We might be living in uncertain times, brought on by the coronavirus crisis, but the entrepreneurial spirit of many British SMEs remains undiminished.
In a new survey by Facebook in partnership with the World Bank and the OECD, 60% of UK owners remain hopeful for the future of their business despite the significant challenges they have faced in light of Covid-19.
With a vaccine potentially just around the corner, businesses are right to remain hopeful that a more predictable economic outlook awaits. In addition to continuing to protect cash flow, the challenge over the next few months is to ensure they are in a position to capitalise once normality kicks back in and beat the competition to an improving market.
However, is there a way that firms can invest in their businesses without jeopardising cash flow? Could equipment leasing be the answer?
Leasing provides some flexibility
Businesses need to be in a position to make hay while the sun shines – as the market improves and consumer appetite returns – but any steps to meet demand need to be done so with cash flow and capital in mind.
Leasing requires no major upfront cost and means you can benefit from new equipment while keeping money in the bank – money you might use to invest in other areas of your business. At the same time, you won’t need to worry that your purchases will push you into your overdraft and neither will you need to rely on loans or other credit lines.
Equipment leasing isn’t just a good option for these uncertain times – it makes good commercial sense no matter what the environment.
Say you decide to purchase equipment outright. Technology advances at such a rate these days that in a few years’ time, that equipment may be outdated and not sufficient or efficient for your business.
Equipment leasing, on the other hand, removes this risk of obsolescence. Having paid for it as you used it, you can simply hand it back at the end of the agreement and lease the next generation of equipment that keeps your business at the cutting edge of your market.
In addition, lease payments may be tax deductible against your profits, meaning that they attract tax relief for the duration of your lease agreement. Your business’ accountant will be able to advise you on how this can reduce your tax bill.
Finding a suitable lender
Right now, you want three things from a lender: transparency, reliability and quick decisions. Shire Leasing has been delivering just that to our clients since we started 30 years ago and throughout the duration of the pandemic.
What sets Shire Leasing apart from other lenders is our personal approach to service delivery. Each client is given their own dedicated account manager who acts as a single point of contact, keeping applicants informed throughout the whole process and building up a trusted relationship and rapport that’s nigh on impossible to get from a bank.
However, you can avoid picking up the phone for an update on the status of your application or to view agreement documents via Shire Leasing’s members’ club platform, accessible through the website. This enables you to access your account online, including settlements and VAT schedules thus saving you precious time.
Another huge advantage of working with Shire Leasing is the fast turnaround times of credit decisions. Typically you will find out in under 4 hours whether you will be able to access finance or not so you can make swift and efficient decisions in the best interests of your business. With acceptance rates upwards of 75%, even in these testing times, the answer is most likely to be the one you wanted.
Lease your equipment with Shire Leasing
At Shire Leasing we have helped businesses across a wide range of industries benefit from cutting-edge equipment acquired through leasing. Financing important equipment purchases allows you to keep up with ever-evolving demand and control your cash flow. Get in touch today to find out more.