FAQs - Buying On Lease With D. L. Spencer
& Co
1. What are the financial benefits of buying on lease?
When you choose to buy catering equipment using a lease scheme,
the payments made are treated as an “operating cost”
and so are “tax deductible”. These payments therefore
reduce the taxable profit of your business by 100% of the charges.
2. What about if the interest rate changes?
Our lease plans work on a fixed interest basis; therefore interest
rate changes don’t impact on the payments you make. They remain
constant throughout the period of the lease, allowing you to budget
accurately for the outlay.
3. Who am I actually dealing with and who is providing the finance?
Our finance schemes are operated by some of the UK’s leading
independent “business to business” finance houses. They
are professional and reputable as well as being regulated by the
FSA. We have selected them for the levels of service they provide
and the lengths they go to on behalf of our customers.
4. Does buying on lease mean I have to wait longer?
No. Quite the opposite. Removing up-front costs by buying on lease
means you can obtain the equipment you need, with minimum outlay,
on day one. And, the credit checks that need to be made are done
speedily, either by phone or online, and an acceptance decision
can take as little as a couple of hours!
5. Couldn’t I just go to my bank for the money?
Yes, possibly, but using leasing to acquire your new equipment,
means you protect your other lines of credit, such as loans or overdraft
facilities, whilst conserving available capital.
6. What do I need to provide in order to be accepted?
Acceptance decisions are made based on a number of criteria, such
as, type of business, how long you’ve been trading, credit
history and the funds required.
7. Why else should I choose to buy on lease?
In some cases, the cheapest equipment may not necessarily be the
best option for your business. Buying on lease means that you can
acquire the equipment that’s exactly right for you, without
being constrained by the capital you have available at this moment
in time. So, instead of waiting, using leasing ensures you get the
best option now and enables you to pay for it out of future savings
or revenues.
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