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Posts Tagged ‘refinance plant and machinery’

Can I refinance Plant and machiery

Tuesday, January 12th, 2010

The good news is thatachinery it is possible to refinance plant and machinery. The even better news is that it is possible to refinance plant and machinery just about for any purpose. There are still many asset based lenders proactively growing their books in the current financial market. This is a stark contrast to the bank owned balance sheet finance companies that seem to still tucked up in their shells. XL Business Finance has been at the forefront of asset based lending for over 10 years and we are one of the UK’s leading experts when it comes to the refinance of plant and machinery.

Refinancing of plant and machinery is a very very specialist market and as a rule non of the high street lenders operate in this market.  An asset lender will advance an amount against the value of the plant and machinery and depending upon which finance company you go to there might be a large valuation in their perceived valuations. As an independent finance company ,  XL Business Finance we know exactly which finance companies are best at financing what sort of asset. For example some finance companies are good at financing printing equipment and their are others that are experts in financing haulage equipment. It is important to get a broker which knows this market well as it will save you a great deal of time and effort going around the houses.

Any offer of finance will be based on a percentage of the trade value or forced sale value (FSV). A typical deal may be based on a eightypercent advance. Unfortunately there is a big difference between trade and retail values in the current climate.  An asset based lender can only advance aginst a worse case scenario and good equipment is being sold very cheaply in forced sale situations at auction. This is obviously affecting valuations when it comes to refinancing plant and machinery.

How do I refinance existing Equipment

Saturday, November 21st, 2009

More and more businesses are looking to refinance existing equipment, plant and machinery to assist we cash flow. XL Business Finance has been helping customers for 10 years and is one of the UK leading independent finance companies in this area.  Not only can refinancing equipment provide cash for any purpose  and provide financial freedom,  it is quite possible to refinance plant and machinery already on finance and provide a massive cash flow benefit by having a lower monthly payment.

The first thing we have to do is obtain a valuation for your existing machinery. Any heavy goods such as engineering equipment, printing equipment yellow, goods commercial vehicles, buses and coaches are all suitable security. We will age make  model and any details of any  extras which might positively enhance the valuation. We will then obtain valuations for various different sources.  As this doesn’t cost anything we will only have indicative valuations only. XL Business Finance has the expertise and knowledge in various sectors to know which finance companies and valuers will provide the best valuations in various sectors

If the valuation stacks up we will obtain accounting information and bank statements to obtain a funding facility. If equipment is already on finance if we can obtain copies of the finance agreements and we will be able to calculate approx settlement figures and if there is any equity in any of the equipment. It is possible to refinance the equipment by ay of a sale and lease back, sale and hire purchase back and a loan and chattel mortgage. Which facility is best for you depends upon the written down value in your accounts and your preferred finance method.


XL Business Finance Ltd is a privately owned and independent business financing company with established links to many of the UK's leading finance houses. XL Business Finance provides a viable alternative to high street banks that lack the flexibility and imagination to provide a solution to most business users requirements. XL Business Finance can provide a full range of business financing solutions and we ensure a high level of customer service and pride ourselves on quick decisions. Our independent status will ensure any offer of funding and asset finance leasing is best suited to our customer’s needs.

XL Business Finance Limited are authorised and regulated by the Financial Conduct Authority FRN 718737).

XL Business Finance, Eaton Place Business Centre, 114 Washway Road, Sale, Cheshire M33 7RF UK.


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