commercial loan

From Equipment to Property: Exploring the Benefits of Asset Finance for Your Business

July 6, 2023

You’ll need a lot to succeed in the business world. You’ll need ambition, amazing ideas and – of course – money! Unfortunately, many businesspeople in New Zealand have heaps of ambition and countless new ideas but not much funding. What do you do if you’re one of them? The answer is actually pretty simple; consider asset finance loans.

Wait, what’s that? You’ve surely heard of loans before, but what makes this type of financing different from the others?

It’s crucial that you understand all of your options before you choose any kind of loan. One very important part of being successful is doing your research and staying informed, so keep reading to learn more.

What Is This Type Of Financing?

This type of financing allows businesses to acquire assets, such as equipment, vehicles or property, without having to pay for them upfront. The asset or assets you’re dealing with can be used as additional security for your loan. You’ll then pay your lender monthly payments until your loan is fully paid off.

Whether it’s physical equipment or a place to work, you’ll need quality assets so that you can continue to produce quality products. Asset financing is designed to help you acquire these crucial assets. They’re typically shorter-term loans than standard business loans.

If you are interested in this for your business, then there are a few things you need to do. Naturally, you need to find a lender that offers this type of financing.

It’s best to work with a professional to find the best lender for you rather than doing it alone. There are many lenders, and one may be better for you than the others.

So, we strongly recommend working with a business loan broker like the ones here at Spinach! It’s best to work with people with experience and connections to the best lenders in Aotearoa. Otherwise, you may end up choosing a lender who’s not quite right for you, and you may have to pay more than you need to.

Once you’ve worked with us to find a good lender for your asset finance loan, the process of getting you the financing you need can begin. We’ll work with you and the lender to find a deal that works for everyone.

How Can I Use A Loan To Make My Business Better And More Productive?

Basically, asset finance loans are there to give business owners what they need to grow and succeed. Well-structured loans can give your company the boost it needs to get out there and change the world.

So, what specific benefits are there?

  • Access To Capital: This can provide businesses with access to capital that they may or may not otherwise be able to obtain. This can be very helpful for businesses that are just starting or companies that need to finance a large purchase.
  • Improved Cash Flow: Asset finance can help businesses improve their cash flow by spreading out the cost of an asset over a longer period of time. This can free up cash that can be used for so many other purposes, such as marketing or hiring new staff.
  • Flexibility: This can be a flexible financing option that can be tailored to the needs of a business. You can work with your broker and your lender to choose the loan terms, the monthly payment amounts and so on. Working with an experienced loan broker can be a fantastic way to find the deal that works for you!
  • Increased Productivity. New equipment can help businesses operate much more effectively, which can lead to increased productivity. Just imagine how much a new vehicle or a new piece of equipment can change your daily operations! Specialised equipment can really help you streamline your business, regardless of what you’re doing or what you’re producing.
  • Improved Reputation. Overall, new assets provided by an asset finance loan can help businesses improve their reputation. You can work more efficiently, produce higher-quality products or provide higher-quality services and make your customers happier with your company. Your company can grow much faster when you have the right assets and equipment. This increased reputation can grow your customer base, improving your profits. Before you know it, your loan will be fully paid off and you will be thriving.

I’d Like Some Assistance, Where Can I Go For Help?

As you can see, this financing can be extremely helpful for business owners trying to succeed. Trying to save up money to purchase new assets on your own can take quite a long time, so financing can really give you a well-deserved boost.

But don’t do it alone! We at Spinach can help you find the best options for you. You can come and see our page on asset financing to learn more about this great opportunity.

Or you can also speak to us directly about your situation. Call us on 0800 774 622 or visit our contact page to learn how to reach us. Together, we can find the best option for you.

Spinach: helping businesses like yours grow and succeed!