What is asset refinance?
Asset refinance.
Refinancing offers you the best of both worlds; you can still use the asset in question at the same time as capitalising on a cash injection straight into your business.
By refinancing assets you can fund a range of projects that would not easily be financed by other methods, such as acquiring another company, buying out a business partner or generating cash to fund improvements to your work environment.
There is a lender willing to refinance just about any asset, of any age up to a maximum of 90% of it’s value - subject to professional valuation.
Good for: Any business that wants to generate additional working capital and simplify their debt structure by consolidating all of their existing repayments.
Asset refinance - FAQs
What is asset refinance?
Refinancing (capital release) is a quick way to access the cash from your assets on your existing balance sheet and use that value elsewhere within your business – for example, to fund a deposit on new equipment or ease cash flow.
How does it work?
Sale and HP Back is a form of refinance that can be used against most types of equipment, making it suitable for companies of all sizes, including sole traders.
It works by us purchasing the asset and financing it back to you.
Repayments are calculated in line with the income stream that will be generated by the asset and at the end of the refinance term, you own the asset.
What if there is still some finance outstanding on the asset?
This option applies whether you already own the asset or are using it under a finance deal with another provider.
Do I need to provide any security?
Because refinancing is secured against the asset there may not be any need for additional security.
How long does it take to set up asset refinance?
Asset refinance can be set up in a matter of days, but it is very dependent on the size and complexity of your application and how quickly we get the information that the finance company needs to them.
How much does asset refinance cost?
Every agreement and facility is different. The cost to your business will depend on your needs and the services you choose to use. If you would like discuss how asset refinancing could work for your business, and get an idea of costs, get started now.