Asset finance lets your business acquire the equipment, machinery and vehicles it needs without a large upfront payment. But “asset finance” covers several products, and the right choice depends on whether you want to own the asset, how long you will use it and how you want it treated for tax.
Hire purchase
With hire purchase you pay an initial deposit and fixed monthly instalments. Ownership transfers to you on the final payment, and you can usually claim capital allowances from day one.
Leasing
Leasing gives you the use of an asset for a fixed rental. At the end of the term you can extend, upgrade or return it — ideal for technology or equipment that dates quickly.
Refinance
If you already own valuable equipment, refinance releases the equity tied up in it as working capital, while you continue to use it day to day.
Not sure which suits you? A PFC account manager can model the options side by side.
