VAT Loan & Corporation Tax Funding

As a limited company, you are legally obliged to pay certain taxes to HM Revenue and Customs. Even businesses that are struggling still must pay their taxes.

That is why HMRC is by far the most common creditor of limited companies and limited liability partnerships across the UK. Because of this, Systems Finance have financial products to help UK companies with this. Read below to find out how our VAT loan facility alongside our Corporation Tax loans can benefit you!

VAT Loan Facility

VAT based funding is traditionally based over 3 months and often is utilised on a rolling basis as the rates are extremely low and therefor the cost of utilising a facility like this is highly attractive. A VAT loan is very simple. It allows you to spread the cost of your VAT bill over 3 months, so that you do not have to pay it in one lump sum.

It is very quick to obtain a VAT loan. The lender will require a copy of the businesses VAT return, accounts, bank statements and information on the Director(s) of the business. Generally, a VAT loan will be organised within 24 hours and HMRC is settled within 24-48 hours of getting in touch with us.

Of course, if the traditional 3 months does not suit your requirement, then please let us know and we can discuss longer term arrangements in the form of working capital loans.

Benefits Of VAT Loans

  • Quick simple to arrange
  • Payments can be made to HMRC directly on your behalf or to your bank account.
  • 3 Monthly repayments – The first Payment can be Deferred By 1 month
  • Does not utilise existing banking relationships (specialist lenders operate in this market)
  • Option to use as a rolling facility (subject to approval)

Corporation Tax Loans

Having free flowing working capital is extremely important in the effectiveness of business capability. This is one reason why Corporation Tax loans are becoming very popular. Especially in sectors where the majority of your billing is done in one or two quarters of the financial year.

Effectively this financial product allows you to spread the cost of your Corp Tax bill over a 3 – 12 month period, avoiding HMRC late payment penalties and improving your ability to forecast and keep control of your cash flow.

Benefits Of Corporation Tax Loans

  • Easy and fast to arrange facility
  • Unsecured funding
  • Protects your working capital
  • Fixed monthly repayments available from 6-12 Months
  • Quick Decisions
  • Payment made to HMRC directly or to your bank account – you choose!
  • Protects existing bank facilities
  • HMRC receive payment on time, meaning no penalties!

Why Use Systems Finance?

Industry Leading Rates

With our access to over 40 UK funders, we can provide industry leading rates from just 2.5%.

98% Acceptance Rate

We spend time understanding your business and what you are looking to achieve. This results in the creation of detailed proposals that ensure you receive the funding you want.

Diverse Lenders

We can provide tailored finance solutions specific to your asset, industry and business. Whether you are a new start business, or well-established global firm, we can find a solution for you.

Rapid Finance

Systems Finance provides same day quotations with the ability to get you funding within just 24/48 working hours.

Key Benefits of Asset Finance

  • Tax Flexibility

    Some types of equipment finance like equipment leasing and sale and leaseback are more tax efficient than buying outright. That’s because when you lease an item it’s a monthly expense rather than an asset sitting on your balance sheet.

  • Easy to budget and manage

    Equipment finance in most of its forms gives you predictable payments so you can spread the cost over time. That means that managing cashflow is that little bit simpler, and you can focus on running the business.

  • Access to other lines of credit

    You don’t have to use up a bank facility you already have.

  • Tax efficiency

    Some types of equipment finance like equipment leasing and sale and leaseback are more tax efficient than buying outright. That’s because when you lease an item it’s a monthly expense rather than an asset sitting on your balance sheet.

  • Spread the cost and pay as you use it

    Why pay upfront on a depreciating asset when you can pay as you use it and spread the cost.

  • Always have the latest technology

    Get the latest technology without having to pay the huge upfront costs.

For more information on the options available to you, please see our details below and get in touch!

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