There are several reasons why a person or a business would choose to make a purchase via an asset finance company, such as opportunity costs or tax implications. However, most businesses consider asset financing due to poor cash flow.
Assets are vital for any company, but they tend to be quite expensive, which makes it difficult for small businesses to make up-front payments in full. Therefore, borrowing the money to make such transactions is the best alternative to get the asset they need without affecting their short-term cash flow.