It’s an attractive leasing option with fixed repayments. Since VAT is payable on each lease payment rather than in full at the outset, this is an easy start. The finance lease starts with a primary lease period, typically 2-5 years – which covers the full cost of the equipment. At the end of it, you may request the equipment to be sold to a third party – the proceeds from the sale are yours to keep. Or you can opt for a secondary lease period, continue to use the equipment in exchange for prearranged annual fee. Start using your new machine quickly, with a low deposit and easily budgeted fixed payments.
Finance lease requires low initial capital outlay and features fixed payments, fixed interest and no usage restrictions.
Two attractive options which are cost-effective ways to fund the use of a machine over a fixed term, without owning it.