Two names for the same facility? Don’t be confused, they are exactly the same product, the name “Lease Purchase” was introduced used by finance companies as a response to a perceived negative image of the term “HP”, however whichever name is used this is the most common finance facility used by businesses in the UK today.
Ultimately this is an OWNERSHIP facility, not a RENTAL facility.
It is a straightforward repayment facility where you ultimately own the asset. Repayments can be structured in a flexible way using initial payments and/or a 'balloon' (final lump sum).
Key features and benefits
With ownership you have total control over the asset.
Ownership normally carries the potential for claiming writing down allowances and/or capital grants, including any enhanced first year allowances.
VAT on the cost of the asset is normally reclaimable.
Fixed or variable interest rate - you make your own assessment and choose accordingly.
The interest element of repayments can normally be offset against taxable profit*.
The asset appears on your balance sheet.
At the end of the finance agreement title in the asset is passed by the finance company to the customer and the customer can benefit from continued use or by selling the asset as they would had they paid for the asset in full on day one
MacManus Asset Finance Ltd is a company registered in England.
Company registration number 5785432.
Registered Office: 66 Drum Tower View, Castell Maen, Caerphilly,
CF83 2XW
Consumer `Credit Licence Number: 591425
MacManus Asset Finance Ltd is a full member of the National
Association of Commercial Finance Brokers - www.nacfb.org
