If you need new equipment for the growth of your business or as a replacement investment, you can also make it available through an instalment plan via so-called “asset-based finance”. The finance partner becomes the legal owner, but you become the economic owner and can depreciate the assets. This is a significant advantage over leasing. With the last lease-purchase instalment paid, ownership is transferred to your company. Thus, lease-purchase is economically comparable to a financed purchase. However, you can finance yourself independently of creditworthiness and banks. You even strengthen your equity ratio and thus your credit rating through instalment plans.
Finally, you can borrow against assets necessary for operations, provided they are not already secured.