• Asset Finance: PC's, Machinery, Furnishings, Medical & Electronic Equipment, Vehicles
  
  
• Property Finance: Mortgages & Bridging Loans for Hotels, Pubs, Restaurants, Nursing Homes, Guest Houses, Retail Premises
  
  
• Factoring: Trade Finance, Export Finance, Invoice Discounting
  
  
• Insurance: Life Assurance, Key Man Insurance, Long Term Illness Cover, Personal & Product Liability
  
  
• Venture Capital
  

MHJ Business Finance.
Malvern Offices
Worcestershire

Tel: 0117 2307723
Mobile: 0772 0072207
E.mail: info@mhjfinance.co.uk

Consumer Credit Licence No. 488590.

Frequently Asked Questions

1. How do I arrange finance for equipment?
2. Why should we use leasing rather than pay cash or use a loan?
3. What kind of equipment can be financed using leasing?
4. What value of equipment can I finance with MHJ Financial Services?
5. How long will my finance agreement be for?
6. How often do I make payments under my finance agreement?
7. How do I make payments?
8. When do I make my first payment?
9. What happens to the equipment at the end of the finance arrangement?
10. If a business wants to add, change or replace the equipment during the lease, what happens?
11. MHJ Financial Services are members of the National Association of Commercial Finance Brokers (NACFB). How does this benefit a customer?
12. Do the leasing payments cover the VAT element of the cost of equipment?
13. How is my tax situation improved by leasing capital equipment investment?
14. Who is responsible for insuring the equipment?
15. What happens if the equipment fails during the term of the agreement?
16. What do I do if I want to end the finance agreement early and how much notice do you require?

1.) Q. How do I arrange finance for equipment?
A. You can contact us directly by telephone 0800 358 3033, fax 01527 547069 / 451710 or by e-mail by using info@MHJFinance.co.uk (TOP)

2.) Q. Why should we use leasing rather than pay cash or use a loan?
A. Your cash may be better used elsewhere in the organisation, particularly as working capital helping to develop the business, rather than financing fixed assets. Normally bank overdraft and loans will be more expensive than a rental solution. (TOP)

3.) Q. What kind of equipment can be financed using leasing?
A. A wide variety of capital equipment can be financed using leasing, from telecoms and data comm's equipment, information technology and security equipment, electronics and manufacturing equipment, to all kinds of medical, dental and technical equipment. Nearly any asset required to improve the efficiency of, develop and grow your business can be leased by us. (TOP)

4.) Q. What value of equipment can I finance with MHJ Financial Services?
A. Assets with a value from as little as £1000 can be financed up to and over £10 million. (TOP)

5.) Q. How long will my finance agreement be for?
A. Generally 1 - 5 years, as long as the term does not exceed the expected useful working life of the equipment. (TOP)

6.) Q. How often do I make payments under my finance agreement?
A. Most customers chose to pay monthly or quarterly, but payment structure can be arranged to suit each individual customers' requirements. (TOP)

7.) Q. How do I make payments?
A. Most customers choose the convenience of a direct debit arrangement or a standing order. (TOP)

8.) Q. When do I make my first payment?
A. This will be according to the data on the acceptance certificate or the date on the agreement. (TOP)

9.) Q. What happens to the equipment at the end of the finance arrangement?
A. It depends on the type of finance arrangement you choose. With a lease rental agreement you can choose either to continue leasing the equipment for a secondary period, arrange for an up-to-date replacement to be installed as part of a new agreement or simply return the equipment to the lessor. At the end of a lease purchase agreement you have the option to buy the equipment for a final, nominal sum. (TOP)

10.) Q. If a business wants to add, change or replace the equipment during the lease, what happens?
A. Changes to equipment requirements can be easily accommodated via our upgrade and add-on options. A simple adjustment to your payments will make this process easy. (TOP)

11.) Q. MHJ Financial Services are members of the National Association of Commercial Finance Brokers (NACFB). How does this benefit a customer?
A. You have the reassurance that MHJ Financial Services abides by the Association's Code of Practice. The Code is designed to ensure clarity of information regarding the finance arrangement and a set of guidelines to ensure a fair deal. (TOP)

12.) Q. Do the leasing payments cover the VAT element of the cost of equipment?
A. Yes, you pay VAT on the payments as they fall due, rather than pay the VAT up front in full as you would do when you purchase equipment. (TOP)

13.) Q. How is my tax situation improved by leasing capital equipment investment?
A.
1) Under a lease purchase option, you claim the Writing Down Allowance. This allows you to offset a percentage of the asset value each year against your tax liability. Under the finance and operating lease options, the lessor is the owner of the assets and claims the Writing Down Allowance. However, the lessor will reflect some of its benefits to you through the lease price.
2) With a lease you can offset the payments in full against your tax liability. With hire purchase you can offset any interest paid on the loan against tax.
3) Using a lease option, VAT is payable on the payments as they fall due throughout the lease period. When you acquire an asset using lease purchase, the VAT is paid in full up front. In both instances you should be able to claim the VAT back. (TOP)

14.) Q. Who is responsible for insuring the equipment?
A. As the lessee, you are responsible for insuring the equipment against loss and damage. You should make sure that the equipment is insured which we can arrange for you for the full replacement cost. You may be required to produce evidence of the insurance policy. (TOP)

15.) Q. What happens if the equipment fails during the term of the agreement?
A. If the equipment fails you are still required to make the lease payments to us. (TOP)

16.) Q. What do I do if I want to end the finance agreement early and how much notice do you require?
A. You should inform us of your early termination request in writing and we will quote you a settlement figure based on early termination. Normally you will be required to give 90 days notice of early termination. (TOP)

Consumer Credit Licence No. 488590.
Free Phone: 0800 358 3033