An operating lease provides many significant benefits to businesses:

• Improves cash flow (allows working capital to be invested in other areas of your business, rather than being tied up in high-value assets which depreciate in value)
• Provides 100% financing
• Normally 100% tax deductible provided the equipment is used solely for business purposes
• No payments at end of term
• Packages an entire solution (bundling of ancillary costs such as peripherals and installation)
• Minimises equipment obsolescence (equipment can be upgraded at any time during the period to keep you abreast of technology developments)
• Preserves lines of credit
• Provides choice of term (choose up to 5 years to match life expectancy of equipment)
• Permits accurate budgeting (lease payments are fixed - with no nasty surprises - plus are also an effective hedge against interest rate rises)
• End of term options (choose to: continue leasing; renew the lease; offer to buy the equipment; or return the equipment with no additional costs)
• Stretches your budget further (you're not limited to what you can afford to pay upfront)
• No asset management hassles as there is no financial risk when disposing of equipment at end of term plus you are not funding the equipment's full value
• Strengthens your financial position (as operating lease items are not generally included as an asset on the balance sheet thereby improving key financial ratios)

It is recommended that independent accounting and/or taxation advice is gained.

Click here to view a table which evaluates different finance options (operating lease, finance lease, chattel mortgage, commercial hire purchase).

Click here to download our Benefits of Leasing brochure.