Asset Finance Case: Ice Cream Startup

Overview

Client: Startup ice cream business (UK-based)

Facility Type: Hire Purchase (Asset Finance)

Requirement: £100,000 (incl. VAT) to purchase a fully-equipped second-hand ice cream van

The Challenge

The client had sourced a high-quality, second-hand ice cream van to launch their business at a prominent tourist location – but needed £100K to secure it quickly.

The Solution

We offered the client two fast-track options within 48 hours:
– Lease finance
– Hire Purchase (HP)

They opted for HP, choosing to:
– Pay a 20% deposit to cover VAT
– Finance the remaining £80K over 48 months 

The Outcome

✅ Van purchased and business launched
✅ Ownership secured from day one
✅ Working capital preserved for marketing and early operations
✅ Tax-efficient structure: interest and capital allowances deductible;
VAT reclaimable (if VAT-registered)

Key Insights

Asset finance allowed this startup to get off the ground without compromise.
Hire Purchase gave them ownership and tax benefits, while keeping cash free to grow the business.