Author and review
Written by: Hart Asset Finance
Reviewed by: T & L Leasing Limited trading as Hart Asset Finance
Last reviewed:
Founder-led commercial finance broker. Commercial finance broker guidance covering asset finance, hire purchase, leasing, VAT finance, refinance and SME business funding.
This guide provides general commercial finance information, not financial, legal, tax or accounting advice.
Overview
Asset finance is usually linked to a specific vehicle, machine or item of equipment. A business loan can be more flexible when the funding need is not tied to one asset, such as stock, wages, marketing or a project.
Comparison table
| Funding purpose | A named asset with supplier, invoice and use case. | Broader business need or mixed-use working capital. |
| Structure | Often aligned with asset lifespan and value. | Often aligned with affordability and cash flow. |
| Examples | Van, tractor, CNC machine, catering equipment. | Stock, deposits, staffing, fit-out and marketing. |
| Useful question | Will this asset generate value over several years? | Do you need flexible capital across several costs? |