Could Leasing Benefit your Business?

Everyone knows that starting a new business is expensive regardless of the direction your endeavour takes you in. Opening a new bar or restaurant etc. is no different. Not only do you have basic expenses such as premises, advertising, stock and staff but also the added cost of purchasing the appropriate commercial equipment. Finding the perfect piece of cooking, refrigeration, bar or display equipment is difficult enough without the added pressure of expense.

It isn’t only new start businesses that find funds tight. Commercial equipment requires maintenance and servicing and eventually replacement, all of which costs money. Finding a way to help established businesses ease the financial burden is also a high priority.

As with everything you generally have to stick to a budget, but what if that means compromising the quality you want for what you can afford? The old saying ‘You get what you pay for’ has never been more true and spending a little extra to begin with can guarantee savings in the future whether through energy efficiency, increased output or longer equipment lifespan.

If you haven’t got an endless supply of funds and let’s face it few people have, you may want to consider leasing as an option. Allowing your business to benefit from high quality equipment whilst spreading the cost can free up cash for other areas.

Here we answer some of the basic questions;

What is leasing and how can my business benefit?

Leasing is basically a rent to buy agreement where regular repayments are made. All businesses whether new or existing can benefit from spreading large costs over an extended period of time.

Is there a minimum spending amount to qualify?

Yes, the minimum spend on commercial equipment is £1000 excluding VAT to be able to take advantage of the leasing option.

What type of equipment is available on a lease agreement?

Generally all equipment, as long as the total cost is over £1000 excluding VAT, can be added to a lease deal. This includes refrigeration, freezers, ovens serve overs, multidecks, merchandisers and much more.

How much will repayments be?

This will depend on the total amount of the order and the length of time you take the lease over. Other factors that will affect the repayments are the length of time your business has been trading, status, VAT and % of tax relief.

For more information on leasing and making your money go further, visit out commercial leasing page or contact a member of our sales team on 01455 815200.