Alfandari is a market leader in asset re-finance solutions. We unlock the capital already invested in equipment, machinery or commercial vehicles.
By releasing cash locked in your assets we ensure the stability of your business. For example, you can use the funds to enable swift recovery from bad debt or financing balloon payments on existing loans. The capital released can help to repay bank overdrafts or reduce monthly payments on existing hire purchase or lease agreements. You can also use the fresh injection of working capital to fund expansion plans and stimulate further growth and development.
Advances range from £10,000 to £50 million with repayment terms ranging from a minimum term of 12 months up to 10 years. Repayment profiles can be tailored to meet your individual business requirements, taking seasonality into account.
Could asset refinancing benefit your company?
This is an area of asset finance which some businesses are unaware of; however, asset refinance can be a very effective financial tool for releasing capital from your existing assets and freeing up your cash flow.
If your company has already purchased expensive assets such as property, machinery or technology you can sell them back to a leasing firm who will reimburse you with the current value of the asset. You continue to use this asset as before and send the lessor regular payments.
Asset refinance can make a company more flexible by allowing it to react to a change in market conditions or respond to a financial problem such as a bad debt. It can also help to free up capital so that a firm can take advantage of a new business opportunity.
When refinancing assets an agreement is drawn up between the asset holding company and the lessor. Repayments are generally made over a fixed period of time at monthly or quarterly intervals and the rate of interest paid also tends to be fixed. The exact terms of each agreement will be different and it may be possible to negotiate non-standard terms with a lessor. Asset refinancing companies will usually try to be flexible as it is a competitive market.
As a rate of interest is attached to asset refinancing deals you will end up paying more than the original price of the asset over the term of the arrangement. It is a relatively low cost way to raise funds though and the benefits of refinance often outweigh the extra cost involved.
In the UK market, Alfandari has a quality range of products in the asset refinancing sector.