Grow your business with Asset Finance in NZ.
Is it time to invest in your business so it can grow exponentially? Are you ready to dominate your competitors? Whether you’re looking for vehicles, plant and machinery, trucks, trailers or equipment finance, we could help you fund it. Contact us today to start or have a chat.Â
What can you receive lending for?
Below are just a few of the key lending options – there is plenty more options so reach out if what you need isn’t listed.
Construction & Trades
Truck & Transport
Agriculture
Civil Construction
Machinery
Motor Vehicles
Fleet
Manufacturing
Forrestry
What can you receive lending for?
Construction & Trades
Truck & Transport
Agriculture
Fleet
Forrestry
Civil Construction
Machinery
Motor Vehicles
Manufacturing
And so much more.
How the loan application process works
Documentation
Similar to a mortgage application in terms of documentation required – proof of income, bank statements, invoices, assets identified, application form and any relevant contracts.Â
We sort the 5 C's
Character, capacity, collateral, capital, conditions is what determines your ability to borrow. This is on a case-by-case basis.
Risk Assessment
We then understand your borrowing capacity, equity position and risks to be able to place you with the right lender.
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We meet the conditions
If approval is received, we have to meet these conditions – valuation, contracts to be signed, other loans to be paid off or settlement quotes to be obtained. This all needs to be done prior to drawing the loan down.
Why Ascend Financial
We have years or experience in the space, and we understand the various lenders appetites and where they sit in the market.Â
There are 3 main caterogies of asset finance
There are 3 main caterogies of asset finance
How the loan application process works
1. Documentation
Very similar to a mortgage application in terms of documentation required – proof of income, bank statements, invoices, assets identified, application form and any relevant contracts
2. Risk Assessment
We need to understand your borrowing capacity, equity position and risks to be able to place you with the right lender
3. We Sort The 5 C's
Character, capacity, collateral, capital, conditions - these are the 5 C's of lending which determine your ability to borrow. Asset finance differs from mortgage lending as it is assessed on a more case-by-case basis.
An assessment will be done on the 5 C's and if some are very strong, they can mitigate weakness in other areas. It is all about providing the lender with the right points and presentation of the fundamental strengths you or your business have.
4. We meet conditions
If approval is received, there are often conditions to meet such as a valuation, contracts to be signed, other loans to be paid off or settlement quotes to be obtained. This all needs to be done prior to drawing the loan down.
Why use Asset Finance?
Mortgage top-up vs asset finance
While the interest rate may be lower topping up your mortgage, there are numerous benefits to using an asset finance lender and borrowing against the asset being purchased instead.
Interest deductibility
Borrowing against the asset allows you to claim interest as an expense for your business which technically gives you a 28% discount.
Liability of family and legalities reduced
When borrowing against your house, you further in-debt your family and put the home at more risk if something was to go wrong. Using the asset being purchased in the event of a default means that the lender will likely only go after the asset which should clear most if not all of the debt, keeping your home and family out of it.
Easier criteria and servicing
The overall assessment is much easier. In most cases, the banks aren't even interested in providing asset finance. Their process is arduous and strict. Asset finance lenders are all about speed, ease and applying common sense to the grey areas of lending.
Low time investment and turnaround
Asset finance lenders can turn deals around much faster than banks. Banks often have a one week+ turnaround time for an answer and then even longer for documentation and on-boarding. The post approval process is fast with asset finance lenders who often send digital loan documents shortly after approval if all conditions are met.
Keep access to equity in your property
This is a key one. If you borrow against your mortgage to buy assets other than houses, you then diminish your ability to purchase more property as the equity is used up. By leaving the mortgage alone, you can continue to use property to purchase more property.
Why use Asset Finance?
Mortgage top-up vs asset finance
While the interest rate may be lower topping up your mortgage, there are numerous benefits to using an asset finance lender and borrowing against the asset being purchased instead.
Interest deductibility
Borrowing against the asset allows you to claim interest as an expense for your business which technically gives you a 28% discount.
Liability of family and legalities reduced
When borrowing against your house, you further in-debt your family and put the home at more risk if something was to go wrong. Using the asset being purchased in the event of a default means that the lender will likely only go after the asset which should clear most if not all of the debt, keeping your home and family out of it.
Easier criteria and servicing
The overall assessment is much easier. In most cases, the banks aren't even interested in providing asset finance. Their process is arduous and strict. Asset finance lenders are all about speed, ease and applying common sense to the grey areas of lending.
Low time investment and turnaround
Asset finance lenders can turn deals around much faster than banks. Banks often have a one week+ turnaround time for an answer and then even longer for documentation and on-boarding. The post approval process is fast with asset finance lenders who often send digital loan documents shortly after approval if all conditions are met.
Keep access to equity in your property
This is a key one. If you borrow against your mortgage to buy assets other than houses, you then diminish your ability to purchase more property as the equity is used up. By leaving the mortgage alone, you can continue to use property to purchase more property.
Why use Asset Finance?
Mortgage top-up vs asset finance
While the interest rate may be lower topping up your mortgage, there are numerous benefits to using an asset finance lender and borrowing against the asset being purchased instead.
Interest deductibility
Borrowing against the asset allows you to claim interest as an expense for your business which technically gives you a 28% discount.
Liability of family and legalities reduced
When borrowing against your house, you further in-debt your family and put the home at more risk if something was to go wrong. Using the asset being purchased in the event of a default means that the lender will likely only go after the asset which should clear most if not all of the debt, keeping your home and family out of it.
Easier criteria and servicing
The overall assessment is much easier. In most cases, the banks aren't even interested in providing asset finance. Their process is arduous and strict. Asset finance lenders are all about speed, ease and applying common sense to the grey areas of lending.
Low time investment and turnaround
Asset finance lenders can turn deals around much faster than banks. Banks often have a one week+ turnaround time for an answer and then even longer for documentation and on-boarding. The post approval process is fast with asset finance lenders who often send digital loan documents shortly after approval if all conditions are met.
Keep access to equity in your property
This is a key one. If you borrow against your mortgage to buy assets other than houses, you then diminish your ability to purchase more property as the equity is used up. By leaving the mortgage alone, you can continue to use property to purchase more property.
Fill out the form to start.
Whether you are applying or enquiring – simply fill the form out and we will be in touch to start.
No commitments, no pressure.Â