Equipment finance
JK Asset provides Hire Purchase, Leasing Commercial and Professional Loans to assist with the purchase of new or used assets for business use.
What is the best funding facility to use?
This all depends on the particular individual requirement and structure of each individual transaction and client requirements. What suits one client does not always suit the next client!
Remember...
Arranging specific funding for specific assets can reduce the pressure on cash flow
Confidential Invoice discounting
CID is a form of invoice finance which enables you to raise funding via your unpaid invoices, without having to wait the 30, 60 or 90 days to be paid by your customer.
CID will improve your cash flow, offer you the option to protect your business from bad debt and unlock the tied up value in your invoices.
With CID, you raise an invoice to your customer as per usual on your normal company stationery, send it to your customer and then present the finance provider with a copy to authorise payment. Typically, 75-85% of the invoice value can be released by the finance provider subject to individual circumstances.
Invoice Factoring
Factoring takes away all the difficulties of chasing payment on your invoices and helps removes the worries of not knowing when you might get paid.
Factoring is a great tool in avoiding cash flow problems. Poor cash flow is still the biggest killer of businesses.
Once an Invoice Factoring facility is set up, you raise your customer invoice as per normal but present a copy of the invoice to the Factoring provider. The Factor (commercial finance provider) then advances you, the client, money secured against the value of the outstanding invoice you have just raised. Typically up to 90% of the invoice value can be advanced.
Refinancing
This is an area of asset finance of which some businesses are unaware, 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.
