Financial lease

Financial lease

Lease agreements provide clients with uninterrupted use of the equipment, rather than ownership. The client has the option to take ownership of the equipment or return the equipment back to the bank at the end of the finance term, subject to certain terms & conditions.

Features:

  • Repayment periods range from 6 to 60 months for Tax-Based customers and companies
  • There is no minimum deposit required for Tax-Based customers
  • Interest rates are either linked to Prime or fixed for a period
  • VAT is charged on the purchase price
  • Comprehensive insurance is a must for the term of finance

Benefits:

  • Clients are able to lease expensive equipment at much better monthly premiums
  • Client has the option of ownership at the end of the finance term (not done automatically)
  • Client receives full benefit of any resale value if ownership is transferred
  • If client wishes to provide deposit, it can be structured to suit clients needs
  • Repayment period is structured to suit clients needs
  • Balloon & stepped payment plans can be arranged to suit the clients needs
  • Monthly rentals are TAX deductible

Best Suited For:

  • High value equipment
  • Businesses dependent upon equipment, but who don’t want a depreciating asset on their books
  • Clients wishing to have reduced monthly premiums for high value equipment
  • Tax-Based clients
  • Companies & Corporates