Funding Options
With so many funding options available it’s hard to know which is the best option for you. Oak First Finance can break it down in to plain english.
Not sure what funding type you need?
lets explore the options
CONTRACT HIRE
Contract Hire is a basically a fixed term rental agreement.
You pay a set figure over an agreed period. This fixes your cost and allows it to be considered as a business expense and therefore tax deductible. On commercial purchases the VAT is paid and reclaimed monthly. The rental always includes the Road Tax and can also include maintenance and tyres as an option. This is a non ownership product and the vehicle goes back to the finance company at the end of the agreement.
FINANCE LEASE
Finance Lease is considered to be similar to Contract Hire as it is off balance sheet and the cost is considered tax deductible. Unlike Contract Hire the vehicle is registered in the company name and not with the finance company. VAT is paid and reclaimed monthly and it can be possible to purchase the product at the end of the agreement.
ASSET FINANCE
Asset Finance is a purchase agreement secured against the purchased asset. This is the most common product on the market and is available on a full range of products from Boats, Tractors, Machinery to Plant equipment and farm equipment.
BRIDGING LOANS
Sometimes, you will need to raise money fast! Whether it is a purchase from auction or you just need to complete a transaction quickly, Oak First can work with its panel of providers to arrange short term funding for almost any purposal as long as there is an asset (usually property) to back the lend. Short term funding is not a solution to term debt but allows a transaction to take place, then, once this is done the asset can be disposed of in an orderly fashion or refinance can be arranged.
INVOICE FUNDING
Invoice discounting, or confidential invoice discounting as it is sometimes known, has always been a popular method of funding cashflow for trading businesses. The use of the debtor book is very common now and allows a company to use an asset not normally ‘sweated’ too hard. This can free up other assets traditionally used to secure overdrafts and other means of funding businesses.
COMMERCIAL MORTGAGE
A loan secured against a non-residential asset. We can arrange either portfolio loans or single loans for owner occupier businesses.
BUY TO LET RESIDENTIAL MORTGAGE
Whether you need to be able to release the equity in an unencumbered asset portfolio or you wish to refinance an existing property/s we can help arrange finance. This could be with a traditional senior debt lender or if the case is more complex we have access to a network of secondary funders and private banks who are prepared to take a slightly more pragmatic view to lending positions.
BUY TO LET COMMERCIAL MORTGAGE
Just like for residential investment loans we can help with commercial portfolios and individual units too.
LUXURY ASSET LENDING
Sometimes, clients need to get access to funding quickly in order to make a deal happen. Funding against traditional property assets can take prohibitively long to draw down, which is where Luxury Asset Lending comes in. We can arrange loans against watches, classic and luxury cars, precious metals and diamonds, works or art as well as high fashion items such as handbags. This can be arranged with the minimum of fuss with funds in the bank within 48 hours in most cases.
CREDIT FACILITY
Credit Facilities are basically asset funding where a pre-agreed limit has been agreed.
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We work with some of the largest finance houses in the market
Oak First Finance
