At Moorgate Finance our main product is asset finance, but what is it?
When a company chooses to expand their business it often requires the use of additional equipment.
Farms may need to invest in more tractors, whilst distribution companies may need more delivery vehicles and IT companies might need more software and IT equipment.
Asset finance can spread the cost of all of these purchases and help you to overcome any obstacles that might arise.
Affordability of products is a common obstacle because many people don’t have enough cash to make an outright purchase.
But with asset finance the cost of the equipment can be repaid over a term of up to five years.
Repayments will be put in line with any revenue generated and the working life of the equipment.
Asset finance has many benefits, which is why Moorgate Finance use it.
Some of the benefits include:
Preserving existing credit lines.
Achieving project ambitions by using multiple banks.
The Asset finance process starts with the supplier, usually a business, who has the product to sell.
Next there is the customer, likely to be an individual or business, that wants to purchase the product from the supplier.
There is then the lender who finances the purchase for the customer.
Moorgate Finance broker the finance between the customer and the lender so that the customer can purchase the suppliers product.
The lender pays the supplier on the customer’s behalf and then the customer will pay the lender back over a fixed period of time.