Products and facilities
• Hire Purchase – Regulated and unregulated for new and used assets
• Finance Lease – Regulated and unregulated for new and used assets
• Refinance – Hard assets only with appropriate loan to value (LTV)
• Sale and HP Back – Hard and soft assets considered
• Sale and Lease Back - Soft assets within 90 days of original invoice
• Balloon payments considered on some vehicles
• VAT deferrals considered
• Standard term up to five years although can consider up to seven years
• Maximum age of asset varies depending on asset type (please ask for clarification)
Further information on regulated deals upon request
We can also provide access to Unit Stocking and Block Discounting facilities
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.
Rates, fees and commissions
Rates
• See accompanying rates sheets for both hard and soft assets
Documentation Fees
• Under £15,000 - £195* (VAT applicable on Lease agreements)
• Over £15,000 - £250* (VAT applicable on Lease agreements)
• You can take a 50% split of anything over and above £250
Option to Purchase Fee (Hire Purchase only)
• £250 + VAT
End of Lease retention
• 5% retention
*Indicates the minimum amount
Payouts Proposals
Minimum deal size £7,500 for hard assets and £10,000 for soft assets
Please support proposals with:
• Proposal form with customer / director details
• Permission to credit search
• Full details of equipment
• Three months bank statements
• Indication of terms
• Last set of trading accounts (where applicable)
• Up to date management information (where applicable)
• Write up, including rationale for purchase of equipment
• Electronic documents are available – we will raise documentation for you, upon receiving the supplier invoice (customer mobile and email required)
• We also accept clear and legible scanned documents for payouts
• We make all payments by Faster Payments, and we have three processing times each day:
Hard assets
• HGV’s and trailers
• Yellow plant and construction equipment
• Materials handling
• Cranes – mobile / crawler
• Cars including prestige, luxury, classics and black cabs
• LCV’s, coaches, buses and minibuses
• Private ambulances
• Motor homes and horseboxes
• Engineering / manufacturing equipment – including CNC machines, lathers, press brakes, woodworking, guillotines and tooling
• Waste and recycling equipment
• Agricultural and forestry equipment
• Print equipment – up to £50,000
Renewables
• Biomass and Solar can be considered within Close Brothers Business Finance appetite
• These will be considered for strong credits, only where clear business case/ savings and freehold land owned/long lease by client
• Larger requirements would need to be referred to internal business units who specialise in this sector
Assets we are unable to fund
• Small pieces of equipment which are difficult to track / recover – e.g. satellite navigation systems, tablets, phones & hand-held devices
• Photocopiers
• Telephone systems
• Trampolining / inflatable equipment
• Mezzanine flooring, cold rooms, spray booths (items fixed within the fabric of the building)
• LED lighting
Soft assets
• Catering equipment – including kitchen, bakery, frying ranges, ovens etc.
• Shopfittings (with serial numbers) – including refrigeration, freezers and EPOS systems
• Office equipment and furniture
• Audio and visual equipment
• IT / computer equipment – minimum 80% hardware / maximum 20% software split
• Gym equipment – cardiovascular machines preferred
• Beauty equipment – including non-invasive lasers, scanners and sunbeds
• Garage and MOT equipment – excluding groundworks
• Laundry and drycleaning machines
• Digital printers – up to £50,000
• Arcade and amusements machines – excluding gambling machines
• Jiffy trucks and catering trailers
• LCV’s with fit-outs for business use considered – including drainage, jetting and inspection
All identifiable removable assets with intangible elements is limited to 20% of the invoice cost
Borderline assets
• Vending machines – must be mission critical e.g, a vending company renting them out as opposed to a business buying them for their office etc.
• Air conditioning units – must be removable cassettes, not fixed / ducted
• CCTV
• Scaffolding
• In cab CCTV and trackers
• Portacabins, welfare units and modular buildings
What should be included in the payout pack?
• All relevant agreement documentation, completed correctly and duly signed
• All conditions to be satisfied
• Rates and fees applied comply with our rate cards
• Supplier invoice
• Commission invoice
• Photo ID for verification or broker to confirm via email they have met and verified the customers (new customers only)
Proof of title
• Underlying invoice must be addressed to our supplier/customer
• Clear proof of payment for the underlying invoice must be paid by the person/business invoicing us
• Copy of live/terminate underlying finance agreement
• If above information is unclear/unobtainable, we can accept a chartered accountant’s letter, confirming the assets are owned by the customer
Hints and tips
• VAT deferrals – we require proof the customer is up to date with HMRC and PAYE and not in any time to pay arrangements. The best way is a screenshot via their online HMRC account. (Both HMRC and PAYE pages will show as nil if they are up to date or will show as nothing outstanding)
• Deposits – can be paid to the supplier or to Close Brothers Business Finance (or split between)
• Deposits on the supplier invoice – must show as ‘paid’ with the balance remaining
• Second-hand margin scheme – must be specified on the supplier invoice
Supplier invoice
• Invoice must be on supplier headed paper including their address and phone number
• To address Close Brothers Business Finance and our address (above)
• Delivery to customer and their address
• Invoice number and date
• Supplier VAT number
• Full description of equipment/vehicle
• Serial number/registration and chassis
• Year of Manufacture
• Must show if goods are new or used
• Supplier bank details
Photo ID verification guide
• A new customer to Close Brothers Business Finance is required to take a photograph, holding their ID for customer verification
• We must be able to see the details on their ID, so we recommend a close-up photograph
• If the broker has met and verified the customer previously, we can accept an email confirming this as an alternative
If you have any queries, please do not hesitate to contact your Broker Manager detailed above.