Balloon Finance: Cut your monthly repayments

Deferred payments cut monthly outgoings, reduce demand on cashflow - and help you afford the vehicles and assets you need

Current Terms Available

Better vehicles and equipment

  • Ideal for business vehicles
  • Fund equipment of all types
  • Ideal for prestige vehicles
  • Suitable for fast growing companies

Reduce monthly outgoings

  • Reduce demands on your cashflow
  • Adverse Credit – no problem
  • Lending secured on the asset
  • Free up funds to use elsewhere

Versatile

  • Buy - or upgrade at end of term
  • Part-exchange the vehicle back to the dealer
  • Makes major assets affordable
  • Drive efficiency

Talk to Rangewell – the business finance experts

Balloon loans cut your monthly outgoings. We know the lenders who can deliver the balloon payment deals to save you money on vehicles and equipment

Need to finance an asset, but want to keep monthly payments to a minimum? A Balloon Loan could be the answer.

There are many types of Asset Finance, and a Balloon Loan may be a solution to consider if you need to keep costs down in the early stages of repayment.

A Balloon Loan is not paid off in full by the regular monthly repayments and therefore has a balance due at maturity. The final payment is called a balloon payment because of its size, which can be much larger than the other payments.

The balloon payment means that you can keep the monthly repayments to a minimum because you are only paying off part of the sum borrowed. At the end of the term, you can make the balloon payment and the asset becomes yours.

If you need to reduce the cost of a new asset, but are confident that you will have sufficient funds to make the balloon payment, it can be an effective way to reduce initial costs.

Balloon Loans for company vehicles

Balloon Loans are a common way to buy vehicles. They allow you to have the use of a new car or van at a lower cost than a full repayment loan. Many people then avoid the balloon payment altogether by part-exchanging the vehicle back to the dealer, and starting again with a new vehicle and a new Balloon Loan.

The dealer will cover the costs by selling the used vehicle, while the borrower can always have a new and reliable vehicle to work with. This can be a way to reduce your overall costs, but there is a risk. Remember that, unlike other finance plans such as Contract Hire, there is no guarantee that your vehicle will have sufficient residual value to cover the outstanding amount.

If you have not paid off a sufficient proportion, or if used vehicle values fall, you could return the vehicle and still owe money.

Balloon Loans for other business assets

Balloon Loans are not restricted to vehicles - they can reduce the cost of acquiring many other kinds of asset, from a toolkit to an entire factory and from a forklift to a bulldozer. It can cover medical equipment, a kitchen for a chip shop or an aircraft.

So if you have a growing business, want low payments now and feel confident you could make a large payment in future, they could provide the answer to any major asset purchase. Tools and machinery that will help your business do more, and IT systems that can drive efficiency can both be made to fit your budget more easily with a Balloon Loan.

How Rangewell can help

At Rangewell, our team includes Asset Finance experts. They can help you find the right kind of finance arrangement, the lenders who work in your sector, and the most competitive deals.

By searching across the entire market, we can often find asset finance plans which actually undercut the 0% finance offers provided by vehicle and equipment dealers.

If you need Balloon Finance, we will work with you to see the actual figures, and help you decide if a deferred payment will provide the solution your business needs.

REAL EXAMPLES OF WHAT WE CAN DO

  • Find balloon finance to allow a vet to buy a digital X-ray system - allowing her to launch her practice

  • Source agreements for machinery from various suppliers to set up a complete production line with a single balloon payment deal

  • Set up HP for a truck with a substantial balloon payment for a company in a Creditors Voluntary Agreement

  • Find balloon funding for vehicles that undercuts the 0% deals offered by dealers

  • Arrange Balloon finance for a fleet of limousines, allowing an operator to take on a prestige contract

Call us now to discuss Balloon Finance

If arranged properly a Balloon Finance deal could help cut the costs of the vehicles and equipment your business needs.

To get an expert view on whether it might be right for your business, please call us at Rangewell.

What business owners say abut balloon loans...

With a Balloon Loan I can work with the latest IT kit, cut my outgoings, and save for the final payment.

We provide a limousine service - Balloon Finance cuts the cost of our prestige vehicles.

Our policy is to replace our fleet regularly, so a Balloon Loan is the way to go.

Helping you build your profits

The vehicles and assets you need for less monthly outlay

Your regular payments are reduced because the balloon payment is deferred to the end of the agreement.

You own your asset at the end of the agreement

The vehicle, or other asset, will become yours once you have made the balloon repayment.

Flexibility - finance to suit your needs

You choose the deposit, agreement term and balloon payment to fit your financial forecasts.

Ideal for your growing business

Balloon loans can mean reduced costs in the early stages of ownership, with the balloon payment deferred until your business and cashflow have grown.

You can finance the balloon payment

If your business has not grown as you had planned, you can take out a new finance plan to cover the balloon.

You can return the vehicle or asset

You can return the vehicle early if you’ve already paid for at least half of its cost or if you make up the difference between what you’ve paid and half of its cost.

Download Rangewell’s independent and detailed "step by step" guide to Asset Finance

  • What is Asset Finance - and how it gives you a business advantage
  • What are the types of Asset Finance - which do you need?
  • Why not all providers are equal - finding the one that’s right for you
  • How we can help you pay less than 0%
  • The downsides to Asset Finance - and how to avoid them
  • How to arrange Asset Finance - What paperwork do you need?
  • Key terms explained

You may need a specialist lender

Not all providers serve all business sectors. You may need a specialist in your area to provide the funding you need.

Your fleet could be at risk if your business hits problems

If you are unable to keep up repayments on a hire purchase or lease agreement, your fleet – a key business asset - could be at risk.

Long-term commitment

It may not be practical to pull out of a lease arrangement once set up. This could be a problem if your business grows and your equipment is no longer adequate, or if technology moves forward.

Our service is...

Impartial

Transparent and independent, treating all lenders equally, finding the best deals.

In-depth

Every type of finance for every type of business from the entire market - over 300 lenders.

In-person

Specialist Finance Experts support you every step of the way.

Free

We make no charge of any kind when we help you find the loan you need.