Are you in search of a financing company with competitive ratings? Lombard Finance is here for you!
Lombard has gone a long way in the last 150 years, from leasing carriages to railway firms to the forward-thinking lending we offer today. Learn more about their illustrious history and how they became asset financing experts.
Learn all about the company, with input from a former employee, in this Lombard Review.
Table of Content
Lombard Overview
In 1861, a group of foresighted businessmen saw the commercial potential of leasing wagons to local railway companies, collieries, and quarries. The advent of hire purchase was marked with the establishment of the North Central Wagon Co.
By 1900, approximately 25,000 railway wagons were available for hire, and as demand for cars expanded, they began to fund road transport as well.
Prudential Assurance Co. and banker Connop Guthrie purchased the firm in 1928, sensing enormous potential. Guthrie, a talented entrepreneur and innovator, changed the company, ushering in an era of rapid expansion. When the railways were nationalised, the business began financing automobiles and consumer durables, helping to restore Britain’s industries in the aftermath of WWII.
Always one step ahead of the competition, they started leasing innovative technology to businesses as early as 1986, a venture that is today known as Lombard Technology Services. The business emerged from the crisis in the early 1990s with record earnings, and the Financial Times praised it as “an extraordinarily bright light in the banking industry.”
They altered their business brand in 1995, choosing the simple name Lombard. Lombard Corporate Finance was founded with the goal of creating innovative leasing solutions for industries such as cinema, aviation, marine, technology, and private finance. We later won their largest transaction to date, a bid to finance the purchase of trains for Virgin Rail valued at more than £395 million.
In the year 2000, Lombard was acquired by Royal Bank of Scotland, and two of RBS’s subsidiaries, RoyScot Trust and Royal Bank Leasing, were amalgamated with Lombard to form a new force in asset financing.
Lombard moved steadily ahead in the new millennium, with the same emphasis on entrepreneurial success as before – and they have grown to be the UK’s top provider of asset lending.
Services Offered By Lombard
Businesses can utilise asset financing to acquire the equipment they require to expand. Pay a monthly fee to utilise the item for an agreed-upon duration, avoiding the full expense of purchasing altogether. They provide both Hire Purchase and Lease Financing.
- Financed Assets. It is a type of financing that companies may utilise to expand by purchasing much-needed equipment like car fleets, farm machines, and even planes. You pay a fixed amount each month to use the asset for a specific amount of time, avoiding the entire expense of purchasing it altogether. In contrast to standard loans, asset finance may make it easier to acquire cash for extra financing needs. Spreading the price of an item and eliminating ownership charges like maintenance can help you keep your cash flow in check. Asset financing differs from traditional loans in that the loan is secured by an asset. When examining financing choices, keep in mind your total borrowing needs.
- Vehicles
- Agricultural
- Marine
- Technology
- Renewable energy
- Aviation
- Machinery
- Healthcare equipment
- Finance Options
- Hire purchase. Hire Purchase allows you to stretch the cost of an item, such as a company automobile or equipment, over a longer period of time with fixed monthly payments. They provide flexibility on the cost of your deposit, regular monthly payments, and the final lump sum to suit your business. It’s critical to understand the fundamental differences between Hire Purchase and leasing when selecting what’s best for you and your company. Both are viable options for financing assets such as automobiles and vans. Leasing is a type of finance that allows you to utilise an item for a specific period of time and then return it. With Contract Hire, the car has a residual value, which lowers the lease rents you pay. It can save time and effort if you don’t have to dispose of the assets at the conclusion of the contract. Hire Purchase is a flexible method of financing an item that allows you to keep it at the end. You can become the asset’s owner once you’ve made the final payment.
- Contract hire. Contract Hire, commonly known as car leasing, is a flexible financing option that may help you avoid the hazards of vehicle ownership while simultaneously lowering your operating costs. They provide Contract Hire services to lone traders and small companies, as well as huge corporate fleets, and they recognise the need for cost-effective solutions and reliable assistance.
- Finance lease. A Finance Lease is an agreement in which you (the lessee) receive the right to utilise an asset from someone other than the legal owner (Lombard). A Finance Lease is one in which the majority of the risk and reward is passed to the lessee. You are effectively funding the lessee’s purchase of the leased asset, even while the legal title remains with Lombard.
- Residual Value Lease. You will pay Lombard a rental fee for the usage of the asset your company requires. Lombard keeps the asset’s risks and rewards. Your monthly payments will be reduced because you are not paying for the item in full. A residual value lease allows you to obtain high-value or specialised equipment without risking its depreciation or the hassle of disposing of it. The item is rented for a fraction of its usable economic life, which means it has a residual value at the conclusion of the lease period. This will be calculated at the start of the Residual Worth Lease arrangement, and the rent you pay will be based on the asset’s expected future value.
- Chattel loan with a mortgage. A chattel mortgage is a sort of financial arrangement that allows you to utilise assets like machinery, marine boats, or aeroplanes c as collateral for a loan, with the mortgage being erased after the debt is repaid. Chattel loans are widespread in everyday life; a basic residential property mortgage, for example, is a regular Chattel Mortgage arrangement in which the property is used as collateral.
- Intellectual property funding. Intellectual Property Funding is a new asset finance solution that aims to unearth the hidden value of your company’s intangible assets, such as your own proprietary software (IP). It’s a unique way to get money into your business without sacrificing control.
- Sale and leaseback. Ownership of your current assets is transferred to Lombard through a sale and leaseback transaction. The assets are then continued to be used by you, essentially leasing them from Lombard for a monthly fee. This method allows you to free up cash for your business while also allowing you to better estimate the costs of purchasing, financing, maintaining, and disposing of your assets.
- Sustainable Business Finance
- Electric Vehicles. Lombard provide a selection of resources to assist you to decrease your carbon emissions and perhaps save money, whether you’re just thinking about switching to electric vehicles or are ready to do so.
- Other green assets. From infrastructure and software to renewable energy, they recognise that climate is a critical aspect of your business plan. They may be able to assist you as you make the change.
- Supports for your business
- Other Services
- Annual investment allowance. The Annual Investment Allowance (AIA) allows a company to deduct the cost of certain assets from its taxable income. This implies that, in principle, businesses can deduct up to £1 million from their taxable earnings, saving a significant amount of money provided the money is spent on eligible expenditure. Most assets acquired for company usage are eligible for AIA. It also covers hire buy assets, but not lease-based ones. The majority of plant and machinery purchases, including building parts and fixtures, some vehicles (though not cars for personal use), heating systems, lifts, air conditioning, lighting systems, and specialist equipment essential to the operation of a business, are covered by qualifying expenditure.
- Refinance solutions. You may be hoping to build or sustain your firm without utilising your capital or cash reserves in these unpredictable times. This is where asset finance might come in handy. At Lombard, they provide a variety of financing alternatives, including refinancing options, that may be able to help your company prosper in the future.
- Business support tools
- ULEZ
- Swoop
- Octopus energy
- Green business builders
Lombard Contact Details
Registered Address: 250 Bishopsgate, London, EC2M 4AA
Mailing Address: Ulster Bank Ireland DAC, Ulster Bank Group Centre, George’s Quay, Dublin 2, D02 VR98, Ireland
<iframe src="https://www.google.com/maps/embed?pb=!1m18!1m12!1m3!1d395302.58379902586!2d0.07073335048908291!3d51.477866904295524!2m3!1f0!2f0!3f0!3m2!1i1024!2i768!4f13.1!3m3!1m2!1s0x48761cb3c5870ff5%3A0xe405730e63b1793d!2s250%20Bishopsgate%2C%20London%20E1%206AA%2C%20UK!5e0!3m2!1sen!2sph!4v1637377161617!5m2!1sen!2sph" width="600" height="450" style="border:0;" allowfullscreen="" loading="lazy"></iframe>
Telephone Number: 0818 210 263
Website: www.lombard.co.uk
Email: [email protected]
Registration Number: 01566175
Lombard Reviews
There are extremely few reviews available — Trustpilot just has seven. Two of the seven are extremely satisfied with Lombard, claiming that the service was quick and cost-effective. Negative reviews complained about unexpected expenses, poor customer service, and a lack of assistance throughout Covid. Despite these complaints, Lombard Finance is not the worst company to work with.
Lombard Finance reminds clients of a late fee through phone calls that are made from a call centre affiliated with them.
A former employee posted this review about the company:
Upfront work experience is hard to come by. Really enjoyed the opportunities and was encouraged to make the most of them. Could be larger and have better internal support mechanisms. Staffing is lean, which means sometimes doing work that is justified at your rate for the client. This equals write-offs, which no one likes.
As with any business, Lombard Finance has received negative reviews but they still remain one of the suggested companies after building a good reputation in the past.
Summary
While making this Lombard Review, we found resources detailing how Lombard offers interest-free payments for clients. Customers can create an account and contact the management on their website if they have queries such as payment details, the interest rate applied, and if their paid fees have been reflected. The company has great potential though they still need to build consistency with delivering service. All in all, we hope you found this review helpful as you continue to explore the possibilities with Lombard Finance.
Full List Of Asset Finance Companies
We have compiled a list of Asset Finance Companies below: