This option for business finance allows a company full use of an asset for an agreed time period, yet without the liability of ownership. Similar to hire purchase, equipment is leased according to a tailored payment plan of monthly instalments, though the lessee has a set of outcomes to choose from at the end of this term. Finance leasing is suitable for companies who want the benefits of using a piece of equipment to facilitate their business operations, yet do not want ultimate responsibility for it. It can also help companies offset VAT and tax with the advice of their accountant.
With finance leasing, the amount and date of monthly repayments are set, which is important for business budgeting and cash flow purposes. Monthly lease repayments are deductible from income as a trading expense, and VAT registered businesses can reclaim the VAT charged on their rental. If finance leasing sounds like the ideal solution, get in touch and we’ll run through it in more detail.
At the end of the lease...
Once ended, The lessee can decide to either:
1. Return the asset to Praetura
2. Agree to the sale of the goods to a third party and receive the lion’s share of the sale proceeds
3. Enter into a secondary lease period and continue to use the asset with reduced payments
Business equipment available for leasing
Praetura won’t dictate where equipment should be bought; though we have a history of excellent relationships with suppliers and manufacturers, and so can help source the right assets with the best terms. It is even possible for us to draw up a hire purchase agreement for multiple items sourced from different suppliers.
We provide leasing solutions for: