Can I Get Asset Finance for an Electric Vehicle?

Embracing Electric Vehicle Finance: A Viable Solution for Businesses

In recent years, advancements in electric vehicle (EV) technology have made it feasible for many businesses to transition to electric fleets. Extended battery life, improved efficiency, and enhanced performance have significantly increased the use of commercial EVs, with numbers expected to continue rising.

Ensuring your business operations are environmentally friendly has never been more crucial due to the current climate emergency.

Investing in commercial electric vehicle finance offers an excellent opportunity for businesses that rely on regular driving. Electric car finance packages have become commonplace, covering costs associated with both charging point installation and the vehicles themselves.

Why Use Asset Finance?

Asset finance is a practical electric car finance solution for businesses aiming to upgrade or expand their fleets. Whether purchasing a new electric car for business or an electric van for deliveries, asset finance facilitates these acquisitions, promoting growth.

Asset finance spreads the cost of fixed assets over an agreed period. For example, the cost of a new van could be divided into 12 equal payments, repaid over a year.

This umbrella term encompasses specific solutions such as hire purchase agreements and finance leasing, both applicable for electric vehicle purchases.

• Hire Purchase Agreements: Your provider supplies the electric vehicle and agrees to a payment plan with you. During the finance term, the provider retains ownership of the vehicle. Upon completion, you have the option to purchase the EV outright.
• Finance Leasing: You can use a new vehicle while paying it off. Typically set up over longer periods (up to five years), you maintain and insure the vehicle while the lender retains ownership.

Benefits of Asset Finance for an Electric Vehicle

Investing in commercial electric vehicles offers numerous benefits, including:

• Reduced Environmental Impact: EVs emit 28%-81% less CO2 than petrol or diesel vehicles.
• Improved Safety: EVs have a lower centre of gravity, reducing the likelihood of rollovers and lowering the risk of fire and explosion in accidents.
• Better Air Quality: The absence of exhaust fumes improves air quality.
• Less Noise Pollution: EVs operate almost silently.
• Increasing Range: The range of electric vans, though currently lower than electric cars is continually improving.
• Cost-Efficiency: On average, an EV costs £4 to travel 100 miles.
• Decreasing Total Costs: While initially more expensive than diesel counterparts, the total cost of electric vehicles is falling each year.

Asset Finance from White Oak UK

Supporting SMEs through a range of financial solutions is central to White Oak UK’s philosophy. As we expand our team post-pandemic, we are broadening our asset finance offerings.

As an FCA-authorised and regulated European lending platform, we proudly offer solutions ranging from £25k to £2m, repayable over 12 to 60 months.

Speak to our specialist asset finance team to discuss your business needs and start upgrading your fleet by applying for funding today.