Finance Leasing

For finance leasing a business typically sells property of machinery to a leasing company and then rents the assets back. At the end of the agreed period, your business is expected to buy back the assets at the agreed price.

Advantages

• Securing finance leasing is often easier than obtaining a bank loan
• Being in a position to afford the latest machinery and equipment
• Having fixed costs because interest rates are fixed

Criteria

• Length of trading history: six months
• Minimum turnover: 100,000  per annum
• Net assets: 50,000
• Lending range: £5,000 to £1 million