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Asset finance is a type of finance used by businesses to obtain the equipment they need to grow.
It usually involves paying a regular charge for use of the asset over an agreed period, thus avoiding the full cost of buying outright. The most common types of asset finance are leasing and hire purchase. Asset finance allows businesses to fund capital equipment outside of normal banking facilities, over a period of 12 months to 7 years. It is also useful to help manage cashflow and retain liquidity.