Am I eligible for finance?

Johnson Reed
3m read

We’re often asked, particularly by new-start operators, ‘am I eligible for finance?’

We’re pleased to say that the answer is almost always ‘Yes!’

Whilst the bank and more traditional lenders tend to operate by a very strict criteria, the process of securing finance with Johnson Reed is a straight-forward and much speedier process.

The information required and the process itself can vary depending on a number of factors, and whilst we like to review each business case individually, we understand it can help to have some initial transparency on what’s involved.

With this in mind, we’ve compiled a cheat sheet to give you the inside track on how asset finance is underwritten and approved in the UK.

The Process

Whether you’re working to a tight deadline, or simply want to have funds in place in advance, we will work with you to ensure everything is done in accordance with your desired timescales.

Here’s how it works:

Supporting Evidence and Financials

Your Johnson Reed account manager will help compile your application to send to credit, but sometimes our underwriters need to see some supporting evidence. This additional information is used to demonstrate that you’re financially responsible and capable of meeting repayments.

What we ask you to provide generally depends on your number of years trading and the amount you’re looking to borrow;

Please note: These are not hard and fast rules. Here at Johnson Reed, we always find a way to make the process easy and only request the information we absolutely need to help you spend more time running your business and less time filling in application forms!

Extra Information for New Starts:

  • We do need to see at least one homeowner in the business, but if you are a tenant, you can get around this if you’re able to provide a guarantor. A trusted friend or family member will usually suffice, but it’s important to remember that this guarantee makes them liable to pay the repayments if you cannot – so it’s not a duty to be taken on lightly!
  • We also ask to see a thorough business plan and projections, usually the briefer the better! This quickly helps underwriters understand the bigger picture; the context of your business and the rationale behind the purchase. If you’re not sure where to start, why not head over to our How to write the perfect business plan guide?

Your first foray into finance certainly doesn’t need to be a daunting, onerous or time-consuming process! Simply get in touch to discuss your individual business case with a member of our friendly team. We’ll be able to give you a more accurate indication of what we’d require to process your finance, and on the rare occasion we’re unable to help, we’ll let you know straight away.

Looking for a loan?

We understand that sometimes you might require a facility that caters beyond the standard capabilities of equipment leasing, which is why we also offer unsecured loans for any purpose within your business. Whether you’re looking to step-up your marketing efforts, invest in product development, place a deposit or simply give your cash flow a boost, our loan facilities are tailored to meet your needs. If your business has been trading for more than two years, we’ll usually be able to help! For more information, call Johnson Reed on 0161 429 6949.