Leasing and other forms of asset finance are used by the majority of FTSE 100 companies, as well as SME’s, professional partnerships and many other types of organisations in the UK.
It’s often used instead of outright purchase as one of its many benefits is that it improves cash flow, the lifeblood of any business. Even for cash-rich companies wishing to expand, the temptation can be to use some of that capital to pay the expansion costs upfront in order to avoid incurring interest and to obtain ownership straight away. However it’s not always the most cost effective solution to tie up capital in this way. Don’t take our word for it; this is what one of our customers told us last month:
“Without lease finance it would have been an enormous strain on our cash flow to fund the new office fit out, communication and IT network and furniture. The agreement is running very smoothly with the payment by direct debit and thanks to small instalments spread over 5 years we can barely feel it.”
If you or your customers are looking to invest in new equipment or in other business assets, then it’s always worth obtaining a lease proposal to see how it compares. Out of habit and lack of awareness, many businesses will approach their bank as the first port of call in order to discuss finance options, but there are lots of alternative funding sources available and lease finance could just be the one that most suits your business requirements.
Interested? Call us now if you would like to discuss your equipment or office project on 01494 783773.