Asset Finance Software Market Report 2025

The asset finance software market size has grown strongly in recent years. It will grow from $3.95 billion in 2024 to $4.32 billion in 2025 at a compound annual growth rate (CAGR) of 9.2%. The growth in the historic period can be attributed to increasing demand for automation, globalization of businesses, regulatory compliance requirements, rise in asset-backed financing, growing complexity of financial transactions.

The asset finance software market size is expected to see strong growth in the next few years. It will grow to $6.01 billion in 2029 at a compound annual growth rate (CAGR) of 8.6%. The growth in the forecast period can be attributed to increased emphasis on cybersecurity, shift to cloud-based solutions, focus on sustainable finance, cross-industry collaboration, integration with ERP systems. Major trends in the forecast period include technological advancements, blockchain technology adoption, AI and machine learning integration, data analytics and business intelligence, cybersecurity measures, globalization and market expansion.

The anticipated expansion of new business finance models is set to drive the growth of the asset finance software market. Business expansion, indicated by consecutive quarters of real GDP growth, is facilitated by asset finance software, which assists businesses in identifying the right equipment for their needs by providing information on various equipment types, including features, prices, and availability. As an example, in May 2023, the Finance & Leasing Association (FLA), a UK-based industry association representing the asset finance and leasing sectors, reported a notable 14% increase in total asset finance new business in March 2023 compared to the same month in 2022. Furthermore, in Q1 2023, new business exhibited a 14% rise compared to Q1 2022. The business new car and commercial vehicle finance sectors experienced substantial growth, with new business surging by 54% and 23%, respectively, compared to March 2022. This surge in demand for branded equipment and new business finance models is a key driver behind the growth of the asset finance software market.

The increasing adoption of cloud-based solutions is expected to propel the expansion of the asset finance software market. Cloud-based solutions, encompassing software, services, or resources delivered and accessed over the internet through cloud computing infrastructure, play a pivotal role in asset finance software by automating tasks such as lease origination, document management, and payment processing. This not only saves time but also reduces errors. For instance, a report published by the European Commission in December 2023 highlighted a 4.2% increase from 2021, with 45.2% of EU enterprises adopting cloud computing services in 2023. These businesses primarily utilized cloud services for hosting e-mail systems, storing electronic files, and office software. Notably, 75.3% of enterprises opted for advanced cloud solutions, including security software, database hosting, and computing platforms for development and testing. The growing adoption of cloud-based solutions is a significant factor propelling the growth of the asset finance software market.

The asset finance software market is experiencing a prominent trend driven by technological advancements. Leading companies in the asset finance software sector are actively embracing new technologies to fortify their market positions. For instance, in September 2022, Alfa Systems, a UK-based software provider, introduced Version 5.7 of its asset finance software platform. This version adopts a cloud-based technology approach, incorporating new features in critical areas such as user experience, charging, billing, and configuration. The platform has also undergone updates to enhance existing functionalities such as wholesale, integration, and reporting solutions. By leveraging cloud technology, Alfa Systems aims to facilitate seamless integration with other software systems, enabling smooth data exchange across different platforms.

Major companies in the asset finance software market are strategically engaging in partnerships to modernize asset management practices and maintain their competitive positions. Strategic partnerships involve collaborative agreements between entities, such as companies or organizations, with the goal of achieving mutually beneficial objectives. For example, in October 2022, Ryedale, a full-service IT platform based in England, and Intellimation.ai Software Limited, a cognitive automation product and operational consulting firm based in India, formed a strategic partnership. This collaboration aims to enhance middle office support for asset managers in response to the global growth of Exchange-Traded Funds (ETFs). Ryedale specializes in portfolio and order management solutions, while Intellimation.ai offers cognitive fintech services with a specific focus on ETF issuers. Together, they aim to provide streamlined middle office services, including PCF generation, custodian reconciliation, corporate action processing, cash ledger, regulatory reporting, trade confirmation, and SSI maintenance for a diverse range of financial products. This strategic partnership exemplifies the commitment of major companies in the asset finance software market to innovation and collaboration to meet evolving industry needs.

In September 2024, Axway, a software company based in France, acquired Sopra Banking Software for an undisclosed sum. This acquisition is intended to strengthen Axway's capabilities in banking and financial services, positioning it as a significant player in the enterprise software sector. Sopra Banking Software is also a France-based company specializing in banking software solutions.

Major companies operating in the asset finance software market include Alfa Financial Software, FIS Global, Oracle Corporation, SAP SE, Linedata Services, Fiserv Inc., LeaseWave (Odessa Technologies), Cassiopae (Sopra Banking Software), Constellation Financing Systems, Banqsoft AS, Cloud Lending Solutions, Q2 Holdings Inc., Solifi, NetSol Technologies Inc., Codix Group, Miles Software, Moody’s Analytics, Finastra, SS&C Technologies, Yardi Systems Inc., Aareon AG, Tavant Technologies, Alfa Systems, International Decision Systems (IDS), Calypso Technology, IBM Corporation, Decision Lender (Teledata Communications), Accruent LLC, Brilliance Financial Technology.

North America was the largest region in the global asset finance software market size in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in the asset finance software market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the asset finance software market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Asset finance software is a dedicated software solution created to assist in managing and administering asset financing and leasing operations. It offers financial institutions, leasing companies, and businesses the tools and features needed to streamline the leasing process.

Asset finance software can be categorized into two main types such as hard assets and soft assets. Hard assets refer to physical or tangible assets that possess inherent value and are considered investable due to their intrinsic worth. This software can be deployed through various modes, such as cloud-based solutions or on-premises installations, catering to diverse types of enterprises, including large corporations and small to medium-sized businesses. It finds application across a multitude of industries, encompassing transportation, information technology (IT) and related services, construction, agriculture, medical equipment, banking, industrial and manufacturing equipment, among others. The software serves as a valuable tool for managing and handling the financing and leasing aspects of these tangible assets across various sectors.

The asset finance software research report is one of a series of new reports that provides asset finance software market statistics, including the asset finance software industry's global market size, regional shares, competitors with an asset finance software market share, detailed asset finance software market segments, market trends and opportunities, and any further data you may need to thrive in the asset finance software industry. This asset finance software market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

The asset finance software market includes revenues earned by entities by providing professional and managed services, including hire purchase, invoice finance, and factoring services. The market value includes the value of related goods sold by the service provider or included within the service offering. The asset finance software market also consists of sales of lease management software and asset tracking software. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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