<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=187246752162350&amp;ev=PageView&amp;noscript=1">
Get a Quote

On This Page:

Intro to Asset Finance Loans

Types of Assets

- Soft Assets

- Hard Assets

Why Get An Asset Finance Loan

- Access to New Equipment

- Flexibility

- Improved Cash Flow

- Why Use a Finance Company for Your Asset Finance Loan

When to Upgrade Assets

Conclusion

 

 

Intro to Asset Finance Loans


When a business is focused on growing, it needs to invest money into its assets to ensure high and successful turnover. The best way to ensure high business productivity is by having the most creative, most cutting-edge assets for your business. The business may not have all the money they need to hand, so an asset finance loan is the best route to go down. An asset finance loan from a tailored asset finance company allows you to keep up-to-date with the relevant equipment without losing the money within your business. 

Asset finance loans can be beneficial for obtaining the assets in the first place and upgrading them. However, businesses can be afraid to upgrade assets for fear of substantial initial costs and the risks of a disruptive installation process.

what is asset finance

"Take the next step to get your asset finance loan."

 

Types of Assets

 

 

Soft Assets

A soft asset is something you can't physically touch. For example, new software for computers, a new CRM system to organise leads, new skills for your business Alexa. Each of these can be considered soft assets. 

asset financing

"Asset finance loans can be taken out for both soft and hard assets."

 

 

Hard Assets

A hard asset is anything you can physically touch. Examples of the hard assets Love Finance provides asset finance loans for are machinery, computers, vehicles, tools, livestock. 

hard assets

 

 

Why Get an Asset Finance loan?

 

Access To The Newest Equipment

The most apparent advantage of asset finance loans is that businesses can access the equipment they may not have been able to afford had they not chosen to use finance. Accessing this equipment will give your business a leg up that your competitors might not have; you can offer a service that's way above what you’d expect from a small business. New equipment gives you leverage. Another essential benefit to consider is the increased efficiency and productivity that a brand new asset can provide you; each pound spent on new equipment is a pound better spent than on an investment that's three years its senior.

asset refinancing

"Use an asset finance loan to stay up-to-date with recent technology."

 

Flexibility

Banks are still feeling the impact of the economic collapse of 2008, which has meant the reluctance to lend has increased; it only takes one minor flaw in a business's history for a bank to refuse an asset finance loan. Approaching an asset finance business such as Love Finance allows for more flexibility as lending criteria are slightly leaner, mainly because each company is judged on its own merits instead of a strict one-size-fits-all checklist.

asset finance company

"Leasing through an asset finance loan provides your business with options."

 

Improved Cash Flow

Another benefit of asset finance is that it improves your cash flow, as there is no enormous initial cost for you to worry about. Spreading a high price over 2-5 years allows businesses to breathe a sigh of relief knowing they afford affordable monthly payments whilst having the best equipment for their business.

asset growth

"Improve the cashflow within your business with an asset finance loan."

 

Why Use A Finance Company For Your Asset Finance

As a rule, banks don't have a strict set of industries that they lend to. Therefore their lack of specialised knowledge may lead to companies taking out finance packages that don't suit them. Working with an asset finance company offers more excellent specialist knowledge as most asset finance companies operate within a set amount of industries - for instance, at Love Finance, we specialise in garage, fintech and software finance. By being niche, asset companies can go deep into the weeds of finance in a particular industry. Comparing this to alternative lending solutions such as P2P and crowdfunding, where the funders barely understand the business they are funding or the industry, it makes sense to use asset finance firms.

asset finance provider

"Use Love Finance for your asset finance loan as we know how to help you hit your targets."

 

When To Upgrade Your Assets

Regardless of your asset setup, it will need to be upgraded. Otherwise, you’re sitting on an outdated asset and not making the amount of money it could be making. The effect of an unproductive investment doesn’t stop there; it can spread to other parts of your business, halting your production line by affecting a particular bit or section of a process or an outdated kit demotivating your staff. 

The link between productivity and asset upgrade isn’t just hyperbole… 31% of manufacturers in the State of the Manufacturing Nation Report 2016 said that investment in new equipment had a positive impact on productivity. Productivity also matters if you’re a business that's had a period of expansion and is looking to diversify into new areas; if you can't access high-quality assets that can get you into new markets - it's the difference between success and failure.

asset finance agreement types

"Use asset finance loans to upgrade your equipment and keep your business moving."

 

Conclusion

To keep your business thriving, assets must be kept up to date in line with your competitors. An asset finance loan will aid this as you don't have to worry as much about the business's outgoings. If you're interested in financing your assets, contact us or click here to apply. 

 

GET APPROVED FOR FINANCE IN SECONDS

APPLY NOW

Recent Business Loan Posts

Should I Buy or Lease a Van for My Business?

Should I Buy or Lease a Van for My Business? Which Option is Best for Your Business? ...

Why We’re Asking for Financial Documents

What Documents We Need to See - Bank statements - Accounts How to Access Your Documents Why We Need...