849 days ago

Asset loans and used asset finance – what's right for your business?

Speirs Finance

We all understand that buying cheap does not always equate to the best value purchase but when it comes to finance, the interest rate (particularly in an upwards trending market) is often the primary focus and this can lead to poor customer outcomes. This is because decisions makers often overlook the importance of maintaining positive cash flows in their businesses, especially in relation to their asset loans or used asset finance structures. Financecan be complex and other more important factors like loan structure and terms and conditions can have a much greater impact on cash flow than interest rate.

It’s very common to see businesses with cash flow issues that have poor asset finance or asset loans structures for new assets and used asset finance as the primary cause for this. A typical example of this situation is a customer taking up a very low interest on a new asset (often on dealer a discounted interest rate where the dealer is subsidising the rate by reducing margin) on a term offered of 2 or 3 years maximum. The asset may have a useful life of fifteen years, but in most cases a short term like this does not make sense and won’t be able to generate enough annual surplus to pay off the asset loan and likely lead to cash flow problems in the business.

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More messages from your neighbours
13 hours ago

Poll: Do you think banning gang patches is reasonable?

The Team from Neighbourly.co.nz

With the government cracking down on gangs, it is now illegal for gang members to display their insignia in public places whether through clothing or their property.

This means arrests can be made if these patches are worn in places like restaurants, shops, on public transport or ferries, and on airplanes. Arrests were made recently at a funeral.

Do you think this ban is reasonable?

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Do you think banning gang patches is reasonable?
  • 76.9% Yes
    76.9% Complete
  • 22.2% No
    22.2% Complete
  • 0.9% Other - I'll share below
    0.9% Complete
541 votes
17 days ago

What's your favourite recipe for courgettes?

Mei Leng Wong Reporter from NZ Gardener & Get Growing

Kia ora neighbours. If you've got a family recipe for courgettes, we'd love to see it and maybe publish it in our magazine. Send your recipe to mailbox@nzgardener.co.nz, and if we use it in the mag, you will receive a free copy of our January 2025 issue.

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1 day ago

Think You’ve Got the Answer? Today’s Riddle Says ‘Prove It’!

Riddler from The Neighbourly Riddler

If eleven plus two equals one, what does nine plus five equal?

Do you think you know the answer to our daily riddle? Don't spoil it for your neighbours! Simply 'Like' this post and we'll post the answer in the comments below at 2pm.

Want to stop seeing riddles in your newsfeed?
Head here and hover on the Following button on the top right of the page (and it will show Unfollow) and then click it. If it is giving you the option to Follow, then you've successfully unfollowed the Riddles page.

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