Truck Finance For New Company

Truck Finance for New Companies

Starting a business is an exciting endeavour, but securing the right resources—like trucks—can be a financial challenge. For businesses that rely heavily on transportation or logistics, acquiring trucks can be critical to operations. However, outright purchasing vehicles can strain cash flow, especially for new businesses with limited capital. This is where First Oak Capital steps in to provide flexible truck finance solutions tailored specifically for new companies, helping you drive your business forward without breaking the bank.

Why Choose Truck Finance for New Companies?

For new companies, maintaining a healthy cash flow is key, especially in the early stages. Buying trucks outright ties up valuable capital that could otherwise be used for day-to-day operations, marketing, or expansion. Truck finance allows you to spread the cost of acquiring trucks over time, easing the financial burden while giving you immediate access to the vehicles your business needs to operate efficiently.

At First Oak Capital, we specialise in providing finance options that are tailored to the unique challenges faced by new companies. Whether you need a single truck or a fleet, we offer a range of flexible financing solutions to suit your business’s specific needs.

Types of Truck Finance Options for New Companies

At First Oak Capital, we understand that no two businesses are alike, which is why we offer a variety of finance options that allow new businesses to secure the trucks they need while preserving cash flow for other important areas. For an idea of monthly payments visit our truck finance calculator page. Here are some of the most popular finance solutions available to you:

1. Hire Purchase (HP)

Hire Purchase allows businesses to own the truck at the end of the agreement. With an HP plan, you make an initial deposit followed by fixed monthly payments over a term, at the end of which you own the truck outright.

• Pros: You own the vehicle after the term, and payments are fixed, which aids in budgeting.
• Cons: Requires a deposit upfront, and the total cost may be higher than leasing due to interest.

This option is ideal for new businesses that are looking to build up assets over time. With First Oak Capital, we can help structure HP agreements that suit your cash flow needs, ensuring that repayments are manageable as you grow.

2. Finance Lease

A finance lease allows you to use the truck while making regular payments over the lease term. At the end of the term, you usually have the option to sell the truck to a third party and keep a portion of the sale proceeds or continue leasing it at a lower cost.

• Pros: No large upfront cost, and lease payments are often tax-deductible.
• Cons: You don’t own the truck unless you buy it at the end, and total costs may be higher in the long run.

With a finance lease from First Oak Capital, you can enjoy the flexibility of using the truck without immediate ownership, allowing you to upgrade your fleet more easily as your business grows.

3. Operating Lease

An operating lease is another great option for new companies that want to use trucks for a set period without the commitment of ownership. In an operating lease, you pay regular instalments for the use of the truck and return it at the end of the lease term.

• Pros: Lower monthly payments compared to HP, and maintenance is often included in the lease.
• Cons: You don’t own the vehicle, and you may face mileage restrictions or wear-and-tear penalties.

First Oak Capital offers operating lease solutions that allow you to keep your business on the road with minimal upfront costs. This is perfect for businesses that need flexibility and prefer to upgrade their fleet periodically.

4. Business Loan for Truck Finance

A business loan can also be used to finance the purchase of trucks. This option allows you to borrow a lump sum from a lender, purchase the truck outright, and then repay the loan in instalments over time.

• Pros: You own the truck immediately, and there are no restrictions on vehicle use.
• Cons: Requires a strong credit history, and repayment terms may vary significantly.

With First Oak Capital, we work closely with you to secure competitive loan terms, helping new companies finance their vehicles while maintaining financial flexibility.

5. Contract Hire

Contract hire is a long-term rental agreement that allows you to pay a fixed monthly fee for the use of the truck. It often includes maintenance and servicing, which makes it an attractive option for businesses looking to keep costs predictable.

• Pros: Maintenance is often included, and fixed payments help with budgeting.
• Cons: You don’t own the truck at the end of the contract.

First Oak Capital offers contract hire agreements that provide new businesses with reliable trucks at a fixed monthly cost, making budgeting simpler and eliminating concerns over depreciation or maintenance.

Why Choose First Oak Capital?

As a finance broker with decades of experience in the commercial vehicle finance sector, First Oak Capital is uniquely positioned to support new businesses looking to finance trucks. We understand that new companies often face barriers when it comes to securing finance—whether it’s due to limited credit history or cash flow challenges. That’s why we offer flexible financing options tailored specifically for new businesses.

Some of the key benefits of working with First Oak Capital include:

• Flexible Finance Solutions: We offer a variety of finance options, from hire purchase to leasing, ensuring that you can find a solution that meets your business’s unique needs.
• Competitive Rates: Our deep industry connections allow us to offer some of the most competitive finance rates in the market.
• New Business Support: We understand the challenges faced by new companies and are committed to providing financing solutions even for those with limited credit history.
• Expert Guidance: Our team has over 60 years of combined experience in the commercial vehicle finance industry. We work closely with you to understand your business needs and recommend the best finance option.

Securing Truck Finance for a New Company

Securing finance as a new company can be challenging, but it’s certainly achievable with the right approach. First Oak Capital offers tailored support to ensure that new businesses have access to the trucks they need to thrive.

Here are a few tips for securing truck finance:

1. Prepare a Strong Business Plan: Lenders will want to see how you plan to use the truck and how it will contribute to your business’s revenue. A solid business plan can make a big difference in your application’s success.
2. Demonstrate Revenue Potential: Even if your business is new, showing contracts or potential client orders can help demonstrate that you’re a good candidate for finance.
3. Work with a Specialist Broker: By working with First Oak Capital, you’ll gain access to a team that understands the challenges faced by new businesses. We can help you secure the best finance options available, even if you’re just starting out.

Conclusion

Truck finance is a strategic investment for new companies, allowing you to spread costs over time, maintain cash flow, and grow your business with minimal upfront investment. Whether you choose hire purchase, a finance lease, or contract hire, First Oak Capital is here to guide you through the process and secure the best deal for your business.

Get in touch with us today to learn more about our flexible finance options and how we can help your new company hit the ground running with the right truck finance solution.