Asset Finance
Welcome to AssetFinanceInfo.co.uk, your resource for asset finance information.
Commercial Finance is divided up into four main options:
• Asset Finance and Leasing
• Asset Based Lending
• Factoring
• Invoice Discounting
Asset Finance, Asset Based Lending and Invoice Finance (the generic term for factoring and invoice discounting, also known as receivables finance) all have a growing part to play in SME and mid-market business to business sectors. Over the last ten years, the commercial finance industry has seen overall growth of 398 per cent, with an increase of 527 per cent in domestic invoice financing over this time (Source Factors and Discounters Association - FDA). Just ten years ago only 13,000 companies in the UK used invoice finance but now this has increased to 43,000 UK businesses being advanced over £11 billion by FDA members.
However, Asset Finance and Asset based Lending can often be confused, as can factoring and invoice discounting. This web site is designed as an objective and informative guide to each of these commercial finance terms.
Asset Finance includes Hire Purchase, Lease Purchase, Leasing, Operating Lease and Contract Hire. The most common kind of asset financing is to extend loans to purchase assets (new or used) such as Plant, Machinery, Buses, Coaches, Commercial Vehicles, Computers and other Office Equipment, EPOS Systems and Fixtures and Fittings. Getting asset finance for Aircraft, Boats, land, property, natural resources and stock may prove more problematic. Asset Finance generally enables businesses to borrow between £10,000 and £10,000,000.