The right equipment is necessary for a successful business. However, it can be difficult to justify purchasing some equipment for your company, especially if you would not use it often or it would need to be replaced frequently. If that is the case, equipment leasing may be an effective option for your company.

An Overview of Equipment Leasing

Equipment leasing is a way to use equipment for your business without having to go through purchasing. Instead, you pay to use the equipment under terms agreed upon by your organization and the leasing company. This can be a highly beneficial option for equipment needed for your business. Some reasons to lease instead of purchase include:

the equipment is not used frequently enough to justify the purchase cost
the equipment needs to be upgraded and/or replaced frequently
the maintenance of the equipment cannot justify the purchase cost

The Equipment Leasing Process

Though each leasing company has its own processes and requirements, the general process is as follows:

Your business completes the leasing application, which may include financial information about your organization.
The application is processed, and a response is given (usually between 24 and 48 hours after application).
After the application is approved, your organization approves the terms for the lease, including the monthly payments and the fixed APR.
Once the terms are approved by your organization, the lease is signed and submitted to the leasing company.
After processing the signed lease, the leasing company releases the funds used to rent the equipment.

Whether you need equipment to keep things running or you are expanding into a new area of business, equipment leasing can be a good option to get what you need. With the right terms, you can have access to the equipment you need so that you can keep providing the products and services to meet your customers’ expectations.

Contact Navigate Firm today to learn more about our equipment financing options.