Catering Equipment Finance: what's on offer?Published on 17th September 2019 2019-09-17T11:00:00+00:00 - Last update on 20th March 2020 2020-03-20T10:55:28+00:00
Whether you run a takeaway, fine diner, fast food outlet or mobile kitchen or pop-up, seeing your customers enjoy your dishes can be a joy, especially when they come back for more. However, keeping up with customer demand is a constant strain which pushes your equipment to the limit. As such, it’s only natural that you may need to replace damaged catering equipment from time to time or upgrade to higher quality models to keep pace with customer expectations. The problem is that purchasing catering equipment places yet another burden upon your business’ finances, and it may be one that you might not be able to afford. But there is another way. Applying for Catering Equipment Finance could enable you to spread out the expense of new or used catering equipment, giving you the means to keep up with the demand. So if you need help turning up the heat in your kitchen but lack the capital, this is what applying for Catering Equipment Finance could do for you.
Why should I apply for Catering Equipment Finance?
Regardless of whether you specialise in creating mouthwatering meals, full-bodied beverages or enticing desserts, your ability to live to up to customer expectations depends on the quality of your equipment. However, catering equipment is often high ticket, squeezing your finances if you were to rely on your savings alone, which is why Catering Equipment Finance is proving to be an invaluable resource for so many UK catering establishments. That’s because, not only does Catering Equipment Finance allow you to spread out the costs involved, it also enables you to support purchases, rent equipment or release equity from within your existing assets to generate a lump sum. Therefore, whether you need new equipment or used, on either a permanent or temporary basis, Catering Equipment Finance could help turn up the heat in your kitchen.
Looking to acquire new or used catering equipment for your business? Need help sourcing a cost effective finance agreement? Apply for Catering Equipment Finance and learn more about how your business could benefit
What does Catering Equipment Finance have to offer?
What so many catering establishments enjoy about this type of finance is the flexibility that it offers. As such, you are given the ability to acquire anything that your catering establishment requires, whether that includes combination ovens, slow cookers, commercial refrigeration units, bottle coolers, buffet counters, dishwashers, fryers or made-to-order bespoke equipment. That’s because Catering Equipment Finance provides access to a variety of business finance solutions such as Hire Purchase, leasing and Asset Refinance, to help support your business.
If you’re looking acquire a piece of valuable catering equipment which doesn’t depreciate in value quickly and you eventually want to become its owner, Hire Purchase might well be useful to you. With this product, a lender purchases the equipment you desire from a trusted supplier on your behalf. However, although this means that the lender owns the equipment, they’ll allow you to make full use of it in your business once you’ve paid the Initial Deposit - the full cost of the VAT and an agreed percentage of its purchase price (subject to negotiation). From here you’ll then be required to make Fixed Monthly Repayments throughout the agreement, which could last for a term of up to 5 years, plus interest. As soon as it matures, with all relevant payments resolved, ownership of the equipment is transferred to your business.
However, if you require a specific piece of catering equipment for only a limited time or you regularly need to upgrade, applying for a lease could prove a more cost-effective alternative. with leasing, you’re only borrowing the equipment for an agreed term, which can usually last up to 5 years (but if the equipment is particularly expensive, you may find suppliers who are willing to offer 7 year terms). During this time you’ll be required to make Fixed Monthly Rental Payments plus, interest. You’ll also be entrusted with maintaining the equipment and setting up a suitable insurance policy. When the agreement matures you can choose to either: return the equipment, extend the agreement or upgrade to another model.
If you possess any unencumbered assets (equipment, machinery or vehicles) that aren’t a fixture of your premises, you could use them to generate a lump sum through applying for Asset Refinance. Though this means temporarily handing over ownership of any asset put forward to the lender, you’ll still have access to it providing you keep up with the repayment scheme. Such agreements tend to last for a term of up to 5 years, during which you’re required to make Fixed Monthly Repayments, plus interest. Nevertheless, Asset Refinance allows you to release to up to 100% of the equity held inside one or more your assets, giving you the funds necessary to support any aspect of your business, including catering equipment purchases. And once the agreement matures, with all relevant repayments settled, ownership of the asset(s) is returned to your business.
Looking for a cost-effective way of acquiring catering equipment?
No catering establishment would be able to function without the necessary equipment to produce and deliver a wide range of dishes. However, if you lack the necessary capital, living up to this most vital of responsibilities can be an arduous endeavour, which is where Catering Equipment Finance can step in, offering your business access to a variety of finance solutions so that you can spread out the expense. All you need to do now is source an agreement that aligns with your business’ goals, which is where we can help.
At Rangewell, we’re an Access to Finance specialist who’s mapped over 400 lenders to offer you an overview of more than 23,000 business finance products - whether it's finance for pop-up food businesses or established restaurants you're looking for. Our services are free to use and we’ll also guide you through the application process. So if you’re looking for a cost-effective way of acquiring catering equipment, apply for Catering Equipment Finance today or find out more with Rangewell.
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