The benefits of ownership – without the downsides

The benefits of ownership with spread fixed rentals and disposal taken care of.

Finance lease benefits

  • Low up-front costs – for just a small outlay, you can use the assets immediately
  • Flexible repayment structure – rental payments can be tailored to match your cash flow
  • Fixed or variable interest options – you decide which suits you best
  • Tax advantages – VAT is payable on the rentals, not the purchase price, while payments can normally be offset against taxable profit (special rules apply to cars)

Monthly payments can be matched to your cash flow. At the end of this commercial leasing agreement, the relevant assets are sold and you receive the major share of the proceeds. As the asset owner, we claim the available writing-down allowances and reflect this in your monthly payments.

Own your asset while spreading the cost

Hire purchase – otherwise known as lease purchase – is a simple repayment facility, where you eventually own the asset at the end of your agreement with Alfandari.

Hire purchase benefits

  • Total control – the asset is yours at the end of the agreement
  • Flexibility in your repayments – makes for easy budgeting
  • Fixed or variable interest options – it’s your decision which is best for you
  • Tax advantages – normally you can claim writing-down allowances and perhaps capital grants, while repayment interest may be offset against profits and VAT is usually reclaimable (special rules apply to cars)

There is great flexibility with this type of asset finance. We can structure it in various ways, with a flexible deposit, fixed payments and perhaps a balloon final lump sum.

Reduce asset risk and boost cash flow

This option is well worth considering for specialised and higher value assets. We own the asset and take the risk of it losing value. Meanwhile, you get to use it for as long as you wish.

Operating lease benefits

  • Fixed costs – for a set sum you can use the asset immediately
  • Cash flow boost – we fix a residual value that lowers your payments
  • Flexible repayments – rentals can be tailored to match your seasonal cash flow
  • Fixed or variable interest options – you decide which suits you best
  • Off-balance sheet – check with your auditor about this business advantage
  • Tax efficiencies – VAT is reclaimable on the rentals, while payments can normally be offset against taxable profit (special rules apply to cars)

We build in a residual value that reduces your monthly payments. This type of commercial leasing instantly aids your cash flow and makes ‘off-balance sheet’ funding possible. In effect, you can match your fixed rentals to your income – particularly helpful for seasonal businesses.