Novuna vs Close Brothers Asset Finance: 2026 Comparison

Novuna Business Finance, the asset finance arm of Mitsubishi HC Capital UK PLC, focuses on hire purchase and leasing to help UK businesses acquire equipment without large upfront costs, as set out on its asset finance product page and related finance products overview. Close Brothers Asset Finance and Leasing, a trading style of Close Brothers Limited, provides UK SMEs with asset finance through hire purchase, leasing and refinancing options as described on its main asset finance page and the group’s asset finance overview. Both lenders operate in similar markets, but they differ in product structures, documentation, eligibility focus and support resources. This comparison looks at how their asset finance offerings work in practice, drawing only on verifiable information from their official sites and other reputable sources. It is written to help UK SMEs and advisers weigh which provider may fit a particular funding need best, without covering personal or consumer finance products.

1. Products and terms at a glance

Both lenders specialise in business asset finance rather than generic unsecured term loans, using similar core products but with different branding and supporting materials. Novuna Novuna Business Finance states that it helps established SMEs acquire business assets through hire purchase and leasing products, rather than offering standard business loans, according to its business finance overview and finance products page. These pages explain that Novuna funds a range of hard and soft assets, including vehicles, equipment and green technologies, and positions itself as a long term asset finance partner rather than a one off lender. Key structural points, based on Novuna’s product documentation and resources:

• Asset finance focus Novuna’s asset finance page explains that it helps businesses spread the cost of new asset purchases rather than paying in full upfront, using hire purchase and leasing agreements to avoid tying up working capital, based on its asset finance page and the guide on what asset finance is.
• Hire purchase Non regulated hire purchase agreements are documented in standard form contracts that set out terms such as fixed instalments, options to purchase and security over the asset, as illustrated by Novuna’s template non regulated hire purchase agreement. That document confirms that title normally transfers once all sums are paid and any purchase option is exercised.
• Fixed period hire and other lease style products Novuna also documents fixed period hire and other leasing style arrangements, where the business hires an asset for a defined term without automatic ownership, as described in its fixed period hire agreement and related soft asset hire agreement.
• Green and sustainability focused products Novuna highlights specific asset finance products aimed at green assets such as electric vehicles and energy efficiency equipment, as outlined in its sustainability toolkit article on products to promote sustainable asset choices, based on this guide.
• Legal entity and regulation Novuna Business Finance is a trading style of Mitsubishi HC Capital UK PLC, which is authorised and regulated for relevant activities, as set out in the company’s About Novuna page and confirmed within product documentation such as the hire purchase agreement.

The exact term lengths, advance rates and residual value structures for Novuna vary and are not set out as generic tables on the public site, so businesses should assume that specific terms depend on asset type, sector and credit profile. Close Brothers Asset Finance Close Brothers Asset Finance and Leasing describes itself as a provider of asset finance solutions including hire purchase, finance lease, operating lease and refinance for UK SMEs, according to its main product page and the group’s asset finance overview. These pages state that Close Brothers can fund both new and used assets across a range of industries and can also refinance existing assets to release capital. Key structural features, based on Close Brothers’ product and group pages:

• Core products Close Brothers lists hire purchase, finance lease, operating lease and refinance or capital release as its principal asset finance products, enabling businesses to acquire or refinance assets with structured repayments over time, based on the group’s asset finance summary and the dedicated page on how hire purchase works.
• Hire purchase mechanics The hire purchase explainer sets out that businesses can use the asset while paying regular instalments and normally obtain ownership once all payments and any option fees are settled, as described on the hire purchase page.
• Leasing and refinance Close Brothers emphasises the ability to use finance lease and operating lease where the business wants asset use without immediate ownership, and refinance or capital release to unlock value from existing equipment, as highlighted on the group’s asset finance overview and repeated in external summaries such as the British Business Bank press release about an ENABLE guarantee that supports hire purchase, sale and hire purchase back and leasing within its portfolio, based on this 2025 announcement.
• Legal entity and regulation Close Brothers Asset Finance is a trading style of Close Brothers Limited, which is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and Prudential Regulation Authority for applicable activities, as stated in the footer and legal wording on pages such as its fraud advice page and terms and conditions.

Public information does not standardise Close Brothers’ term lengths or LTVs across all sectors, and where external summaries refer to ranges these are clearly subject to status and may change, so for this comparison term length and advance percentage are treated as varying. Overlap and differences at a glance Both lenders concentrate on asset finance structures rather than generic unsecured business loans. Novuna’s public documentation and marketing focus on hire purchase and leasing within its own product framework, with a strong emphasis on sustainable and green assets, as set out in its sustainability products guide. Close Brothers offers a broader labelled range that explicitly includes refinance and operating lease in addition to hire purchase and finance lease, according to the group’s asset finance overview.

2. Costs and repayments in practice

Neither Novuna nor Close Brothers publishes a full, standardised rate card for business asset finance across all sectors, so pricing is largely bespoke. For that reason any numerical examples in this section are clearly marked as illustrative and should not be taken as actual quotes. How charges are structured Novuna’s business finance FAQs explain that asset finance customers will typically see a fixed interest rate over an agreed term, with monthly instalments reflecting the amount funded, deposit and term, and that interest rates depend on the proposal, as indicated by questions such as “What interest rate do you charge?” and “How much deposit would I need?” on its business finance FAQ page. The same FAQ notes that customers can choose aspects such as repayment date and amount within the lender’s criteria. Close Brothers’ public material focuses more on product mechanics than pricing. The group’s asset finance overview notes that it offers flexible funding options that allow SMEs to purchase new equipment or refinance existing assets, but does not publish standard APRs or fee tables, as seen on its summary page. Given the lack of published rate cards, businesses should expect that:

• Interest rates and fees vary by asset, sector, credit profile and deal size for both lenders.
• Both use structured instalments that amortise the balance over the term for hire purchase, with any balloon or residual handled through specific contractual options, as indicated in Novuna’s sample hire purchase agreement and Close Brothers’ product explanations.
• Documentation and legal fees may apply and are likely to be specified in the individual finance agreement schedules, not on public web pages.

Illustrative cost comparison table The table below uses hypothetical but realistic structures to show how similar deals might look with either lender. Figures are for illustration only, not actual offers. In practice the differences between Novuna and Close Brothers for a like for like hire purchase may centre more on deposit requirements, documentation style and flexibility around seasonal payments than on headline pricing, but these are not standardised on public pages and therefore must be confirmed during quotation. Worked example 1, hire purchase for machinery This example is illustrative only and uses simple assumptions to explain how repayments might behave. It does not reflect actual offers from either lender. Assumptions:

• Asset: manufacturing machine, cash price £80,000 plus VAT.
• Deposit: 15 percent of cash price (£12,000) paid upfront by the business.
• Amount funded on hire purchase: £68,000.
• Term: 5 years.
• Interest: fixed rate for the term, overall cost equivalent to a flat rate that yields a total payable of £82,000 on the financed amount.
• Option to purchase fee at the end: £150, indicative only and would actually vary.

Repayment structure under either Novuna or Close Brothers, assuming similar pricing:

• Total finance charges: £14,000 over 5 years, entirely illustrative.
• Total amount payable including financed amount: £82,000.
• Monthly instalment: about £1,366 over 60 months (82,000 ÷ 60), ignoring the small separate option fee.
• Total cash outlay including deposit and option fee: about £94,150.

This shows how hire purchase turns a single £80,000 capital expenditure into a mixture of modest deposit and predictable monthly payments. In reality the deposit percentage, total cost of credit and any residual or balloon would be tailored by each lender and varies. Worked example 2, finance lease for vehicles Again this is illustrative only. Assumptions:

• Asset: two commercial vehicles, combined cash price £60,000.
• Product: finance lease.
• Initial rental: equivalent to 3 months’ rental upfront.
• Term: 4 years.
• Residual value: set so that rentals cover part of the asset cost, with a final disposal process handled according to the lease contract.
• Total rentals over term (excluding VAT): assumed £66,000 in aggregate, illustrative and varying in practice.

Possible structure with each lender:

• Initial rental: say £3,750 (three times an assumed base monthly rental of £1,250).
• Subsequent rentals: 45 payments of £1,250 per month.
• Total rentals: £3,750 plus £56,250 equals £60,000, with an additional £6,000 recovered via disposal or final rental, reflecting the assumed total of £66,000.

Close Brothers’ emphasis on operating lease as well as finance lease means some agreements may rely more heavily on a higher residual value and lower monthly rentals compared to a straightforward hire purchase, while Novuna’s fixed period hire and leasing options can deliver similar effects. The precise mechanics, including who bears disposal risk, are embedded in each lender’s contractual terms and conditions, for example in Novuna’s general conditions and Close Brothers’ asset finance terms and conditions.

3. Speed and service

Neither lender publishes specific turnaround times for approvals or pay outs across all products, and any figures quoted by third parties are typically indicative and subject to change. As of 2026, it is safest to treat decision and funding timescales as varies for both lenders. However, some service expectations can be drawn from official resources and independent commentary. Novuna Novuna emphasises straightforward processes and “speedy release of funds” on its business finance overview, although without fixed timelines, as stated on its business finance page. Its FAQs explain that the lender asks for standard financial information such as accounts and bank statements and that proposals are reviewed against this information, based on questions like “What sort of financial information do you need?” on the FAQ page. Complaints handling is governed by a documented policy, with multiple contact channels including online portal, email, phone and post, shown on Novuna Business Finance’s complaints policy and supported by the generic group complaints policy page. Close Brothers Asset Finance Close Brothers’ group material emphasises long term relationships and sector specialists but does not quote fixed decision times for asset finance. Public content such as the Executive Hire Show and Invest Plymouth profiles describe Close Brothers working with SMEs for around four decades and providing “practical and flexible funding solutions” through hire purchase, lease and refinance, but do not standardise speed of service, as seen in the Executive Hire Show article on funding solutions, based on this piece and the Invest Plymouth spotlight on Close Brothers Asset Finance. Complaints processes are set out in a dedicated procedure that explains how to raise issues and the steps the firm will take, on its complaints procedure page. Customer compensation and fees information are also signposted separately, for example on the customer compensation page, although these do not define service level agreements for case resolution times. Given the absence of explicit timing guarantees, businesses should assume that both lenders’ decision and pay out times vary with deal size, sector and complexity.

4. Who each lender suits

Because both lenders target UK SMEs with asset finance solutions, suitability often comes down to sector fit, preferred structures and relationship style rather than simple eligibility thresholds. Novuna, indicative fit

• Businesses primarily seeking hire purchase or leasing to acquire new or green assets, where Novuna’s focus on flexible terms and sustainability, highlighted in its sustainability toolkit, aligns with internal investment plans.
• Borrowers comfortable with contracts and general conditions issued by Mitsubishi HC Capital UK PLC, which are clearly documented in product PDFs such as the non regulated hire purchase and hire agreements referenced above.
• SMEs already working with intermediaries or suppliers that partner with Novuna Business Finance for equipment purchases, as reflected in trade association listings like the Agricultural Engineers Association’s description of Novuna providing asset finance to over 25,000 customers across the UK, based on the AEA directory entry.

Close Brothers Asset Finance, indicative fit

• SMEs requiring a wider mix of asset finance structures, including refinance or capital release on existing assets, alongside hire purchase and leasing, as highlighted in the group’s asset finance page.
• Businesses that value a relationship led model with sector experts in specific industries, which Close Brothers repeatedly references in profiles such as the Hydrogen Energy Association membership page, stating it has grown over almost 40 years to provide hire purchase, lease and refinance across different sectors, based on this membership profile.
• Borrowers that may later want to combine asset finance with other group services such as invoice finance, using cross divisional relationships signposted on pages like the British Business Bank ENABLE guarantee announcement and Close Brothers’ Growth Guarantee Scheme overview on the group site.

Specific eligibility rules, such as minimum trading history or turnover, are not presented as simple numeric thresholds on either lender’s asset finance pages, so practical eligibility still varies and must be confirmed on enquiry.

5. How to apply

Novuna application routes Novuna’s business finance site encourages prospective customers to make contact through online enquiry forms or via introducers and supplier partners rather than offering a generic self serve application for all asset types. The business finance overview links into resource centre guides that include tips for a successful asset finance application, advising businesses to prepare information such as financial accounts, cash flow projections and details of the asset, based on the article in its guides and downloads section on business finance guides. Novuna also provides a structured complaints and customer portal framework for existing agreements, but for new finance the main process is typically:

• Discussing requirements with a supplier or broker linked to Novuna or completing a contact form from the business finance section.
• Providing financial information that the FAQs highlight as necessary, such as accounts, bank statements and details of existing borrowing, as referenced on the FAQ page.
• Reviewing and signing standard form agreements such as hire purchase or fixed period hire contracts, which include the detailed terms referenced in the example PDFs above.

Because Novuna’s asset finance is structured, businesses should expect document checks, possible requests for directors’ guarantees and searches carried out in line with Mitsubishi HC Capital UK PLC’s regulatory obligations, although specific documentation requirements vary by deal. Close Brothers Asset Finance application routes Close Brothers invites SMEs to make enquiries through its asset finance website, regional specialists and introducer network. The main site provides a general enquiry form where prospects can select an interest in hire purchase, lease or refinance and request contact from a specialist, as shown on its enquiry form page. The group contact page lists a dedicated phone line for asset finance and refers users onwards to the main product site, based on the group contact page. While there is no public step by step eligibility wizard, public materials and external profiles indicate that the process usually involves:

• Initial conversation with a sector specialist to understand asset type, value and intended use.
• Submission of financial accounts, bank statements and existing debt schedules for assessment, consistent with standard asset finance practice and implicit in the bank’s risk management disclosures in its annual reports such as the 2024 notes that show a portfolio of finance leases and hire purchase agreements, based on the 2024 annual report notes.
• Issuing and signing of asset finance agreements governed by Close Brothers’ terms and conditions, which set out obligations and default consequences.

As with Novuna, documentation requirements and any security package, such as debentures or guarantees, vary by transaction size, sector and risk profile.

6. Final verdict

Both Novuna and Close Brothers Asset Finance are established UK asset finance providers with broadly similar core tools, but they come from different group backgrounds and emphasise slightly different aspects. Novuna’s strengths for SMEs seeking asset finance include a clear focus on hire purchase and lease products delivered under Mitsubishi HC Capital UK PLC’s umbrella, with strong marketing around flexible repayment structures and sustainability oriented assets, all evidenced in its business finance and sustainability toolkit pages cited above. Close Brothers brings a multi decade track record in asset finance, a product set that explicitly foregrounds refinance and operating lease alongside hire purchase, and integration into a wider banking group with invoice finance and other services, as indicated by the group’s asset finance and Growth Guarantee Scheme pages. In the absence of public rate cards or formal speed guarantees for either provider, price and turnaround are best treated as case by case variables and tested via quotes rather than assumed from external commentary. For many SMEs, the decision will hinge on the specific asset, sector, and the relationship offered by each lender rather than a clear generic winner. Choose Novuna if:

• You want a lender that explicitly positions itself around hire purchase and leasing for asset acquisition rather than generic business loans
• Your funding need involves green or sustainability focused assets that align with Novuna’s specialist product focus
• You value working with a brand backed by Mitsubishi HC Capital UK PLC and are comfortable with its standardised hire and hire purchase documentation
• Your suppliers or brokers already have an established introduction route to Novuna Business Finance

Choose Close Brothers Asset Finance if:

• You need a wider menu of structures, for example a mix of hire purchase, finance lease, operating lease and refinance on existing assets
• You place a premium on long term, relationship led asset finance with sector specialist teams
• You may benefit from access to other Close Brothers group services, such as invoice finance, alongside asset finance
• Your transaction might involve more bespoke structuring, where Close Brothers’ history of supporting SMEs across multiple industries could be advantageous

7. Sources

• Novuna Business Finance, Business finance overview
• Novuna Business Finance, Asset finance product page
• Novuna Business Finance, Finance products overview
• Novuna Business Finance, What is asset finance and is it right for your business
• Novuna Business Finance, Products to promote sustainable asset choices
• Novuna Business Finance, Business finance FAQs
• Novuna Business Finance, Complaints policy
• Novuna, Group complaints policy
• Novuna, About Novuna
• Novuna Business Finance, Non regulated hire purchase agreement (sample)
• Novuna Business Finance, Fixed period hire agreement (sample)
• Novuna Business Finance, Soft asset hire agreement (sample)
• Novuna Business Finance, Business finance guides and downloads
• Agricultural Engineers Association, Novuna Business Finance directory entry
• Close Brothers Asset Finance, Main asset finance page
• Close Brothers Group, Asset finance overview
• Close Brothers Asset Finance, How does hire purchase work
• Close Brothers Asset Finance, Terms and conditions
• Close Brothers Asset Finance, Complaints procedure
• Close Brothers Asset Finance, Customer compensation information
• Close Brothers Asset Finance, Fraud advice and regulatory wording
• Close Brothers Asset Finance, Enquiry form
• Close Brothers Group, Contact us
• Hydrogen Energy Association, Close Brothers Asset Finance member profile
• Executive Hire Show, Close Brothers Asset Finance supports hire businesses with flexible funding solutions
• Invest Plymouth, Business services spotlight on Close Brothers Asset Finance
• British Business Bank, ENABLE guarantee transaction with Close Brothers
• Close Brothers Group, Annual Report 2024, The Notes
• Close Brothers Group, Growth Guarantee Scheme overview