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At Charles & Dean, our team combines in-depth knowledge of the transport and haulage industry with a commitment to helping you overcome the unique challenges your business may face, all through tailored financial solutions at the heart of our approach.
Why Use Finance in the Coach and Haulage Industry?
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High Upfront Costs: Purchasing coaches and HGVs involves high initial expenses that can strain cash flow without financial support.
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Regulatory Requirements: With frequent regulatory changes (PSVAR, Euro 6, BODS (Bus Open Data Service)), financing helps businesses stay compliant without impacting working capital.
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Access to Advanced Technology: Finance allows operators to invest in technologies and assets that might otherwise be unattainable.
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Faster Fleet Expansion: Accessing financing options enables companies the confidence to grow their fleets at a quicker pace than self-funding would allow.
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Enhanced Cash Flow: Financing extends cash flow for businesses, unlocking working capital tied up in assets.
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Flexible Payment Structures: Tailored finance packages, including seasonal payment options, accommodate cash flow fluctuations (such as reduced demand during quieter months).
Success Stories
“My contact was Joe, he guided me through the process from start to finish. I had thought up until now that the mainstream high street banks, especially ones you have placed all of your business banking requirements with over many years should always be able to provide the best rates. Charles & Dean have proved otherwise.”
- Robert Lodge - Director, Lodge Coaches
Why Your Transport Business May Need Funding
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Tourism Peaks: Coach operators often experience increased demand in summer months due to tourism, creating a need for additional working capital or fleet expansion to meet this seasonal demand.
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Car Sharing Increase: A rise in car-sharing reduces demand for traditional coach travel, adding pressure on operators to offer competitive and convenient services (Young, 2023).
Business Financing Solutions
- Hire Purchase (HP): Spreads vehicle costs over time, making PSVAR and Euro 6-compliant vehicles affordable without large upfront capital outlays.
- Finance Lease: Ideal for businesses needing long-term use of a vehicle without the commitment of ownership. This option is particularly advantageous for operators with set contract terms, allowing flexibility as regulatory requirements evolve. Given the rapid pace of regulatory changes, avoiding ownership at the end of the lease term can be beneficial, as residual values remain unpredictable.
- Equity Release: Unlocks the value of existing assets to provide immediate cash at more competitive rates than typical unsecured options. This can be particularly useful for investments in non-tangible assets, such as BODS compliance, which often require significant upfront capital. With many coach operators being asset-rich but cash-poor, equity release from the current fleet offers a smart way to fund these essential upgrades without straining cash flow.
- Sale and HP Back: Releases funds from recently acquired assets purchased in the last 90 days, helping businesses maintain liquidity without selling off critical resources.
- Invoice Finance: Empowers business owners to take control of outstanding client payments, improving cash flow by unlocking revenue sooner. This enables businesses to cover costs promptly, enhancing financial flexibility and stability.
- Briyesh Patel, Transport for School Ltd
Why Use Charles & Dean?
Written by
Tom Perkins
