Following several consecutive months of growth, the latest figures released by the Finance and Leasing Association (FLA) reveal mixed news for the asset finance market in the 12 months to February 2018.
The two sectors that have performed strongly according to the latest data are Plant and Machinery Finance and IT equipment. The former saw a 5% increase in asset finance while the latter saw a 13% increase suggesting these sectors are more willing to explore alternative sources of finance in the current economic climate. The same can be said for the manufacturing and the agricultural and construction sectors.
Two sectors that have not performed well in the 12 months to February are commercial vehicle and surprisingly business equipment which had seen growth up until this point. Commercial vehicle finance saw a 5% drop while business equipment saw a 20% fall.
Despite these mixed results, the underlying health of the asset finance sector remains strong and continues to offer businesses a less risky alternative to banks loans and other traditional forms of lending.
If you would like to find out more information on how asset finance could help with your own business investment, contact us today for advice.