XL Business Finance
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A guide to financing new equipment and machinery purchases

At a time when many of the high street banks and finance companies are still difficult to deal with it is imperative than any application for hire purchase or leasing facilities to the few remaining finance companies are presented in the best possible format. At XL Business finance we have over ten years of experience and expertese in organising competitive finance facilities for a variety of businesses. The following will give you an idea of the type of information that we will collate and present to the finance company.

 

1. We will require the last full set of audited accounts. We will need every single page and not just the most recent profit and loss and balance sheet.

2. We will require the most recent set of management accounts . If there has been more than twelve months since the last set of full audited accounts we will require management accounts  to the next full year and also the most recent set thereafter. As a minimum we will require a profit and loss and balance sheet. Any finance company will require the most up to date information that is available to ensure that the performance of the business is adequate for their requirements.

3. No matter how big the deal is three months bank statements will help to evidence serviceability. If three months clean bank statements can be provided then this is always be a massive positive in term of evidencing serviceability.

4. Confirmation of working capital facilities will also be useful. A copy of the bank overdraft or factoring facility letter is also a good idea to include

5. Background information will enable the underwriter to understand where the business has come from and the future plans

6. An aged debtor report will evidence the quality of your customer base

7. Most importantly we will need to provide a rational for the purchase. Is the kit replacing old kit? Will turnover increase, labour savings be made  or margins increase. It is always useful to know of any existing finance agreements coming to their end which again will evidence serviceability

8. Are personal guarantees available if any

9. Is there any other security available such as unencumbered kit or property which may help to increase security levels?

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