Loan origination, covenant monitoring, and broker visibility

Client Overview

Company Name

Caledonian Asset Finance Ltd.

Company Address

110 St Vincent Street, Glasgow, G2 5ER, Scotland.

Industry Details

FCA-regulated SME asset finance lender providing hire purchase, finance lease, and operating lease facilities for commercial vehicles, construction plant, and manufacturing equipment. Lending book of approximately GBP 48 million across 620 active agreements.

Entity Size

Around 28 employees across credit, operations, broker relationships, and finance.

Product/Solutions Implemented

Dynamics 365 Sales, Dynamics 365 Business Central.

Duration of Project

6 months.

Caledonian Asset Finance logo

We deployed Dynamics 365 Sales and Business Central at Caledonian Asset Finance to replace a loan management system with no CRM capability and a broker relationship process managed entirely in Outlook and paper files. Loan origination pipeline, credit covenant monitoring, broker performance tracking, and arrears management now run from a connected Dynamics 365 environment. Automated workflows and real-time dashboards enable teams to track applications, monitor lending performance, and respond to broker enquiries more efficiently. With improved financial reporting and centralized operational data, management can make faster, more informed lending decisions while supporting future business growth.

In asset finance, broker relationships are the primary source of new business, while speed, responsiveness, and visibility determine competitive advantage. By unifying broker management, loan origination, covenant monitoring, arrears management, and finance within Dynamics 365, Caledonian Asset Finance gained a single source of truth that improves collaboration, strengthens risk management, and delivers greater transparency across the entire lending lifecycle.

Financial Services - Asset Finance and LendingDynamics 365 SalesDynamics 365 Business Central
Dynamics 365 implementation for asset finance lending

An FCA-regulated asset finance provider delivering hire purchase, finance lease, and operating lease solutions to SMEs across the UK, supporting commercial vehicles, construction equipment, and manufacturing assets.

The Challenge

  • Loan origination was tracked in a shared Excel pipeline. Brokers received no automated status updates and chased the credit team by phone.
  • Broker relationships were managed individually by relationship managers with no central record.
  • Credit covenant monitoring was done manually from annual accounts received by post, and several covenants were not tested in their required period.
  • Arrears management was tracked in a weekly spreadsheet with no automated payment-missed alert.
  • Broker performance reporting took two days each month and provided no real-time view between reports.
  • Finance ran on a legacy loan accounting system with a separate Sage package for overheads, creating an 8-working-day month-end reconciliation.

Our Solution

Loan Origination Pipeline and Broker Management

  • Dynamics 365 Sales was deployed as the central origination and broker relationship management platform.
  • Every application from submission through credit assessment, approval, documentation, and drawdown is managed as a D365 Sales opportunity.
  • Automated broker status notifications are generated at each stage change.
  • Broker records, contact history, submission volumes, conversion rates, and performance dashboards are held centrally in D365 Sales.

Covenant Monitoring, Arrears, and Finance

  • Credit covenant monitoring workflows generate tasks and borrower document requests against each lending agreement.
  • Arrears management in D365 Sales generates automated alerts when a payment is missed and triggers structured collection workflows at day 1, day 7, and day 30.
  • Business Central was implemented for financial operations, including income recognition, interest accruals, and provision calculations.

The Impact

Caledonian Asset Finance connected broker pipeline, loan origination, covenant testing, arrears management, and finance close inside Dynamics 365.

$0M+

Additional Lending Pipeline

Improved broker collaboration and faster loan processing generated over $2M in additional lending opportunities annually.

$0K+

Finance Productivity Savings

Business Central eliminated dual-system reconciliation, reducing finance effort and accelerating month end reporting.

0%

Covenant Testing Completion Rate

Automated covenant monitoring workflows have produced a 100% test completion rate since go-live.


In asset finance, brokers have a choice. They can send the deal to us or they can send it to someone else. The reason they sent it to someone else before Dynamics was that we were slow and hard to get information from. That is not us anymore.

Douglas Calder
Chief Executive
Caledonian Asset Finance Ltd.

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