Chapter 01
Hire purchase
You own the asset from day one for tax, take AIA or full expensing, and hold title outright at the end of term. Best for kit you intend to keep and depreciate on the balance sheet.
Chapter 02
Finance lease
The lender owns the asset, you rent it, and the rentals are fully deductible. VAT sits on each rental rather than the capital cost. Best where cash-flow smoothing matters more than balance-sheet ownership.
Chapter 03
Refinance
You release capital from equipment you already own. Fastest, most flexible way to raise working capital when the assets are there but the cash isn't. We show when this beats an overdraft.
Chapter 04
Decision framework
A single-page framework covering tax profile, VAT position, expected holding period and balance-sheet appetite. Print it, share it with your accountant.
Chapter 05
The traps to avoid
The five mistakes we see most often — mis-classified operating leases, VAT on a used asset refinance, hidden documentation fees, secondary rentals and mis-matched terms.
- 01Side-by-side comparison of HP, finance lease and refinance
- 02Tax treatment: AIA vs deductible rentals, and when each wins
- 03VAT treatment across the three structures
- 04When refinance releases capital more efficiently than an overdraft