What you can use a loan for

Should I lease equipment or buy it with a loan?

When your company needs equipment, you generally have two routes: lease or rent it under a separate finance arrangement, or buy it outright using a loan such as Credicorp Slice. Neither is universally better — the right choice depends on the asset, how long you will use it, and how you want to manage cash and ownership.

Where buying with a loan tends to suit

Buying outright makes the equipment your company's asset from day one, with no usage limits or return conditions. It often suits long-life kit you expect to keep and use heavily. You meet the cost over your agreed term at the rate shown in your offer, then own it free of further commitment.

Where leasing can make sense

  • Technology that dates quickly and you may want to swap out.
  • Equipment you need only for a fixed project or season.
  • Situations where keeping the asset off your balance sheet matters to you.

How we lend

Credicorp is a lender, not a leasing company or broker — we offer business loans to buy assets, not lease agreements. We lend only to UK limited companies and LLPs for business purposes. The loan is to the company, with no personal guarantees from directors. Take your own accounting or tax advice on which route suits your figures.

As an exempt business lender, Credicorp is outside the FCA consumer-credit regime, so the Financial Ombudsman Service and FSCS protection do not apply.

See also: Flex or Slice for funding an asset purchase?, Funding a bulk fuel or energy purchase and Funding equipment for a café, kitchen, or bar.

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