Asset Purchase

An Asset Purchase agreement is a contract which enables commercial users to purchase goods by means of time payment with guaranteed end ownership. Equity is increased with each payment and an Option to Purchase may be given at any stage during the contract.

Key Features

Choice of financing 100% of invoice price OR contributing some form of deposit – cash or trade, depreciation and interest is usually tax deductible, monthly payments can be structured to suit your cash flow, guaranteed end ownership of goods and the option to purchase the equipment at any time during the term of the contract with all equity in goods retained by you.

Options

Flexible repayments – structure the repayments to suit your Cash flow. You can now vary the money you pay to match the money coming into your business. For example crop sowing time vs. crop harvest time.

Structure the facility with or without a Balloon Payment

Flexible terms – choose the length of the asset purchase. The life of an asset purchase usually depends on two things: how much you want to pay per month, and the life of the asset – you shouldn’t be paying off equipment that is no longer contributing towards your income!