For businesses that don’t wish to pay a large upfront amount for a new phone system, Leasing provides a cost-effective way for companies to finance their Telecoms/IT equipment requirements.
3 Types of Leasing:
Offering the lowest monthly payments, FMV Leasing gives you the option to purchase the phone system at the ‘Fair Market Value’ at the end of the lease period. You may otherwise surrender it, re-lease it, or lease different equipment.
Giving you the ability to purchase the Phone System at the end of the Lease Term, often for a nominal amount, Closed End Leases suit companies who will want to keep the system for some years to come. Accordingly, this type of lease comes with higher monthly payments than FMV Leasing.
Good for companies who want to continue to capitalise on their initial investment and move with technology changes, Shield Leasing allows you to upgrade or add to your original Lease Agreement. The Lease cost will increase and the term extend as additions are made.
By spreading the cost over X amount of years you can obtain the system you want, rather than be limited by an initial fixed budget.
Working Capital and lines of credit can be used to invest in other profit-making activity.
Cash flow issues are further helped by pre-determining monthly or quarterly payments.
An initial Master Agreement can simply be altered (by additional schedules) as and when needed, to make provision for upgrades/replacements to leased equipment.