Leadership, innovation and growth

How Time Finance is shaping the future of asset finance

Leadership insights with Steve Nichols, Managing Director of Asset Finance at Time Finance

As the company prepares for its next growth phase, Nichols reflects on his career path, leadership philosophy, and the challenges and opportunities that lie ahead in a rapidly changing industry.

Leadership journey and philosophy

Steve Nichols’ journey to leadership followed a classic path for asset finance professionals, starting with the highly-regarded Bank of Scotland training program. This foundational experience, combined with key roles at Barclays, Santander and Close Brothers, equipped him with the skills necessary to thrive in the asset finance industry.

Nichols credits his career growth to the mentorship he received, which helped shape his leadership principles. “Clear communication and trusting the people you hire are essential,” he emphasized, noting how challenging yet crucial it is to balance day-to-day management with a focus on continuous improvement.

Nichols’ leadership style is rooted in empowerment and trust. He believes in hiring great people and providing them with the autonomy to execute strategy. This approach fosters motivation and a sense of ownership within the team. “Being visible and approachable is important to me,” Nichols explained, underscoring the value of connecting with team members regularly. He operates with an open-door policy, believing that face-to-face interaction is key to understanding the pulse of the business beyond reports and financials.

Time Finance’s strategy and vision

Under Nichols’ leadership, Time Finance’s Asset Finance division has experienced significant growth, driven by a clear and focused strategic vision. As a division the book size has grown by 62%, arrears are down by 30% and PBT grew by 33%. As an AIM-listed company, the business adheres to a four-year plan, ensuring that it stays aligned with its long-term goals.

A critical element of this strategy has been the successful integration of various asset finance businesses acquired over the past few years. “Merging those businesses and making sure they work efficiently together has been key,” Nichols noted. This integration, combined with innovative solutions for brokers and customers, has enabled Time Finance to remain agile and responsive to market demands.

Looking ahead, the company’s long-term vision is to become the funder of choice by consistently delivering high-quality service. “Anyone can offer great service on any given day, but can you do it month in, month out? That’s the challenge,” Nichols stated. The multi-product offering—combining asset finance, invoice finance, and loans—plays a pivotal role in this strategy. By offering customers holistic financial solutions, Time Finance aims to deepen relationships and provide the working capital solutions businesses need to thrive.

Navigating industry challenges

As the asset finance sector faces regulatory and technology changes, macroeconomic headwinds and the rise of green assets, independent lenders like Time Finance must navigate these challenges while maintaining competitiveness.

Nichols sees green assets and sustainability as emerging trends, but he also notes the hesitancy among funders due to uncertainty around the residual value of these assets. He suggests that government subsidies could help bridge the gap for SMEs looking to invest in more sustainable options.

Nichols believes that brokers will continue to play a vital role in the industry, even as technology evolves. He predicts a growing trend of brokers developing their own balance sheets, which could change the dynamics between brokers and funders. “Running a brokerage and a funding business are two very different challenges, but it’s a trend we’ll need to embrace,” Nichols explained.

Embracing technology

Steve Nichols views technology as both a challenge and an opportunity for the asset finance sector. While transitioning away from legacy systems is costly and complex, the demand for digital solutions from brokers is growing. “Some brokers are more advanced in technology than the funders themselves,” Nichols remarked. This trend highlights the importance of collaboration between brokers and funders to develop tech-driven solutions that streamline processes and reduce costs.

Nichols is proud of Time Finance’s recent innovations, particularly in leveraging technology to enhance customer experience. The partnership with Nivo for identity verification has significantly reduced fraud risk while speeding up processes, improving the overall customer journey. However, Nichols is mindful of balancing technological advancements with the need to maintain strong personal relationships with brokers and clients. “Technology is important, but so is the human element in building long-term relationships,” he explained.

Time Finance has made significant strides in automating its processes, achieving same day payout and reducing the time from proposal to payout by 50%. The business has newly appointed a Head of Business Improvement, demonstrating how the company is committed to continuously improving its technology stack to drive growth and efficiency.

Building a talent pipeline

One of the most pressing challenges in the asset finance industry is talent acquisition and retention, particularly for independent lenders like Time Finance. To address this, the company has launched its first graduate programme and an apprenticeship scheme aimed at developing future leaders. Nichols emphasized the importance of resilience, adaptability, and a willingness to learn when building teams. “We want people who are not only capable but also create a positive working environment,” he said.

The graduate programme is designed to immerse participants in all aspects of the business, from asset finance to invoice finance, ensuring they gain a comprehensive understanding of Time Finance’s multi-product offering. This holistic approach aligns with the company’s long-term strategy, ensuring that new talent is well-equipped to contribute to its continued growth.

Looking ahead

With a new three-year plan on the horizon, Time Finance is poised for continued growth. Nichols is excited about the company’s future, particularly in expanding its multi-product offering and ensuring the right technology is in place to maintain consistent, high-quality service. He believes that technology will be the major disruptor in the asset finance industry over the next decade, but the ability to respond quickly and maintain strong relationships will be key to success.

Reflecting on his time at Time Finance, Nichols expressed pride in the company’s progress. “The most rewarding part has been seeing how our people have developed and responded to the changes we’ve made,” he shared. As Time Finance continues to grow, Nichols is confident that the company’s clear strategy, combined with its commitment to innovation and talent development, will position it for long-term success.

Conclusion

Steve Nichols’ leadership at Time Finance exemplifies a balanced approach to innovation, talent development, and strategic growth. By fostering a culture of trust and collaboration, Time Finance is well-positioned to navigate the challenges of the asset finance sector while delivering consistent value to its brokers, customers, and shareholders. As Nichols and his team look toward the future, their focus on sustainability, technology, and talent will drive the next phase of the company’s evolution.