When you want to own the asset outright, this is the most traditional form of asset finance. Interest charges can be fixed or variable and the term varied to suit individual cash flow requirements.
Unlike hire purchase ownership never passes to the named Customer/Hirer on a lease agreement.
The customer effectively rents the asset for a predetermined period of time from the finance company.
At the end of this period the hirer traditionally has 3 options
1) Retain the use of the asset by paying a secondary period rental
2) Sell the goods to a third party on behalf of the finance company
3) Return the asset to the finance company
If vehicles or equipment have been purchased outright by a customer using their own cash flow it is possible to fund these assets either by Hire Purchase (England Only) or Lease provided the transaction is completed within a maximum of 90 days of the goods being purchased.
If cash is required to be injected into the business to fund business expansion, a buyout or simply for working capital,
owned or partly owned assets can be used for this purpose. This is one of our most popular products..