Is Construction Asset Finance right for me?
When you choose to invest in your Construction Equipment you have a few choices – either rent, finance or buy your construction machinery with cash.
However with the cost of both new and used Construction Equipment on the rise again, buying outright with cash is not an option for most Construction businesses. Even if they have spare cash, it is a lot of cash to tie up in a purchase that could be spread over terms of up to 7 years.
If you choose to finance your Heavy Construction Equipment there may be several reasons that led you to this decision.
- Ownership – you may decide that owning the equipment at the end of the finance is the right thing to do, alternatively you may want to hand it back. Construction equipment Leasing or Heavy Equipment Leasing may be appropriate in some circumstances.
- Tax savings – depending on the finance package chosen, there may be tax advantages in financing your next construction equipment purchase.
- Choice of suppliers – when you choose to finance construction kit, you are free to choose your supplier and not limited to just one option that the dealer has.
- Fixed repayments – you are certain of your monthly commitments at the start of the facility, giving you certainty.
- Choice of either a New or Used heavy equipment – with the rise in cost of used construction machinery, the financing of used equipment is very popular.
Construction Equipment Loan or Asset Finance
Although some businesses will use a Construction Machinery Loan (Businessloan) to finance their machinery, it often makes more sense to use Asset Finance such as Hire Purchase to spread the cost of the asset over the useful life of the machinery
Can you help a Machinery and Plant Equipment Hire Company?
Yes, whether you use construction machinery as part of your business or hire them out to other businesses , we can help with your finance requirements.
Asset Finance for Construction Contractors available?
Yes, definitely – over the years, we have helped several construction contractors finance the equipment they use on a daily basis.
We have helped Construction businesses finance:
- Excavators
- Diggers
- Dumper Trucks
- Scaffolding
- Access Platforms
- Modular Buildings
- Portable Toilets
- Generators
- Earth Movers
- Trucks
- Trailers
- Telehandlers
- Cranes
- Mobile Cranes
Construction Asset Finance Calculator – Machinery Finance Deals
It’s very difficult to provide an accurate indication on the costs of financing Construction equipment. Several variables including client financial strength, value and age of the equipment together with amounts of deposit available all contribute to how our lenders price their facilities. Please get in touch for more information on pricing.
Some of our lenders will also consider clients that require construction equipment finance with bad credit or new start business.
Don’t forget as we have over 40 lenders on our panel we will often be more competitive with finance than a Construction Machinery Plant Dealer or Equipment supplier.
Construction Machinery Plant Dealer Finance
If you are a Construction Machinery Dealer or a supplier of construction equipment, we would love to talk with you as we may be able to offer your clients a finance option when purchasing equipment from you.
Do you only help finance Construction Plant and Machinery Equipment?
No, at Business Finance Direct we are a broker dealing with over 40 specialist lenders. Our lending panel lets us help businesses from a wide variety of sectors to get the finance they need for their purchases. We can help clients arrange finance for Vehicles, Machinery, Commercial Property and to assist with cash flow fluctuations. Short Term business loans are often used by construction clients to improve cashflow conditions.
Construction Invoice Finance Factoring
Construction Invoice Finance and Construction Factoring can be used by businesses in the construction sector as a way of improving cashflow.
It’s a very serious problem that many construction companies are made to wait long periods before they receive payment for their invoices due from customers. Late payments seem to be particularly common in the construction sector. Many Construction companies fail every year due to a lack of cashflow, using a construction invoice finance facility may help.
Construction Factoring can be more complicated due to the contractural nature of the industry, therefore only certain factoring companies will consider funding clients in this industry.
To find out more how construction invoice finance may be able to help your business, please get in touch.
Construction Client Case Study for a Bristol based builder using Construction Invoice Finance
We were contacted by a Bristol based builder who was getting concerned that his available cashflow was running low.
The family business had been very busy during Covid, working on sites around the Bristol area, however their debtor book was rising with customers taking longer to pay.
Although they had 2 larger customers, they also had several smaller customers so we approached a specialised construction factoring company to see whether they would be willing to provide a facility.
After surveying the business, the factoring company was happy to provide a facility and an initial advance was made quickly. The initial advance was rushed through as the owner had concerns over the upcoming wage bill.
The client still uses the facility and now finds it essential for funding and also enjoys handing over credit control to the invoice finance company for them to operate.
We offer a Free, no obligation service so please do get in touch and let us help you.