Advantages of Leasing
The primary advantage of leasing your business equipments is that it allows you to acquire assets with minimal initial expenditures. You can obtain the goods you need without significantly affecting your cash flow. You may just start off with a minimal Security Deposit which is refundable towards the end of the lease term.
Lease payments can be deducted as business expenses on your tax return, reducing the net cost of your lease.
Leases are usually easier to obtain and have more flexible terms than loans for buying equipment.
Leasing allows businesses to address the problem of obsolescence. If you use your lease to obtain items that may be outdated in a short period of time, such as computers or other high-tech equipment, a lease passes on the burden of obsolescence onto the lessor. You are free to lease fresh equipments then
You may choose a flexible structure like a Step-up or a Step-down options depending on the cash flows of the desired Project.
You may choose to either buy the asset or return the asset. In case you don’t want to buy the assets, you may still keep using it by paying reduced rentals & extending the lease term suitably.
While equity and loans provide owned and loaned capital to business, leasing provides rented capital. As the focus of businesses shift from carrying an asset-heavy balance sheet to core operations, businesses would want to invest less in fixed assets and retain more space for working capital. Hence, leasing is the in-thing.
You choose the asset, You choose the vendor, You decide the Lease-term.
We also do Sale and Lease Back transactions (SALB) to free up your capital which is blocked in assets like Office Equipments, Plant and Machinery, Solar Equipments, Furniture and fixtures and other fixed assets.
Rental solutions are structured for assets which are usually not funded by banks and other financial institutions. For eg : IT Equipments, Furniture and fixtures.
Our Rental agreement is fair and flexible to suit your changing needs.