.
Finance lease is a type of Transport & Logistics Finance & Leasing that gives the business the right to use the asset for a fixed period of time, but not the option to own it. The business pays a fixed monthly rental to the lender, which covers the interest and the depreciation of the asset. At the end of the term, the business can either return the asset to the lender, extend the lease, or sell the asset to a third party and retain a percentage of the proceeds.
Finance lease is suitable for businesses that want to use the asset without the hassle of ownership and disposal. It also allows the business to deduct the full amount of the rental payments from their taxable income, as they are considered the economic owner of the asset. However, finance lease also means that the business cannot claim capital allowances on the asset, and that they may have to pay a higher rental than hire purchase, as they do not contribute to the capital of the asset.
The process of obtaining Transport & Logistics Finance & Leasing is relatively simple and straightforward. Here are the typical steps involved:
The eligibility criteria may vary depending on the type of finance, the lender, and the asset. However, some general factors that lenders may consider are: the business’s turnover, profitability, cash flow, credit history, trading history, and the value and condition of the asset.
The interest rates and fees may vary depending on the type of finance, the lender, and the asset. However, some factors that may affect the interest rates and fees are: the amount and term of the finance, the credit rating of the business, the market conditions, and the risk and residual value of the asset.
The tax implications may vary depending on the type of finance, the business structure, and the accounting method. However, some general rules are: for hire purchase, the business can claim capital allowances on the asset and deduct the interest portion of the monthly instalments from their taxable income; for finance lease, the business can deduct the full amount of the monthly rentals from their taxable income, but cannot claim capital allowances on the asset. The business should always consult a professional tax adviser before making any decisions regarding their finances.
In need of Transport & Logistics Finance & Leasing?
We can help you:
And when we’ve established the best type of finance for you, we will:
Call our team on 0203 900 4322 to discuss your requirements or book an appointment.
I approached Clifton Private Finance to help me get a mortgage as an Expat working in the Far East. I would normally 'cut out the middle man' on something like this and try to get myself a deal directly with the banks, but I am now sold on the broker concept and wouldn't hesitate to use Clifton Private Finance again. There were a number of complicating factors such as being an expat, the stamp duty holiday, the sheer amount I wanted to borrow and the fact I wanted it all wrapped up before the Stamp Duty holiday ended. It is clear to me now that the relationship that brokers have managed to foster with their banks means they can simply pull levers and make stuff happen that us ordinary folk cannot. Put simply, they are worth every penny, will take most of the stress out of the lending process, and seem to have access to deals that you just won't find on the internet. Thank you George and Jan for all your hard work!
James M
Luther was excellent. Very clear in his advice and explanations of products and was able to move things on very quickly when we ran into difficulties with the estate agents. Without a doubt I would recommend Luther to all friends, family and colleagues. Luther was a joy to deal with and took a lot of the stress out of a troublesome transaction, from my end. I would view Luther as real asset to Clifton Private Finance Ltd.
William W
The team at Clifton Private Finance has been outstanding, not only in helping me to obtain a mortgage on a slightly unusual home, but also in continuing to provide support and liaise with the lender and solicitors through to completion. Thank you for making the process of buying my first home much easier.
Chantelle S
Sam O'Neill, and the new lender he identified for me, worked tirelessly together using my time constraints, to make sure my mortgage application was completed on time. They are a brilliant company to work with, fast, efficient, open and transparent from the very beginning, and turned a seemingly impossible situation into a viable one. Sam was brilliant throughout the whole process and I would highly recommend him, and his colleague Helen, to anyone without hesitation, I cannot speak highly enough about them.
Myr B
I was incredibly lucky to find Clifton Private Finance after a search on line as their service has been more than exemplary. My point of contact was Sam 0’Neill and he was happy to help at every stage during the application of the bridging loan, making a stressful process much easier to deal with. He was always available by phone or email and gave prompt answers to queries I had as well as always getting back to me when he said he would. That to me is excellent customer service and I cannot thank him personally or the company enough for the support they have given me.
C Jefferey
Adam cannot thank you enough for all your support throughout this arrangement. You have gone more than the extra mile to support us. Without you we would not have got our dream retirement home. You have been most professional and personable. Liz and I would be more than happy if you wanted to use us a reference with respect to any future clients.
Nigel & Liz K - Bristol
You have certainly shown me that you do everything for your clients, including tolerating their excessive emails and questions for updates. I have been kept in the loop, from yourself, about why the delays were occurring (Nationwide, post etc) which I would like to highlight that I really appreciated. I certainly will be able to recommend you to others as and when the need arises.
Mr Morris
I recently contacted Clifton Private Finance after a Google search for bridging finance providers and was immediately struck by their efficiency and support. Forms were emailed over almost immediately and the necessary finance was arranged within a few days. None of the other companies I contacted came close to their professionalism, and the quote that I eventually received was impressive. Thank you Adam, your help has enabled us to reserve the house that we wanted and I certainly recommend you to others.
Mr M. R. - Oxford
Absolutely brilliant. The service was first class, got everything sorted efficiently and were always friendly. Any fees were negligible compared to the service offered. Robert was particularly outstanding.
Charles N
My advisor, Robert, was very helpful in finding the mortgage to suit me. He kept me up to date throughout the process and dealt with any issues when they arose.
Rowena C
