The practical answer
The finance commitment usually continues even if the work supporting it ends, unless the contract expressly says otherwise.
Check contract notice periods and model a period with lower revenue. Include the time and cost of finding replacement delivery work, rather than relying on uninterrupted route income.
Selling the van may require lender consent and settlement, and the sale proceeds may not cover the balance. Discuss difficulty meeting payments with the lender early rather than waiting for an instalment to fail.
Commercial finance is subject to status, lender approval and the specific asset and transaction. The right structure depends on the complete circumstances of the business.
What should I do next?
Have the asset details, supplier information and an outline of what the business needs ready. DCF can then discuss the requirement and identify which lenders may be suitable.
Read: Van finance →Explore the relevant guides
Equipment finance for a new contract — For mobilisation costs and customer-payment timing.