Stage 3: Working capital & debt
Leasing & asset financing
Quick answer
Leasing and hire purchase let you use machinery, vehicles or equipment while paying over time, with the asset itself usually acting as the security.
Best suited for
Businesses that need equipment, vehicles or machinery to grow.
Pros
- Asset secures the facility, so less other collateral
- Spreads the cost of equipment over time
- Available from banks and specialist lessors
Cons
- You may not own the asset until the end
- Locked into payments even if usage drops
- Only for tangible assets, not working capital
Watch out for
Check ownership terms, early-settlement conditions and maintenance responsibility.
Real-world examples
We have not yet collected a verified public example for this type. If you have one you are happy to share, write to us. Contact
Not sure which fits you?
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