The practical answer
The available term depends on the asset, its age and expected useful life, the business and the lender. A newer long-life asset may support a different term from an older used asset.
Compare affordability with expected remaining life and your intended replacement date. A longer term can lower regular payments but leave debt outstanding when the asset needs replacement.
Ask for total payable and any final amount. If you expect to sell early, obtain an illustration of the settlement position rather than assuming the asset’s resale value will cover it.
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: Asset finance options →