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- About usBackAbout usWe combine industry expertise with innovative, flexible funding solutions to support firms across the UK. Our range of products can be tailored to meet business' objectives such as improving cash flow or financing strategic events including mergers and acquisitions.Find out more
Important information
Republic of Ireland - New Lending to Sole Traders & Partnerships (Regulated)
Lending to Sole Traders & Partnerships is provided by Close Brothers DAC under the trading style Close Brothers Commercial Finance.
Close Brother DAC is regulated by the Central Bank of Ireland. As a regulated entity, Central Bank of Ireland relevant consumer protection codes and regulations will apply.
For further information, please see our terms of business.
Republic of Ireland - New Lending to Companies (Unregulated)
Lending to companies is provided by the Irish Branch of Close Brothers Limited under the trading style Close Brothers Commercial Finance.
Close Brothers Limited is a UK registered private limited company and is authorised by the Prudential Regulation Authority and is regulated by the Financial Conduct Authority and the Prudential Regulation Authority in the United Kingdom.
Important Information: Please note that the provision of this product does not require Central Bank of Ireland authorisation and, as a result, it is not covered by the Central Bank’s requirements designed to protect consumers however Close Brothers Limited will adopt SME regulations for companies.
Northern Ireland - New Lending to Companies, Partnerships and Sole Traders (Regulated & Unregulated)
Lending in Northern Ireland is provided by Close Brothers Limited under the trading style Close Brothers Commercial Finance.
Close Brothers Limited is a UK registered private limited company and is authorised by the Prudential Regulation Authority and is regulated by the Financial Conduct Authority and the Prudential Regulation Authority in the United Kingdom.
ROI - Sole Traders & Partnerships (Regulated) Republic of Ireland - New Lending to Sole Traders & Partnerships (Regulated) Lending to Sole Traders & Partnerships is provided by Close Brothers DAC under the trading style Close Brothers Commercial Finance.
Close Brother DAC is regulated by the Central Bank of Ireland. As a regulated entity, Central Bank of Ireland relevant consumer protection codes and regulations will apply.
For further information, please see our terms of business.
ROI - Companies (Unregulated) Republic of Ireland - New Lending to Companies (Unregulated) Lending to companies is provided by the Irish Branch of Close Brothers Limited under the trading style Close Brothers Commercial Finance.
Close Brothers Limited is a UK registered private limited company and is authorised by the Prudential Regulation Authority and is regulated by the Financial Conduct Authority and the Prudential Regulation Authority in the United Kingdom.
Important Information: Please note that the provision of this product does not require Central Bank of Ireland authorisation and, as a result, it is not covered by the Central Bank’s requirements designed to protect consumers however Close Brothers Limited will adopt SME regulations for companies.
NI - Companies, Partnerships and Sole Traders (Regulated & Unregulated) Northern Ireland - New Lending to Companies, Partnerships and Sole Traders (Regulated & Unregulated) Lending in Northern Ireland is provided by Close Brothers Limited under the trading style Close Brothers Commercial Finance.
Close Brothers Limited is a UK registered private limited company and is authorised by the Prudential Regulation Authority and is regulated by the Financial Conduct Authority and the Prudential Regulation Authority in the United Kingdom.
How does hire purchase work?
Hire Purchase is a way to acquire the equipment you require for your business because you get to choose, use, and repay the assets over an agreed period, typically over a five-to-seven-year period, or the useful life of the asset.
The regular instalments cover the capital cost of the asset and the interest. At the end of the term of the Hire Purchase agreement, once all repayments have been made, ownership of the asset is transferred to you.
Who is hire purchase for?
Hire purchase is appropriate for all business types (sole traders, partnerships and incorporated entities) that need to invest in modern, up-to-date equipment while keeping control of their cash flow by knowing what their investments are going to cost them over the long-term, meaning they can budget effectively.
Benefits of hire purchase
More time to repay
Reclaim VAT
Tax efficient
Keep control
An example of how hire purchase works...
Imagine you are a dentist and require a new dental chair. Instead of paying for it in full, you can opt for Hire Purchase, which allows you use of the asset over an agreed period, while repaying an agreed monthly instalment. At the end of the term, you will own the equipment outright.
Frequently asked questions
What is hire purchase?
Hire purchase is a popular product used to acquire the equipment a business needs because you get to choose, use, and repay the assets over an agreed period, typically over five-to-seven-years, or the useful life of the asset.
At the end of the agreement, once all repayments have been made, ownership of the asset is transferred to you.
Are there any tax benefits?
Financing your asset using hire purchase can be tax-friendly, offering potential tax benefits.
We would always encourage our customers to seek guidance from their accountants to ensure a hire purchase agreement is the best option, particularly with regards to VAT and tax planning.
What is low start and how can it be used to ease the payment schedule?
Our low start facility provides a flexible repayment option, enabling us to match repayments based on expected income levels. This means you could pay a minimal monthly payment for an initial period, up to a maximum of six months.
This allows you time and space to build up cash flow in the business while having full use of the equipment. This is especially important for new start or expanding businesses.
Can an established business take advantage of the low start facility?
Yes, we offer this for both new and established businesses.
What is the application process like?
The process is straightforward:
- Let us know how much you would like to borrow
- We will then tailor a hire purchase agreement over an agreed term to suit your circumstances
- If you decide to proceed, credit checks will be completed
- On approval, the hire purchase agreement will be made available. Funds will be paid by Faster Payments into your bank account
Will previous negative financial decisions affect the application?
We make decisions based on the overall health and future plans of a business.
Providing us with all the information we need up front means we can address any queries with our in-house team of underwriters.
What is hire purchase? Hire purchase is a popular product used to acquire the equipment a business needs because you get to choose, use, and repay the assets over an agreed period, typically over five-to-seven-years, or the useful life of the asset.
At the end of the agreement, once all repayments have been made, ownership of the asset is transferred to you.
Are there any tax benefits? Financing your asset using hire purchase can be tax-friendly, offering potential tax benefits.
We would always encourage our customers to seek guidance from their accountants to ensure a hire purchase agreement is the best option, particularly with regards to VAT and tax planning.
What is low start and how can it be used to ease the payment schedule? Our low start facility provides a flexible repayment option, enabling us to match repayments based on expected income levels. This means you could pay a minimal monthly payment for an initial period, up to a maximum of six months.
This allows you time and space to build up cash flow in the business while having full use of the equipment. This is especially important for new start or expanding businesses.
Can an established business take advantage of the low start facility? Yes, we offer this for both new and established businesses.
What is the application process like? The process is straightforward:
- Let us know how much you would like to borrow
- We will then tailor a hire purchase agreement over an agreed term to suit your circumstances
- If you decide to proceed, credit checks will be completed
- On approval, the hire purchase agreement will be made available. Funds will be paid by Faster Payments into your bank account
Will previous negative financial decisions affect the application? We make decisions based on the overall health and future plans of a business.
Providing us with all the information we need up front means we can address any queries with our in-house team of underwriters.
Warning: If you do not meet the repayments on your Hire Purchase agreement, your account will go into arrears. This may affect your credit rating, which may limit your ability to access credit in the future.
You may have to pay charges if you pay off a Hire Purchase agreement early.
Finance is secured against the asset and/or equipment. If you're unable to keep up with your payments, we may repossess the asset and/or equipment.
Products and services are subject to eligibility, status, terms and conditions and availability. All lending is subject to status and our lending criteria. The right to decline any application is reserved.
