Are you thinking about investing in your business? Are you seeing an increase in sales? Is now the time to brush the dust off those shelved plans to install a mezzanine floor, develop your warehouse and manufacturing plant or add additional office accommodation? Or is cash-flow holding you back and preventing you from turning your ideas into reality?
Making sales and having money in the bank is not the same thing. You could be signing plenty of deals but until you collect the money, you can't spend it. Consequently, if the money isn't flowing into the business to satisfy creditors and suppliers when it's needed, then trouble beckons. In such circumstances, even profitable businesses can suffer. It seems an oxymoron that companies making plenty of sales cannot have sufficient capital to pay for new assets to benefit their businesses.
If you need to expand or develop but your cash flow is under pressure, there is a solution.
Some of our clients have turned to Hire Purchase to bridge the cash flow gap enabling them to manage growth and investment.
Think about hire purchase as a way forward to finance your development plans; four compelling reasons to consider.
- With hire purchase you will eventually own the asset at the end of the repayment term.
- You can claim the same Annual Investment Allowance as an outright purchase and you can also reclaim VAT on the capital cost of the asset.
- Tax allowances may also be available on the interest element of payments, and VAT is paid in full at the start of the agreement.
- Flexibility can be built into the agreement to meet your individual business circumstances.
If you have a specific mezzanine floor, partitioning or storage related requirement, hire purchase might be worth considering. Please give us a call on 01527 517055 and we can talk through the best options with you.