“Fuel Efficiency Equipment Leasing Options For Gas And Diesel Systems”
Fuel efficiency equipment or systems are available in the market to improve fuel efficiency for both gasoline and diesel transportation trucks.
Better fuel efficiency leads to better mileage while in most cases these systems also reduce the amount of harmful emissions produced by transport vehicles.
Depending on the company providing the fuel efficiency equipment, the cost of the system for one truck can range from $5,000 to $25,000.
And while this may not be a big cost in and of itself, when a company is looking at 10 units or 100 units, the capital cost of adding this equipment can be significant.
One solution is to use equipment leasing as a means of financing the equipment to be installed.
Because the main feature of fuel efficiency equipment is to reduce the cost of gas or fuel on a monthly basis, the savings created provide the incremental cash flow necessary to pay for the equipment over time.
This is why a transport leasing solution can be a great fit for this type of capital requirement.
An equipment lease is structured to fit into the incremental cash flow provided by the equipment so over time the units will be paid for from the savings and will not need to draw from existing cash flow to serve the lease.
So if the monthly saving could support a two year lease payment, then in two years the equipment would be completely paid for and then owned by the business through a biuyout at the end of the lease term whereby the business or lessee would purchase the units from the leasing company for a nominal buyout amount.
Fuel Efficiency Equipment Leasing Programs For Vendors And Business Owners
If you are an individual business that would like to acquire fuel efficiency equipment, we can process a financing request for one or more units.
For vendors looking to have a financing solution readily available to their customers, we recommend giving us a call so we can set up a vendor profile for you with leasing companies we deal with.
That way, as soon as you get a customer looking for financing for one or more units, we can get the application processed in under 24 hours in most cases due to the fact that the asset and vendor pre-qualification process will have been completed.
Larger financing request may take slightly longer to complete if additional customer information is required for lease company review such as financial statements.
Once again, because of the cash flow savings fuel efficiency equipment can generate, equipment lease financing is an excellent financing option to consider.