If you are looking for finance or in need to grow your business, or this can help you solve your cash problems. It is a great time to be in the market for business finance. There is a whole lot of opportunities than the traditional bank loans.
Market lenders are offering a variety of funding solutions to businesses with a strong business case. Products on offer range from Commercial Mortgages to Asset Based Lending.
Many options mean you will find great product suiting your business structure. Many lenders are present providing many opportunities, you have a chance to research and compare quotes to get the best deal out of it. There are still many criteria to overcome, but businesses with quality applications and great business plans will get what they need.
The world of business finance is complex. Let’s take a look at the alternative products present in our beginner’s guide to finance.
There are two types of business mortgages
Owner-occupier mortgages is for business wanting to buy premises for their business operations and commercial investment mortgages for companies wanting to buy business property apart from house loans to rent out to other businesses.
Many lenders operate from different sectors, from leisure to different sectors industrial to retail offices. All have different criteria of lending and sizes of deposit required.
Commercial mortgage protects from sudden rent hike and the interest repayments are susceptible to tax deduction. Since many options of lenders are available means you can look around for the best prices, same with a residential mortgage.
If you want company assets like car, machines or other equipment, you will have to decide if it’s convenient to purchase or lease it.
Purchasing machinery means you will buy the asset and allowances can be offset against tax. You may not have that money to give and would have got the loan with great difficulty.
Asset Finance can give you the best solutions, mainly for machinery that becomes outdated easily and requires high maintenance costs or that is not used often.
It is easy to budget as the repayments are for a certain amount over a certain period of time and can have an option to purchase at the end of the deal or modify a new model, based on the kind of hire purchase or lease you opt for.
Asset Finance is easily available because the asset itself is taken as security. But this is just a beginner’s guide give you a fair picture of some of the options that are available. Expert advisers know every detail of the market and can help you get it and compare quotes to look for the most ideal deal for your business.
Matt Davis a partner at Empire commercial Finance, a firm specializing in Commercial Mortgage seeking to serve client of UK with ease. A company with expert professional Commercial mortgages London and most independent business funding solutions.