Asset refinance: get cash back from the assets your business owns.
Asset refinance lets your business raise cash from vehicles, machines or equipment it already owns. Your business keeps using them, and pays the lender back each month. Our team works with businesses across Scotland and the whole UK.
Good to know: we are a broker, not a lender. We can ask over 120 lenders for you, and there is no fee to apply.
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Written by Martin Mackenzie, Sales Director. Checked .
Read the film's words
Asset refinance. In this video we are going to discuss asset refinance. Your business may own things like vans, lorries, diggers or tractors. Money is tied up in them. Refinance lets your business get some of that money back, as cash. And your business keeps using them. So how does it work? First, a lender values the asset. Most lenders lend up to 80% of what it is worth. Some go up to 100%. The lender buys the asset from your business. Is there still finance on it? That is paid off first. Your business gets the rest. Then your business pays the lender back each month. Most often over 2 to 5 years. The asset is the security. If paying stops, the lender can take it back. Lenders charge for the money, so more is paid back in all. Lenders often want to see three months of business bank statements. And the latest accounts. And proof the business owns the asset. You can refinance vans, lorries, diggers, tractors and workshop machines. Most business equipment that can be moved can be refinanced. We help businesses across the UK. From Cornwall to Caithness, and the islands too. One. Apply online with Donnie, our in house AI agent, day or night. Two. We talk it through, and go over what you own. Photos help. Three. You sign a consent form. Then we run a light credit check on the company. It is often known as a soft search. We send your case to lenders keen on what you own. Each one does its own credit check. Four. You say yes or no. The lender may check the asset. Five. Old finance is paid off, and the rest goes to your business. Our page has a free checklist. Try your own sums there too. Apply online with Donnie, our in house AI agent, 24/7. Or call our team on 01463 652 653. Thanks for watching!
Apply through our in house AI agent, Donnie
What is asset refinance?
It is also called sale and HP back (sale and hire purchase back), asset refinancing, equipment refinance, or equity release. Equity is what the asset is worth, less what is still owed.
What does refinance mean in simple terms?
To refinance is to put new finance on something you own. It can swap old finance for new, or raise fresh cash.
Is asset refinance the same as sale and leaseback?
Asset refinance and sale and leaseback are close, but not the same. Refinance is also called sale and hire purchase back: after the last payment, the asset is yours again. In a sale and leaseback, the lender still owns it at the end.
Is sale and leaseback a good idea for vehicles and equipment?
Sale and leaseback can be a good idea when the cash pays for something that earns. The business must also be able to meet the payments. It can hurt when there is little value left in the asset. It can also hurt when the cash is only needed for a short time.
We do arrange true sale and leaseback, but it is rare. Most of the refinance we arrange is sale and hire purchase back. With true leaseback, the lender owns the asset at the end. In both kinds, it can be taken back if the payments stop. Ask your accountant about tax and VAT.
What can the money from refinance be used for?
Almost any business need. Here are nine ways businesses use it.
- Clear costly credit cards and short loans
- Join several agreements into one payment
- Pay a deposit on a new asset
- Pay a tax or VAT bill
- Get ready for a contract or busy season
- Buy out a partner or shareholder
- Buy a business
- Pay a balloon payment that is due
- Get back cash you paid at an auction
How does asset refinance work?
A lender values the asset and buys it from your business. Any old finance on it is paid off, and your business gets the rest. Then your business pays the lender back each month.
How do we arrange it?
We find out what you own, what is owed, and what the money is for. Then we find the lenders that suit, and bring you their offers.
From Cornwall to Caithness, and the islands too, we can help.
Five steps, and most of the work is ours
Apply through our in house AI agent, Donnie
Online, day or night, in about 5 minutes.
Refinance your assetsAbout 5 minutes, 24/7We talk it through
We go over your assets. Photos help, with any serial number or VIN plate.
Sit back while we search
You sign a consent form. We run a light credit check on the company, often known as a soft search. Then we send your case to the lenders keen on your assets. Each one does its own credit check.
Your offer, and the documents
You say yes or no. A lot of lenders let you sign online. The lender may check the asset.
Receive the funds
Old finance is paid off, and the rest goes to your business.
What assets can be refinanced?
Most business assets that can be moved: vehicles, plant, machinery and equipment, new or old.
Vehicles and lorries
Vans, pickups, lorries, minibuses and taxis. One, or a whole fleet.
Plant
Diggers, dumpers, telehandlers and rollers.
Farm machines
Tractors, combines and balers.
Factory and workshop machines
Lathes, CNC machines and presses.
Something not on the list?
Tell Donnie, our in house AI agent, what you own. He passes it to our team.
Ask DonnieOnline, 24/7How much cash can I release?
Most lenders lend up to 80% of what the asset is worth. Some lenders on our panel go up to 100%. Any finance still owed is paid off first.
- The smallest amount
- From £15,000For limited companies and LLPs (limited liability partnerships).
- How much of the value
- Up to 80%Some lenders go up to 100%.
- How long to pay back
- 2 to 5 yearsFrom 12 months up to 7 years.
- How fast
- Within a dayOur team gets back to you. Then it depends on the lender.
Is there a top limit?
No. Lenders set different limits. Some stop at £500,000 or lower, others go over £1 million, and a few have no hard limit. We can ask over 120 lenders. So we can help you grow as far as your business can support.
How long does asset refinance last?
Usually 2 to 5 years. It can be as short as 12 months, or as long as 7 years.
Can I refinance an asset that is already on finance?
Yes. The new lender pays off the old finance, and your business gets what is left.
How much could my business get?
- A lender looks at what the asset is worth.
- Most lenders lend up to 80% of that. Some go up to 100%.
- Any finance still owed on the asset is paid off first.
- Your business gets what is left.
Put in your own figures with the cash calculator.
What is the difference between asset refinance and asset finance?
Asset finance helps your business buy a new asset. Asset refinance raises cash from an asset your business already has.
| Asset refinance | Asset finance | Sale and leaseback | Business loan | Overdraft | |
|---|---|---|---|---|---|
| What it does | Cash from an asset you own | Buys a new asset | Cash from an asset you own | Cash for any business use | Covers short dips in the bank |
| Who owns the asset at the end | Your business | Your business, on hire purchase | The lender | No asset is bought | No asset is bought |
| What is at risk | The asset | The asset | The asset | Often a personal guarantee. Some are secured on assets | The bank can ask for it back |
| Suits | Cash for months or years | Getting the asset now | Using an asset you do not need to own | Needs not tied to an asset | Short gaps, not long ones |
Can I borrow money against my assets in the UK?
Yes. That is what asset refinance does, with vehicles, machines and equipment. For a loan secured on a building, see business loans.
What are the three types of funding?
Borrowing, selling a share of the business, and grants. Asset refinance is borrowing, backed by an asset.
What else could work if refinance does not?
- A business loan, for needs not tied to an asset.
- Invoice finance, for cash tied up in invoices.
- Hire purchase, to buy the next asset.
What are the benefits and risks of asset refinance?
The main benefit is cash, while you keep using the asset. The main risk is that the lender can take the asset back if the payments stop.
The benefits
- Cash in the bank. A simple case can be the same day.
- The asset keeps working for you.
- A set payment each month.
- Your accounts may say an old asset is worth little. It can still be worth a lot to a lender.
The risks
- Stop paying, and the lender can take the asset.
- You pay back more than you get, with interest and fees.
- Most lenders lend less than the full value.
- A personal guarantee may be asked for.
When might refinance not suit?
When little value is left after what you owe, or you need cash for only a few weeks. Or when the business cannot meet the payment.
What does asset refinance cost?
The cost of asset refinance depends on the lender, your business and the asset. Nobody can give a true price before a lender has looked.
Refinance often costs a little more than finance for a new purchase. It is more detailed work, and the lenders who do it are often not the lowest priced on new assets. See how we are paid.
Is there a tax side to refinance?
There can be. We are not tax advisers, so ask your accountant first.
Can my business get asset refinance, and what documents do I need?
We arrange refinance for businesses across the UK. Limited companies and LLPs start from £15,000. Sole traders and partnerships start above £25,000. Lenders want to see that the business can pay, and that it owns the asset.
What do lenders look at?
- The accounts, and how long the business has traded.
- Bank statements that can cover the new payment.
- The credit record.
- The asset's age, condition and value.
- Proof the business owns it.
Do I need a personal guarantee?
You may. It is a promise to pay if the company cannot. Some lenders always ask, and a very few never do. Another lender may not ask, but may cost more.
Your free checklist and cash calculator
Tick off what you have and try your sums. Then print it or save it as a PDF. Nothing you type is sent to us.
How do you get paid, and what does the finance cost?
The lender pays us a commission, only once your finance is in place. There is no fee to apply, and no fee up front. Apply by phone, by email, or online with Donnie, our in house AI agent, in under 5 minutes.
If you stop before your finance is in place, you owe us nothing, unless you agreed the rare inspection fee. The lender pays our commission to our principal, the firm we work under. It is already inside any figures we give you.
Most lenders pay a share of the amount borrowed. It is up to 10% of what you borrow, and often less. It depends on the lender. You see it before you sign. Lenders pay different amounts, so the one we find may not pay us the most, or the least. A dealer who arranges finance is a broker too.
Lenders' own fees vary. As a guide, a fee to set up the agreement is about £100 to £500. It is often paid with the first payment. Some charge about £30 to £50 a year. On hire purchase, about £100 to £300 to own the asset at the end.
How long does asset refinance take?
Our team gets back to you within a day. After that, it depends on the lender and your case.
A simple case can be the same day. A hard case can take a few weeks. The more notice you give, the more lenders we can ask. We work across Scotland and the whole UK, and a lot of lenders let you sign online.
How has asset refinance worked for other businesses?
Real cases. We never name the customer.
A minibus bought at auction, then refinanced
A Highland firm paid cash at auction. Then 90% of the price before VAT came back.
£150,000 released for a Moray manufacturer
It cleared a credit card and VAT loans. Paid back over 36 months.
Can I refinance my van?
Refinance for a van you own, with a free checklist.
Asset refinance questions
All questionsDoes applying for refinance mean a credit check?
Applying to us is not a credit search. To go ahead, you sign a form, and we run a light credit check on your company. It is often known as a soft search. Each lender then does its own check, soft or hard.
Can I refinance with bad credit?
Often, yes. It often comes down to how we explain your case to the lender. Tell us at the start. We never promise a yes.
Can I refinance assets I no longer have the documents for?
In many cases, yes. A number of our lenders take a letter from your accountant to say the business owns the asset.
What if my assets are not worth enough?
A business loan from our panel may fill the gap. It does not need an asset behind it.
Can I pay off refinance early?
Yes. The lender adds up what is left, and most take some off. If you may pay early, tell us first, so we can set a shorter term.
How do I apply for asset refinance?
Apply online with Donnie, our in house AI agent, at any time, or call us. We will tell you straight if refinance is an option, and what happens next.
Use an AI assistant? It can ask Donnie questions for you. It finds him at /llms.txt and /api/agent.
Can I apply at any time, from anywhere in the UK?
Yes. Donnie, our in house AI agent, takes applications 24 hours a day, 7 days a week. He answers your questions too. Our office is in Scotland, and our team works with businesses across the whole UK.
Donnie is powered by Anthropic's Claude. He is built so other AI agents can talk to him. So your own AI assistant can ask him questions for you. How AI assistants talk to Donnie