As the main hub of data and information in any business, it’s vital that the office runs as smoothly as possible. That means giving your staff the equipment and resources they need to manage your business effectively.
But building the working capital to upgrade and expand your office activities takes a lot of time. That’s doubly true when you also need to invest in other areas of your business.
Thankfully, asset finance for office equipment is a fast, low-risk option that lets you overcome this hurdle with ease. It allows you to get all the office equipment you need right away, letting you improve your services and boost your income potential.
How does asset finance for office equipment work?
When you apply for asset finance, you use assets as collateral for the purchase of office equipment. You then make small monthly payments, often at a fixed interest rate, until you’ve covered the cost.
With a typical bank loan, you risk financial turmoil or even bankruptcy if you can’t make a payment. But with asset finance for office equipment, the lender would simply seize the assets you used to secure the purchase to cover what they’re owned.
Since you have a lot of freedom to choose your own collateral, this greatly reduces the risk of financing vital equipment. It’s also why office equipment asset finance is a popular choice for smaller businesses and startup companies who can’t qualify for a bank loan.
Types of office equipment you can get on asset finance
You can use office equipment asset finance to fund the purchase of:
- Officer furniture
- Computer hardware and software
- Laptops and tablets
- Storage equipment
- Printers, copiers, scanners and shredders
- Reliable phone and internet services
What can I use as collateral for office equipment asset finance?
There are two types of assets you can use to secure asset finance for office equipment:
- Hard assets: Physical possessions such as equipment, furniture and electronic systems
- Soft assets: Non-physical property like copyrights, patents and trademarks
Compared to other forms of financing, asset finance is relatively safe and low risk. But remember that it comes with no guarantees. So you should only ever offer assets your business could reasonably function without when you apply for office equipment asset finance.
However, there’s another option that can help you avoid this dilemma entirely. Often, the assets you can put up as collateral include the assets you buy through financing.
In many cases, this is the best choice, as it doesn’t put the existing assets you’ve been using up until now at risk.
How much does office equipment asset finance cost?
The total amount you pay for office equipment asset finance depends on a few factors, including:
- The amount you borrow
- The length of your repayment term
- Your credit score and history
- Your lender’s terms
You may also need to pay a small upfront fee. And as with most loans, early repayment can also incur a charge.
That said, asset finance for office equipment is often much more affordable than a typical bank loan. You can even reduce costs further by applying through Kane Financial Services.
As an established independent finance broker, we have exclusive access to deals with better rates and terms than many high-street lenders. As well as saving you money, it also gives you confidence that you’ve found the best possible deal in the shortest amount of time.
To find out which options are available to your business, apply for asset finance online today.
Benefits of office equipment asset finance
- Immediate access to vital equipment: It can take years to gather the funds you need to optimise or expand your business. But asset finance gives you the cash you need right away. And since superior equipment lets you increase your earning potential, it becomes even easier to repay when your business picks up steam.
- All under a single contract: Offices are fast-paced, busy work environments. And with so much going on, it can be tough to manage multiple repayment plans from multiple lenders. But asset finance for office equipment lets you get everything you need from a range of suppliers under just one plan. It’s an effective way to consolidate and streamline your finances without unnecessary stress.
- Low-risk financing option: Since you use assets to secure your loan, your finances remain protected even if you can’t make a repayment. Your loan is also 100% tax deductible and doesn’t affect your other lines of credit. So it’s often the most financially intelligent option for growing your business.
- No large upfront payments: While you may need to pay a small upfront fee, the bulk of your expense is spread out over time. You’re never expected to part with a large sum of money, and your monthly repayments are manageable. This lets you maintain a healthy amount of working capital to fund day-to-day operations, protect yourself against surprise expenses elsewhere and invest in growing other areas of your business.
- Easy cash flow management: Paying a single sum on a regular basis makes it easy to predict and manage your outgoings each month. This reduces the risk of accounting errors and helps you make accurate long-term financial plans.
- Flexible financing options: You have a lot of room to negotiate the amount of terms of your asset finance contract to suit your business. And you can choose the assets you put up as collateral. Whether you’re a brand new startup of an established national company, there’s sure to be an asset finance option that benefits you.
Apply for office equipment asset finance online
At Kane Financial Services, we’ve spent more than 35 years establishing ourselves as a leading independent asset finance broker. With our experience and expertise, we help businesses throughout Northern Ireland and the UK grow with fast, low-risk access to top-of-the-line equipment.
Apply for office equipment asset finance online today and one of our experts will be in touch to discuss your financing options.