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Q:
Why lease? Why not just borrow money?
A:
If you borrow money to buy and own equipment, you
are using up available credit. These resources, if
used for other purposes, have the ability to earn
a much higher return than the cost of the lease payments.
Leasing offers a new source of credit as well as adding
the benefit of being able to "expense" the
payments in most instances.
Q:
Who can lease?
A:
Any company, association, non-profit organization,
or individual that is using the equipment for a business
or commercial use.
Q:
Can I cancel my lease?
A: The lease cannot be cancelled. However, you may
arrange for prepayment of the lease or upgrade to
a more sophisticated piece of equipment.
Q:
What are the up-front costs for a lease?
A: Usually, just the first monthly lease payment.
Unlike a down payment for a purchase, these payments
are smaller and are applied to your total lease payments.
Q:
Can I add equipment to the lease?
A: Yes, you can add equipment to the lease at any
time. In most cases, any equipment added to your lease
must cost at least $5,000 or more.
Q:
What about sales tax?
A: Sales tax is added to your monthly lease payment
each month and charged separately where applicable.
Q:
What about insurance?
A: For your protection, it is required that the equipment
be insured. You simply instruct your insurance agent
to submit proof of insurance.
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Q:
What is the typical process for leasing equipment? 