Asset Finance Lease
- Use the asset now and spread the cost over time
- Fixed leasing rates with simple, predictable monthly payments
- Add training, installation, and delivery into one easy monthly plan
- Choose flexible lease terms from 1 to 5 years
- Lease payments may be tax-deductible for many businesses
Spread the cost of new equipment with Asset Finance Leasing
An Asset Finance Lease is a flexible way for your business to access the equipment, vehicles, IT, or machinery it needs — without paying the full cost upfront. Instead, you make fixed monthly payments over an agreed term, while using the asset from day one.
Why choose an Asset Finance Lease?
Keep cash flowing
An Asset Finance Lease lets you spread the cost over time instead of taking a big hit to your capital. That means more room to invest in staff, stock, marketing, or the next stage of your growth.
Fixed monthly payments
No surprises. Your monthly finance lease payments stay the same from start to finish, making budgeting straightforward and stress-free.
Use the asset immediately
Your equipment is delivered straight away. Whether you’re installing new machinery, upgrading your IT, or adding fleet vehicles, you get everything up and running without delay.
Leasing is Tax-efficient for many businesses
Asset Finance Lease payments may be tax-deductible against profits, making it a popular option for SMEs looking to maximise cash flow.
Wide range of assets covered
Finance Leases can be used for hard assets such as machinery, vehicles, and engineering equipment, as well as soft assets such as IT, software, telecoms, office equipment, and security systems.
What Can an Asset Finance Lease Cover?
An Asset Finance Lease can cover far more than just machinery or vehicles. It can be used by UK businesses investing in equipment for everyday operations, growth, or modernisation. Whether you’re upgrading technology, expanding your production line, refreshing your fleet, or fitting out a new workspace, an Asset Finance Lease allows you to spread the cost through predictable monthly payments while keeping cash in the business.
From essential hard assets like plant, vehicles, and engineering equipment to modern soft assets such as IT, software, telecoms, and security systems if it supports your business operations, service delivery, or growth, there’s a strong chance we can fund it.
- Rapidly depreciating equipment
- Manufacturing and engineering equipment
- Forklifts, loaders, and warehousing equipment
- Construction equipment
- Medical and dental equipment
- CNC machines and tooling
- Laboratory equipment
- IT hardware and servers
- Telecoms and phone systems
- Security and access control systems
- Eligible software and implementation costs
How an Asset Finance Lease works
- Choose the asset your business needs
- We arrange funding with a suitable lender
- The lender purchases the asset
- You pay fixed monthly rentals over an agreed term
- At the end, you review your available options
Let’s find the right Asset Finance Lease for your Business
Every business is different. Whether you’re funding new equipment, upgrading technology, or expanding operations, our brokers can help you secure the right deal. Get in touch today for straightforward advice and a no-obligation quote.
Finance Lease FAQ's
Q: What is a Finance Lease (UK)?
A: A Finance Lease is a type of business asset finance where a finance provider buys the equipment and leases it to your limited company for fixed monthly payments. You use the asset from day one, while legal ownership stays with the finance provider during the agreement.
Q: How does a Finance Lease work?
A: Your business chooses the equipment, the lender purchases it, and you pay monthly rentals over an agreed term (commonly 12–60 months). Rentals are usually fixed, helping with predictable budgeting.
Q: What’s the difference between a Finance Lease and Hire Purchase?
A: With a Finance Lease, legal ownership remains with the finance provider during the term. Hire Purchase is typically used when the goal is to own the asset at the end of the agreement.
Q: Do I own the asset under a Finance Lease?
A: No not for the duration of the agreement. Your business leases the asset and has full use of it, but legal title remains with the finance provider.
Q: What happens at the end of a Finance Lease?
A: You typically have the option to continue payments at a reduced rate, return the equipment, or purchase title for a one-off nominal payment (often around one additional month’s rental), depending on the agreement.
Q: Is a deposit required for a Finance Lease?
A: In most cases, no. Many Finance Lease agreements can be arranged with little or no upfront payment, subject to approval.
Q: Can a Finance Lease include installation, delivery, or project costs?
A: Often, yes. Depending on the lender and asset type, associated costs such as delivery, installation, configuration, and professional services may be included within the total amount financed.
Q: Is a Finance Lease regulated by the FCA in the UK?
A: Finance Leases for limited companies used for business purposes are generally unregulated, which makes them a common option for B2B equipment funding.
Q: Can I settle a Finance Lease early?
A: Yes, early settlement is usually possible. The settlement figure is typically based on the remaining rentals and the agreement terms, and early settlement fees may apply.
Q: Who is responsible for maintenance and insurance on a Finance Lease?
A: Your business is normally responsible for maintenance, servicing, and insurance throughout the lease term, as you’re the day-to-day user of the equipment.
Q: Can I upgrade or add equipment during a Finance Lease?
A: Sometimes. Depending on the lender and your business profile, you may be able to add further equipment or restructure the agreement. This is assessed on a case-by-case basis.
Q: Does a Finance Lease appear on the balance sheet?
A: In most cases, yes. Finance Leases are typically treated as on-balance-sheet liabilities under UK accounting standards. Your accountant can confirm the correct treatment for your business.
Q: Is a Finance Lease suitable for funding software and IT projects?
A: Yes. Finance Leases are commonly used for IT and technology solutions, and may include eligible software-related project costs such as configuration, implementation, and professional services, subject to lender criteria.
What’s the difference between an Operating Lease and a Finance Lease?
An operating lease is typically used for assets you don’t intend to keep long term, with lower monthly payments and the option to return the equipment at the end of the agreement. A finance lease, on the other hand, is usually used when you want long-term use of the asset, with fixed payments over an agreed term and options to continue using the asset at the end. The right option depends on how long you need the asset and your business objectives.
“Reality Finance provide competitive lease rates enabling our customers to spread the cost of purchasing new equipment with our Easy Payment scheme. They are happy to talk directly with our customers and offer expert financial advice. In this difficult economic climate, we are looking to build on our relationship to make purchasing even easier for our customers.”
Mark Jackson-Nichols , Director, Loma Systems
Having Reality Finance as a partner has enabled our customers to invest in our tray sealing lines which is vital capital equipment that has enabled them to grow their businesses and improve efficiencies much quicker than if they had waited to generate the cash to pay for these assets.
We have always found the team at Reality Finance to be extremely responsive and supportive of us and our joint customers through the whole purchasing process, making it as smooth and swift as possible.
Sam Ashton , Commercial Director, Packaging Automation Ltd
What Do Our Customers Say?
How does our Finance work?
You will have one point of contact at Reality and we believe in building relationships - we won't make you fill in online forms to make your application.
1
Choose the asset or service your company needs
2
Speak to us and we will use our panel of lenders to find you the best monthly payment option
3
We take care of the paperwork and invoicing
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Your product or service is delivered to you
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You pay for your new asset as you use it
Why Reality Finance?
5 star service rating
Verified by Feefo
Over 30 lenders on our panel
so we can source you the best deal
Lender in our own right
Provides additional flexibility
Funding hard and soft assets
Anything you need for your business
24 years of trading
Established in 2000 and privately owned
Case Study | Packaging Automation
Jason Turner, specialist Account Manager at Reality Finance arranged the finance on behalf of the company:
“Our customer needed to increase production quickly and we were keen to support them with getting the required kit into place. With the Packaging Automation supplied machine and our support with the funding, they were able to double their production line immediately”.
Supporting a Fast-Growing Food Manufacturer
Reality Finance have recently worked with Packaging Automation to support a Yorkshire-based manufacturer of specialist gluten and dairy-free food products. This company was producing over 20 million meals a year for major supermarkets and food outlets and was in demand to produce more of their product.
Challenge
With the new factory set up and running, and with the brand growing, orders from leading supermarket chains continued to increase. The production line was struggling to keep up with the demand, with the company having to turn away new orders, stopping the business from growing further.
The company recognized that to increase its production volume, it would need to invest in specialist machinery including an additional packaging and production line – a significant capital investment. With immediate cash reserves allocated to other areas of the business, the company needed an alternative method of funding its new equipment.
Solution
Reality Finance was able to put together a monthly payment solution, enabling the company to spread the cost of its investment over a 5-year period. The purchase was an Eclipse SL4 Atmospheric Heat-Sealing Machine Installation as well as spare parts, accessories, and delivery, supplied by Packaging Automation.
This new equipment was delivered and installed within weeks of the initial order, meaning the manufacturer could increase their production and meet the demands of their suppliers.