BUSINESS ASSET FINANCE
Smart business owners know that asset finance is a game-changer when it comes to buying new equipment. It's often much cheaper than taking out a traditional loan, and because it's secured against the asset, it carries less risk for lenders, which means better rates.
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Asset finance allows you to avoid hefty upfront costs for big purchases like machinery, vehicles, equipment, or even refurbishments by spreading the cost over time.
At Octa Finance, we offer three main types of asset finance: hire purchase, lease finance and equipment refinancing.
Why choose asset finance?
Asset finance is an affordable and flexible solution to help your business acquire the equipment it needs to expand, win new contracts or diversify offerings.
With hire purchase, you’ll own the asset outright by the end of the term, which often qualifies for the government's 'full capital expensing' tax allowance.
This means you can deduct the full value of the asset from your company profits, reducing your corporation tax bill.
With lease finance, some or all of your monthly payments might be treated as operating costs, allowing you to further reduce your taxable profits.
It's always wise to consult with your accountant to understand how these options can affect your tax liabilities.
What is an asset?
In business terms, an asset is anything of value that your company owns.
It could be something you could sell or something that will benefit your business in the future.
Assets are key components of your company’s balance sheet and come in two main types:
Hard assets:
These retain value over time, like machinery or vehicles.
Soft assets:
These depreciate more quickly, like technology, office furniture, or sports equipment.
What is asset finance?
Asset finance is a type of secured loan that allows you to acquire assets without paying for them upfront.
It’s ideal for businesses that want to grow, capitalize on opportunities, or buy equipment without delay.
With asset finance you can spread the cost over several years through fixed monthly payments, meaning you don’t need to tie up all your business’s cash or use other lines of credit.
Whether you need new equipment, vehicles or even a refit for your premises, asset finance helps your business stay competitive and flexible.
A lender will buy the assets you need and lease them back to you with affordable monthly payments over an agreed period.
