The advantage of leasing or using asset finance is that it allows you to acquire useful assets immediately, without draining your cash reserves.
If you are keen to buy a new car, or you’re a business owner and you need new equipment to help your business run more efficiently, finance can be a smart option.
At Ink Wealth, we’re experts in all types of finance – and we’re especially skilled in finding the right finance for these types of assets.
It’s important to know that not all finance is the same, and as a finance broker, we know what to look for in the conditions offered by different providers. This means we can recommend the finance deal that will best meet your requirements.
In many cases, you can set the repayments to match your ability to pay, which is a great way to manage cash flow. You can also gain tax advantages through the tax deductibility of interest payments for finance used for business purposes, and through depreciation of the assets.
There are a few different types of asset finance available. These include Chattel Mortgages, which are used by businesses to purchase assets such as motor vehicles, trucks, and professional equipment (and which are used by the business for more than half the time). You own the asset when you take delivery, and the finance provider secures the loan against the asset you purchased.
Commercial Hire Purchase is another way to go, where you effectively hire the asset until you make your final payment, at which point you own it. It’s often possible to reduce the size of the payments you make during the term of the agreement by including a ‘balloon payment’ at the end.
With leasing, you can return the asset at the end of the agreement period, or you may be invited to buy the asset for a sum nominated by the leasing company.
There are other kinds of finance available, and we’d be pleased to walk you through your options to help identify the best path for you. Contact us today to learn more.