Asset and Equipment Finance
Asset finance is considered a type of business loan that entrepreneurs, business owners, self-employed professionals, and other business entities use to acquire financing to buy new or pre-owned machinery/equipment for various business purposes. Whether you’re looking to expand your manufacturing facility, buy new construction equipment, or upgrade your business equipment, it can be a large investment.
Centennial Finance can help you look at your options for asset finance. We have a network of banks and private funding sources that we can work with to help your business find the best options for funding your machinery, equipment, commercial vehicles, or other business assets.
Machinery & Equipment Finance for Businesses in UAE
Every business in UAE will have different asset requirements. Whether you’re a manufacturer needing to purchase new production equipment or a construction company wanting to invest in a new excavator or crane, the finances required will depend on what asset you require, how much it costs, and your business’s financial situation.
Centennial Finance helps businesses exploring asset finance in the UAE for:
| Financing requirement | Examples of assets |
| Manufacturing machinery | Production lines, CNC machines, packaging and processing machinery |
| Construction equipment | Excavators, cranes, loaders, bulldozers, and generators |
| Industrial equipment | Compressors, industrial tools, and specialized machinery |
| Commercial vehicles | Trucks, delivery vans and business vehicle fleets |
| Medical equipment | Diagnostic machines, laboratory, and clinical equipment |
| IT and technology | Servers, business hardware, and specialized technology infrastructure |
| Warehouse equipment | Forklifts, material-handling and storage equipment |
Financing availability depends on the asset type, business profile, and financier’s requirements.
Key Types of Equipment and Asset Finance
Hire Purchase (HP)
Initial Deposit + Agreed Instalments during the Financing Term.
Ownership of the asset transfer to the business once all contractual payments are complete.
Equipment Finance and Leasing
The bank or leasing company will purchase the equipment, then lease it to your business for an agreed time period. You may also be able to choose between purchasing, returning, or continuing to lease the equipment when this initial term ends.
Operating Lease
It’s an agreement allowing you to utilize an item of equipment (or vehicle) over a specific period.
You might consider this type of lease if you’re constantly upgrading your vehicles or technology. You will be able to understand who holds responsibility for maintenance and what happens at the end of the term depending on the agreement you enter into with the lessor.
Asset Refinance and Sale-and-Leaseback
If you have businesses that already own these assets, there could be other options for using your business’s existing assets such as exploring whether you can refinance or enter into a sale and leaseback arrangement, which would allow you to continue to benefit from using them but also free-up some of the capital held within them (subject to various ownership, valuation, and financing provider requirements).
Sharia-Compliant Asset Financing
If you’re looking for Islamic financing, there are a number of different structures, including those that utilize concepts such as Murabaha or Ijarah, that you can access through participating Islamic banks and/or financing providers.
The structure and ownership arrangements depend on the specific product and agreement. Centennial Finance is happy to help you explore potential structures given your requirements.
Common Asset Financing Terms in the UAE
Following are the structures that businesses may face when applying for machinery and equipment finance.
| Financing consideration | Indicative terms |
| Financing coverage | Some programs may finance up to 80%–90% of the eligible equipment value. |
| Business contribution | A down payment or equity contribution may be required, depending on the program. |
| Repayment period | May range from 12 to 48 months, with certain programs offering longer tenures of up to 7 years. |
| Eligible assets | Construction machinery, manufacturing plants, commercial vehicle fleets, medical devices, and IT infrastructure |
| Security | The financed asset or other acceptable security may be required. |
| Repayment structure | Installments and repayment schedules depend on the financing arrangement |
Documents Required for Asset Finance
Banks and private financing providers request company, ownership, financial, and asset-related documents.
| Document | Requirement |
| Trade licence | Copy of valid company trade licence |
| Memorandum of Association | MOA, where applicable |
| Passport and Emirates ID | Copies of owners and authorised signatories |
| Family Book | Where applicable or requested by the provider |
| Office and warehouse Ejari | Where applicable |
| Employee details | Employee list registered with the Ministry of Human Resources and Emiratization, where requested |
| Financial statements | Last two years audited or accepted in-house financials |
| Bank statements | Last six months for active company bank accounts |
| Equipment quotation | Invoice or price offer from an authorized supplier, distributor, or manufacturer |
| Asset valuation | Valuation from an approved appraisal body, where required |
The financier may request additional documents depending on the company.
Why Work With Centennial Finance?
Getting your quotations from banks or private financiers may not be enough when you want to get financing for your business machinery or equipment.
There’s more to consider regarding your business’s requirements, documentation, and financing structures. Here at Centennial Finance we help businesses within Dubai and throughout the whole of UAE:
- Understanding your asset purchase and financing requirements
- Exploring potential options with our network of banks and private financing providers
- Helping you to identify potential providers by considering your business profile and asset requirements
Our role may involve assisting with the preparation and submission of application documents as well as supporting communication throughout the financing process. We work with businesses from all sectors that have varying financing needs. We can help you explore your options to get machinery finance, equipment financing, or anything else related to funding certain aspects of your assets for your business.
Want to plan on purchasing machinery, upgrading equipment, or investing in commercial assets? Speak with Centennial Finance today.
By sharing your asset requirements with us, we will be able to explore some of the many potential asset finance options available in Dubai & throughout the entire UAE.