Article provided by Capitalise
Buying new machinery, plant or equipment is an essential part of business growth. But ever find it racks up hefty upfront costs that put pressure on your business?
We’ve partnered with Capitalise to help you understand asset finance. A finance option that can help you buy or refinance the assets your business needs, while spreading the costs over an agreed period of time.
Capitalise’s aim is to help small businesses discover how to get healthier and find funding that’s a better fit. Read on to see how they explain asset finance options and find out whether it could help your business work towards healthier numbers and cashflow.
The benefits of asset finance
Many people can find asset finance confusing. But breaking it down, it’s simply a funding option that allows lenders to purchase assets on your behalf, allowing you to spread the cost in affordable monthly repayments. Or simply lease the asset for as long as you need.
It’s often an affordable and popular form of financing used by many businesses to get what they need for their business to move forward.
Capitalise partners with a variety of lenders who offer this type of finance option and can help you figure out what would work best for you and your business.
How do you apply for asset finance?
Once you’ve decided asset finance could benefit your business, you’ll have to apply to your chosen lender with some documentation.
Of course, individual lenders tend to have their own document requirements as part of their application process, but the below should give you a good starting point to know what you’ll need:
- Supplier invoice for the asset
- Full set of accounts with detailed profit and loss statements
- Up-to-date management accounts
- Aged debtor and creditor list
- 6 months’ business bank statements
We know picking which funding fits your business and getting to grips with the paperwork can often be confusing and daunting.
If you feel like you would benefit from some guidance on what’s needed and whether it’s right for you, have a chat with Capitalise today.
With a growing panel of South African lenders at their fingertips, they can help you navigate the funding world. And help you apply for funding that helps you work towards the business goals you’re reaching for.