Does Your Business Need To lease Finance New or Used Office Equipment?
Office equipment leasing can be obtained for a number of our Canadian and U.S. business equipment leasing sources.
There are a wide range of programs available for different amount of financing required and different levels of financing ability. For instance, new office equipment to be financed that is under $25,000 will primarily be approved via the credit profile of the business and business owner(s). For larger amounts of financing, there are other leasing companies that will focus larger dollar requirements and will have different lending criteria beyond just the assessment of credit.
For small businesses, many times the solution for getting office equipment lease financed is to spread groups of the individual pieces required among different leasing companies so that each application falls under the lessor’s small ticket equipment leasing category and the risk of loss then spread across a number of leasing sources.
Used office equipment can also be financed, but the focus is going to be more on the financial strength and credit strength of the borrower or lessee as the assets themselves will not provide a high level of security value in most cases.
Used office equipment will typically be financed over a 24 month to 40 month period depending on the other assessment variables in the application where new equipment can be leased for up to 72 months in some cases.
Get Office Equipment Leasing That Meets Your Business Needs
Office equipment can also be considered for both an operating lease and a capital lease. Each has its own merits for benefits to cash flow, taxation, and long term asset ownership.
For instance, an operating lease will provide you with the ability to return the assets to the leasing company at the end of the lease term without any further obligations for payment.
In direct contrast, a capital lease for office equipment will require the lessee to purchase the asset or assets at the end of the lease term for a predefined purchase price, which is typically a small nominal dollar amount.
Most office equipment leasing facilities do not provide any early repayment options that allow you to repay a portion of the inherent principal amount being amortized without also having to pay an interest or financing cost.