Small businesses need to acquire assets to grow, but many struggle to secure financing through traditional means. Fortunately, there are now many online asset finance platforms that make it easier for small businesses to get the funding they need. In this article, we’ll review some of the most popular online platforms for small businesses that are partnered with Funding Bay.
Close Brothers:
Close Brothers is a well-established provider of asset finance solutions in the UK, offering a range of financing options to businesses of all sizes. Their offerings include hire purchase, leasing, refinancing, and asset-based lending. Close Brothers also provides industry-specific solutions, including construction, transportation, and manufacturing finance. Close Brothers is known for their flexible and personalised approach, offering bespoke finance solutions to meet the specific needs of their clients.
Lombard:
Lombard is a leading provider of asset finance solutions in the UK, offering a wide range of financing options, including leasing, hire purchase, and loans. Lombard provides finance solutions for a variety of assets, such as machinery, vehicles, and IT equipment. Lombard is known for their industry expertise and experience, providing tailored solutions to meet the specific needs of their clients.
Aldermore:
Aldermore is a specialist lender that provides a range of financing solutions to businesses, including asset finance, invoice finance, and commercial mortgages. Aldermore offers flexible finance solutions, with hire purchase and leasing options available for a range of assets, including vehicles, plant machinery, and office equipment. Aldermore is known for their personal and transparent approach, offering clients a dedicated relationship manager to guide them through the finance process.
Blackhorse:
Blackhorse is a provider of asset finance solutions for the automotive industry, offering a range of financing options for both new and used vehicles. Their offerings include hire purchase, leasing, and personal contract purchase (PCP). Blackhorse is known for their strong relationships with car dealerships and their competitive rates, making them a popular choice for businesses in the automotive industry.
Pros and Cons
Pros for small businesses
Convenience:
Online asset finance platforms are convenient, as they allow borrowers to apply for funding from the comfort of their own home or office.
Fast Approval:
Online asset finance platforms typically offer fast approval times, with many lenders providing financing in as little as 24 hours.
Flexible Financing:
Online asset finance platforms offer flexible financing options, allowing borrowers to choose a repayment term that suits their needs and circumstances.
Competitive Interest Rates:
These platforms typically offer competitive interest rates, making them an attractive financing option for small businesses.
Cons for small businesses
Limited Funding:
Online asset finance platforms may have limited funding capacity, making it difficult for some businesses to secure the financing they need.
Higher Interest Rates:
While interest rates offered by online asset finance platforms are competitive, they can be higher than those offered by traditional lenders.
Additional Fees:
Some online platforms may charge additional fees, such as origination fees or prepayment penalties, which can add to the total cost of the loan.
Online asset finance platforms can be a great financing option for small businesses, providing convenient access to financing with fast approval times, flexible repayment terms, and competitive interest rates. However, it’s important to carefully consider the pros and cons of each platform to determine which one is the best fit for your business’s unique needs and circumstances. With Funding Bay’s partnerships with top online platforms, small businesses can access the funding they need to grow and scale their businesses.
Visit our asset finance calculator here.
