There’s a well-known saying that goes along the lines of ‘you need money to make money’, and it’s never truer than when referring to businesses and the assets they need to operate.
It’s common for businesses to need large funds to spend on big-ticket items like vehicles, plant and machinery so they can operate and produce and sell goods and services that make them a profit.
For businesses that have cash flow issues, a finance lease arrangement is one of the asset finance products that can offer a flexible and affordable option to get hold of the assets they need.
Finance leases allow businesses to use the assets they need for a set period of time and a set monthly rental payment. The lessor remains the legal owner of the asset during the set period of the lease.
One of the great advantages of a finance lease is it gives the flexibility to the business of being able to choose whether to purchase the asset for a pre-agreed amount once the lease term expires.
What a finance lease also allows many businesses to do is secure newer, higher quality assets than they would if they had to buy them up front, which of course allows them to run their operation to a higher standard.
Another benefit of finance leases is they spread the cost of assets over time, with lower repayment amounts than other options like hire purchases, at a set monthly price and are not subject to changes in bank interest rates.
Finance leases allow businesses to avoid interest rate rises for their assets and they also allow them to virtually avoid having to pay a deposit, which are usually just the same amount as the first monthly repayment.
Some leased assets even include agreements where maintenance and repair costs can be included in the lease.
If your business or start-up needs to get going instantly by getting hold of crucial assets, call Perry Finance today to speak about your options and to discuss whether a finance lease could work for you.