No major upfront costs
Renting your coffee machine enables the cost of the goods to be spread over a 2-5 year term. This maintains cash within your business, which can be utilised for other means. There is no need for a major outlay to acquire the new equipment. A small outlay by direct debit is all that is required.
The majority of capital asset acquisitions are for one of two purposes - to make or save money. No upfront costs with a lease means the business can obtain the machine and then experience the savings or additional profits to pay the future lease rentals.
All of our leases are on a fixed interest basis and remain constant irrespective of what happens to bank base rates, which lead to accurate budgeting.
Lease rental payments are considered an operating cost and can attract 100% tax relief if the equipment is depreciated over an equal or lesser term. This results in accelerated tax relief when compared to that attained when purchasing the equipment outright.
Alternative funding source
In using leasing to acquire their machinery, customers protect their other lines of credit, such as loans or overdraft facilities, and conserve any available capital. Thereby matching the funding to the working life of the equipment.
Ability to have best product available
The cheapest option is rarely the best option in the medium to long term. With business equipment it is imperative that the very best machine with the latest technology is obtained by the client. In using the leasing option and paying for it out of future savings or profits it is easier for the end user to rationalise the more expensive, better product, rather than the 'quick fix', cheapest cost to the business.