What is a Lease?

A lease is simply an agreement by one party (lessee) to pay rent for a specific amount of time in exchange for the right to possess and use the owner's (lessor) property. The lessee does not own the property during the term of the lease. Leases take the form of written contracts with detailed terms and conditions that include length of lease, structured timing, amount of payments, and end of lease buyout options and provisions.

The Benefits of Lease Financing

When it comes to acquiring equipment, we understand you have several financing alternatives to consider. However, there are a number of reasons why 8 out of 10 American businesses have embraced lease financing as a means to acquire their equipment. The following summary outlines just a few of the many advantages that lease financing affords our clients:

Conserve Cash  Cash is King. Leasing effectively frees up working capital for other productive operational uses and business prospects. It also allows you to overcome capital budget restraints.

Credit Line Preservation  Leasing keeps lines of credit open to finance other strategic business opportunities or address emergencies, and may provide some benefits to covenant compliance depending on the structure and terms of the credit agreement with your bank. Leasing will also diversify your credit history.

Fast Approvals  Fast credit approvals ensures your business will take delivery of your new equipment as quickly as possible.

100% Financing  No down payments are required and soft costs such as freight, installation, and tax can be included in your lease agreement.

Hedge Against Obsolescence  Leasing allows your business to stay a step ahead of your competition by using the latest equipment technology for a specific period that can be matched to your specific refresh cycles.

Fixed Payments  Lease rates and payments are fixed and structured at closing to protect you against inflation or other market-related volatility.

Off-Balance-Sheet Financing  Certain qualifying leases may provide for off balance sheet accounting treatment, thereby preserving your debt ratios.

Flexible Payments and Terms  No money down, extended terms, flexible payments, and equipment additions and upgrades are all available for your consideration.

Equipment Leasing & Financing Solutions

 (949) 238-6424

info@consultativefunding.com