Business Equipment Financing

Whether you’re an established business or just starting out, business equipment financing can provide essential support to accelerate your business growth.

Understand your options, the importance, and the mechanics of this financial facility to make an informed decision for your business.

Signing a personal guarantee does come with some advantages and disadvantages, most lenders will opt out of offering you a loan without that additional security. With so much personally at risk, it could be worth insuring yourself with Personal Guarantee Insurance.

What is Business Equipment Financing?

What is Business Equipment Financing?

Business equipment financing and equipment leasing is a financial strategy aimed at helping businesses acquire much-needed equipment. Instead of outright purchasing, it involves either leasing or borrowing machinery, vehicles, and other equipment necessary for the daily operations of a business.
In today's economy, the value of staying ahead while preserving your business's capital cannot be overemphasised. Equipment financing allows companies to do just that – acquire the latest business technology without tying up working capital or business lines of credit.
The way equipment financing works is simple and straightforward. You apply for financing and once approved, the fund will be used to lease or purchase your business equipment.
You repay over a contractual period until you've fulfilled the payment terms.

Types of Financing

Types of Financing

With equipment loans, you borrow money to purchase equipment outright. The purchased equipment serves as collateral for the loan.
Leasing involves renting equipment for a specified period, at the end of which, you may choose to purchase, return or continue leasing the equipment.
Hire purchase is similar to leasing, but with an implied agreement that the business will purchase the equipment at the end of the lease period..

Benefits & Downsides

Benefits

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Personalise the financing solution to dovetail with your specific business requirements, including the borrowing sum and repayment term.

Spare your operational expenses while making provision for the growth-centric equipment you need.

Open doors to superior-quality and high-end equipment that might initially be beyond your financial reach.

Our straightforward and efficient application process means you could have access to the funds within a single day.

Depending on your circumstances, you may be eligible to deduct monthly repayments (consult a financial advisor for precise information).

Convert the cost of sophisticated equipment into manageable monthly instalments.

Downsides

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As with any financial commitments, there’s the risk of failing to make repayments, which might lead to financial difficulties.

Technology advances quickly and equipment can become obsolete before it’s paid off, leaving you paying for outdated equipment.

Too much equipment financing can lead to over-leveraging, affecting your credit rating and ability to secure other forms of finance.

Types of Equipment Financed

Why Opt for Business Equipment Financing?

Apply for business equipment financing today and furnish your enterprise’s growth with indispensable resources.

Eligibility and Application Process

Apply for business equipment financing today and furnish your enterprise’s growth with indispensable resources.

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Eligibility Criteria

Most lenders look at the length of time in business, credit history, and business accounts before approving equipment loans. You'll need to be registered in England, Wales, Scotland or Northern Ireland to apply with a registered office. 

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How to Apply

Apply directly through a credit broker, such as Smart Funding Solutions. A dedicated account manager with years of industry expertise will take care of the application process, leaving you to carry on with the day-to-day operations of your business.

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Required Documents

Typically, you’ll need your latest full filed accounts, bank statements and the details of the equipment you’re looking to purchase. Smart Funding Solutions Limited does not offer advice or services in this area of insurance. Smart Funding Solutions Limited have partnered with Purbeck Insurance Services, a trading name of Purbeck UK Limited who offer Personal Guarantee Insurance (PGI) on behalf of Markel International, an A-Rated Fortune 500 insurance company. They are authorised and regulated by the Financial Conduct Authority under firm reference number 75682.

Frequently asked questions

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Business equipment financing can help you obtain the necessary equipment to boost productivity and improve business performance without making a large upfront payment.

Our process is highly efficient, and successful applications will receive a decision within 24 hours.

Yes, we only work with lenders regulated by the Financial Conduct Authority, and our processing is secure and encrypted.

This will depend on the type of business you run. If you have a limited company, you are legally required to open a business bank account. However, if you’re a sole trader or self-employed, it’s a good idea to keep your business and personal funds separate.

The biggest advantage of separating your accounts is that you can finish your tax return accurately and promptly at the end of the year.

Based on your eligibility and business need, you can secure up to £500,000 in business equipment financing.

Based on your eligibility and business need, you can secure up to £500,000 in business equipment financing.

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No, there are no broker fees for our services.

Yes, unsecured loans do not require collateral, thereby safeguarding your business assets.

Depending on your circumstances, business equipment financing might help in potential tax deductions. It’s best to consult with a financial advisor.

Financing terms can vary and can be structured to fit your business needs.

A hire purchase agreement allows businesses to use equipment while making payments, with the option to own the equipment once all payments have been made.

If you’re unable to make scheduled payments, it’s important to immediately contact your lender to negotiate a possible solution.

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