- ✓Preserve working capital & credit lines
- ✓Spread the VAT across the rentals*
- ✓Refresh technology sooner, tax-efficiently
- ✓Fixed, predictable monthly cost
Which IT finance product is right for you?
Servnet supplies the equipment and arranges the funding, so you can fund an entire IT refresh through one partner. Here’s how the four main structures compare.
Hire Purchase
OWN ITSpread the cost, then own the equipment outright with a final option-to-purchase fee.
Best when you want to keep the kit long-term and capitalise the asset.
VAT is due on the equipment up front (it can itself be financed).
Finance Lease
Rent the equipment over the term, with most of its value on your balance sheet. Continue on a peppercorn rental or sell on the funder’s behalf.
Best for balance-sheet financing where you’ll use the asset for its full life.
VAT is charged on each rental, spreading the cash impact.
Operating Lease
The funder retains a residual value, so monthly rentals are lower. Return, extend or upgrade the kit at the end.
Best for fast-refresh technology you want to hand back and upgrade.
VAT is charged on each (lower) rental; nothing sits on your balance sheet.
Technology Subscription
An all-inclusive monthly service — hardware, support and scheduled refresh bundled into one predictable payment.
Best when you want hardware, maintenance and lifecycle refresh as one OPEX line.
VAT is charged on the monthly subscription; fully OPEX.
Compare the four finance products at a glance
How hire purchase, finance lease, operating lease and technology subscription differ on ownership, VAT, balance sheet and monthly cost. For the detail, see hire purchase vs leasing vs subscription.
| Hire Purchase | Finance Lease | Operating Lease | Subscription | |
|---|---|---|---|---|
| Own at end | Yes | Optional | No | No |
| VAT | On the asset | On rentals | On rentals | On monthly |
| Balance sheet | On | On | Off | Off (OPEX) |
| Relative monthly | Standard | ≈ Standard | Lowest | Highest |
| Best for | Keep long-term | Full-life use | Fast refresh | All-in OPEX |
What IT finance costs — worked examples
Indicative hire-purchase monthly by project value and term, nil deposit. An operating lease is lower; a longer term lowers the monthly and raises the total. Enter your own figure in the calculator above.
| Ex-VAT value | 36 months | 48 months | 60 months | 72 months |
|---|---|---|---|---|
| £10,000 | £315/mo | £255/mo | £215/mo | £188/mo |
| £25,000 | £788/mo | £638/mo | £538/mo | £470/mo |
| £50,000 | £1,575/mo | £1,275/mo | £1,075/mo | £940/mo |
| £100,000 | £3,150/mo | £2,550/mo | £2,150/mo | £1,880/mo |
Figures are indicative and subject to a funder’s credit assessment. See how the monthly is calculated.
Not sure on the hardware yet?
Spec the right technology first, then bring the value back here to fund it — a seamless choose-it-then-finance-it journey.
IT finance — your questions answered
Is the monthly payment a formal quote?
No — the figures are indicative only, to help you plan. A formal, tailored quotation is issued following a credit assessment by the funder. Rates depend on your business profile, the equipment and the term.
What is the difference between hire purchase and leasing?
With hire purchase you spread the cost and own the equipment at the end (VAT is due on the asset up front). A finance lease rents the equipment with the value on your balance sheet; an operating lease has a residual so rentals are lower and you return or upgrade at the end; a technology subscription bundles hardware, support and refresh into one OPEX payment. The calculator lets you compare all four instantly.
Does enquiring affect my credit score?
No. Requesting an indicative quote through this tool is a soft enquiry with no impact on your credit score. A credit search only happens later, with your consent, when you proceed to a formal application.
What terms and deposits are available?
Typical terms run from 24 to 72 months (63 months is a common sweet spot). Deposits are optional — nil-deposit is common for established businesses, and a balloon payment can lower the monthlies on higher-value projects.
What IT can I finance?
Servers, storage, networking, laptops, desktops, Apple devices, AI infrastructure, security appliances, telecoms, audio-visual and software — including mixed projects. Because Servnet supplies the equipment and arranges the finance, you can fund an entire refresh through one partner.
Can startups, charities, education or the public sector finance IT?
Yes. Newer businesses can finance (a director’s guarantee or modest deposit may be requested); charities, education and public-sector bodies are well supported, including compliant framework routes and any applicable VAT reliefs.
Is IT finance tax-efficient?
Often, yes. Lease rentals are typically an allowable operating expense, and hire purchase may qualify for capital allowances (including the Annual Investment Allowance). Always confirm treatment with your accountant — Servnet is not a tax adviser.
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