Answers to the questions we are asked most often about asset finance, business finance and how we work.
268 questions answered, grouped by topic.
Asset finance explained
Agreement types
- What is hire purchase?
- What is a finance lease?
- What is an operating lease?
- What is contract hire?
- Will I own the equipment at the end of a finance lease?
- What is a balloon payment?
- What is sale and leaseback?
- What is asset refinance?
- What is the difference between leasing and buying equipment?
- What is a minimum lease period?
- What happens at the end of a finance lease?
What you can finance
- What sort of equipment can I finance?
- What are hard assets and soft assets?
- Can I finance a commercial vehicle?
- Can I finance a van?
- Can I finance an HGV or truck?
- Can I finance agricultural machinery?
- Can I finance plant and construction equipment?
- Can I finance used equipment?
- Can I finance CNC or woodworking machinery?
- Can I finance catering or hospitality equipment?
- Can I finance IT and technology equipment?
- Can I refinance equipment I already own?
- Can I finance renewable energy equipment?
Vehicles & transport
- Can I put a van through my limited company?
- How much deposit do I need for a van on finance?
- Can I get a van on finance with no deposit?
- How long do I need to have been trading to finance a van?
- Can I finance a van from a private seller?
- Will applying for van finance affect my credit score?
- How long does it take to get a van on finance?
- What happens at the end of van finance?
- Can I sell my van before the finance is paid off?
- Can I settle van finance early?
- Is it better to lease or buy a van?
- Do I need a business bank account to finance a van?
- Can I finance more than one van at a time?
- Can I get van finance with no credit history?
- Can I change to a bigger van partway through an agreement?
- Can I finance an HGV or lorry?
- Can I finance a used HGV?
- What is van finance?
- Should I lease or buy a van?
- Can I finance a used van?
- Can I finance a minibus?
- Can I finance a school minibus?
- Can I finance a coach?
- Can I finance a hearse or funeral vehicle?
- Can I get van finance if I am self-employed?
- Can I get van finance with poor credit?
- Can I finance an accessible or wheelchair-adapted minibus?
- Can I finance a taxi?
- Can I finance a private hire vehicle?
- Can I finance a horsebox?
- What is the difference between business vehicle finance and personal car finance?
Agriculture, land & forestry
- Can I finance a tractor?
- Can I finance a combine harvester?
- What is farm machinery finance?
- Can I finance farm buildings or a grain store?
- Can I finance groundscare or turf machinery?
- Can I finance golf course equipment?
- Can I finance tree surgery or arb equipment?
- Can I finance a wood chipper?
- Can I finance a post knocker?
- How do I finance equipment when starting a tree surgery business?
- Can I finance woodworking machinery?
- Can I finance a used tractor?
- Can I finance livestock?
- Can I finance a sawmill?
- What is an agricultural mortgage?
- Can repayments be structured around harvest income?
Trade, plant & premises
- Can I finance construction plant and machinery?
- Can I finance an excavator or digger?
- Can I finance a CNC machine?
- Can I finance machine tools?
- Can I finance scaffolding?
- Can I finance a modular or portable building?
- Can I finance warehouse racking?
- Can I finance a forklift?
- Can I finance catering equipment?
- Can I finance a commercial kitchen fit-out?
- Can I finance healthcare or dental equipment?
- Can I finance IT and computer equipment?
- Can I finance a mobile CCTV tower?
- Can I finance equipment I intend to hire out?
- Can I finance a full business fit-out?
- Can I finance solar panels for my business?
Leisure assets & coverage
- Do you arrange asset finance in North Yorkshire?
- Do you arrange asset finance in West Yorkshire?
- Do you work with businesses outside Yorkshire?
- What can I fund with asset finance?
- How do I work out what my monthly payments might be?
- Do you have examples of deals you have arranged?
- Can I finance a boat?
- Can I finance a commercial or charter vessel?
- Can I finance a caravan?
- Can I finance a static caravan or holiday lodge?
- Can a holiday park finance new lodges?
- Can I finance a motorhome or campervan?
- Can I finance a campervan conversion?
Eligibility & credit
- Can a new business get asset finance?
- Do sole traders qualify for asset finance?
- Do I need a deposit for asset finance?
- Can I get asset finance with no deposit?
- Do I need to provide a personal guarantee?
- What documents do I need to apply for asset finance?
- Can I get asset finance if my bank has declined me?
- Does my business need to be VAT registered?
- How long does my business need to have been trading?
- What happens if I have a CCJ?
- Can I get asset finance if I have been in an IVA or had a default?
- Will applying for asset finance affect my credit score?
Business credit
- How does a finance decision affect my personal credit rating?
- What is your business credit score when you first start trading?
- Can I apply for a cash flow loan if my business has a low credit score?
- Does my personal credit score affect my business credit?
- Is there a quick way to improve your credit score?
- Can I get business finance if I have a CCJ?
- What is a good Experian business credit score?
- Can a poor business credit score be improved?
- When do negative marks drop off a credit report?
- How often should you check your credit score and credit report?
- Will switching business bank accounts affect my credit score?
Applying & servicing
- How long does asset finance take to arrange?
- What is the application process for asset finance?
- How quickly can I get a decision?
- What happens after my asset finance is approved?
- Who pays the supplier?
- What happens if I miss a payment?
- Can I upgrade or change equipment during the agreement?
- What happens at the end of the agreement?
- What happens if the equipment breaks down or is faulty?
- Can I settle an asset finance agreement early?
- How do I make a complaint?
Borrowing basics
- What are the minimum and maximum amounts I can borrow?
- How much can I borrow for my new business?
- How does APR differ from the interest rate?
- Does a merchant cash advance require security or collateral?
- Are bridging loans a good idea?
- Are there different types of bridging loan?
- How long does it take to get a bridging loan?
- How quickly can I secure a commercial bridging loan?
- Is my business eligible for a commercial bridging loan?
- Should I consider a commercial bridging loan for my needs?
- What are the risks associated with commercial bridging loans?
- What is a commercial bridging loan?
- What is an exit strategy for a commercial bridging loan?
- Will a bridging loan affect my mortgage application?
- What are government-backed loans?
- Who administers the Growth Guarantee Scheme?
- How do interest rates and fees affect a credit arrangement?
- Can I negotiate my APR with lenders?
- Are bridging loans expensive?
- How long will the Growth Guarantee Scheme be available?
Wider business finance
- What is business finance?
- What is a working capital loan?
- What is cash flow funding?
- What is a corporation tax loan?
- Can I get finance to pay a tax bill?
- What should I do if I have been declined for business finance?
- What is the difference between secured and unsecured business finance?
- How much can my business borrow?
- What is an HMRC Time to Pay arrangement?
- What is the Growth Guarantee Scheme?
- What is invoice finance?
Cash flow
- What should I include in my late payment policy?
- Is net profit the same as cash flow?
- How does a cash flow loan differ from a traditional term loan?
- How quickly can I expect to receive the funds after applying for a cash flow loan?
- What should I do if my business is experiencing negative cash flow?
- How often should I monitor and analyse my cash flow?
- How can I improve my cash flow if I have a seasonal business?
- Are there any restrictions on how I can use the funds from a cash flow loan?
- Are there any tools or software available to help with cash flow management?
- What should I do if my small business experiences a cash flow crisis?
- How often should I review and update my cash flow forecast?
- Do you offer seasonal payment terms?
- What is the difference between cash flow and profit?
- What is operating cash flow (OCF)?
- How can I prepare my business for seasonal cash flow fluctuations?
- What are some common causes of cash flow problems in small businesses?
- How can I improve my accounts receivable process?
- How should I send late payment reminders to customers and clients?
- How should I manage and avoid late payment fees and charges?
- What is the typical repayment period for cash flow loans?
Tax & accounting
- How is hire purchase treated in my accounts?
- What is depreciation and how does it affect my business?
- What is a VAT loan?
- Is asset finance tax deductible?
- What are capital allowances?
- What is the Annual Investment Allowance?
- Can I claim capital allowances on hire purchase?
- Can I claim capital allowances on a finance lease?
- How is a finance lease treated in my accounts?
- Can I reclaim VAT on asset finance?
- Is it better for tax to lease or buy equipment?
Tax & HMRC
- What is capital expenditure?
- How difficult is it to complete a VAT return?
- Is an EORI number the same as a VAT number?
- Should I take a VAT loan?
- How do I avoid capital gains tax (CGT) when selling my business?
- Can I change my accounting period for corporation tax?
- Do dividends reduce corporation tax?
- What is value added tax (VAT)?
- What reliefs and allowances are available for corporation tax?
- When is my VAT bill due?
Profit & financial metrics
- My ROCE seems lower than industry benchmarks — how can I improve it to enhance my business's financial performance?
- What is the difference between net profit and gross profit?
- Can net profit be negative, and what does it indicate?
- What is a good net profit margin?
- Is net profit the same as net income?
- Is net profit the same as net income or net earnings?
- Can gross profit be higher than net profit, and how and why?
- Can net profit margin be negative, and what does it indicate?
- How do operating expenses affect the net profit calculation?
- What are the common challenges in evaluating net profit?
- How can net profit trends be analysed over time?
- How do extraordinary items affect net profit evaluation?
- When is EBITDA used in business valuation?
- What does EBITDA tell us about a company's financial health?
- Can EBITDA be negative, and what does that mean?
- What is the primary difference between gross profit and net profit?
Business structure & banking
Growth & suppliers
- Is supplier finance considered a loan?
- How can I ensure that my company valuation is accurate?
- Are there any penalties for switching suppliers before the contract ends?
- Can a startup be valued using the same methods as an established company?
- Can vendor financing be used for acquiring businesses in any industry?
- How can businesses strategically leverage creditors for expansion?
- How do creditors contribute to business growth?
- How important is my personal financial history in securing a business acquisition loan?
- What is the difference between business growth and scalability?
- What is vendor finance in asset finance?
- How can I get finance to start a business?
- What is the difference between introducer finance and vendor finance?
For dealers & suppliers
- What is a dealer finance partnership?
- Why should I offer finance to my customers?
- Do I need to be FCA authorised to offer finance to my customers?
- How does a finance broker help my dealership?
- How quickly will my customer get a decision?
- Does offering finance help me sell more machinery?
- Can I offer finance on used machinery?
- Can agricultural machinery dealers offer finance?
- Can HGV and truck dealers offer finance?
- Can plant and construction dealers offer finance?
- Can van and commercial vehicle dealers offer finance?
- Can dealers in Northern Ireland offer finance to their customers?
- What is hire fleet finance?
- What are the rules on introducing customers for finance?
- How do I refer a customer to CW Asset Finance?
About CW Asset Finance
- Is CW Asset Finance FCA regulated?
- Is CW Asset Finance a scam?
- Does CW Asset Finance charge a fee?
- How many lenders does CW Asset Finance work with?
- Where is CW Asset Finance based?
- What areas does CW Asset Finance cover?
- How does CW Asset Finance get paid?
- What is a dealer partnership?
- Can dealers offer finance to their customers?