Leasing - a comfortable way to finance an investment project
It is possible to lease products from our offer.
Leasing is a quick and flexible method of financing your investment project. An asset (for example construction equipment) is passed to a lessee in exchange for monthly payments. Leasing is meant for customers who wish to minimalize their tax on revenues. Each monthly lease payment counts into allowable expenses. A very important element of this financing method is time saving and a possibility to close the whole transaction at the customer’s seat. The leasing company is the one active during the whole agreement executing procedure, while a lessee may not even leave his office nor provide the whole financial documentation, and still he gets to use innovative construction equipment.
Why it pays off to lease?
- an initial payment and lease payments may be included into allowable expenses,
- VAT is payable on each lease payment separately, so there is no need to pay it all at the beginning, as it is the case by a hire-purchase,
- leasing doesn’t limit a lessee when it comes to using traditional methods of gaining money for investment projects, like a bank loan,
- it gives an access to newest engineering and technology without engaging your own capital,
- it enables to make instant investments decisions and - in consequence - to immediately react to market conditions,
- leasing procedures are much simpler and quicker compared to a bank loan,
- leasing allows you to cover the costs of equipment usage with current company’s revenue,
- leasing is a flexible, quick and comfortable way of gaining assets; minimum formalities, a possibility to use simplified (quick) procedures.
What are leasing benefits?
- by operating leasing, lease payments count entirely as allowable expenses, so you pay lower taxes
- by capital leasing, a lessee amortises the object of the leasing during the lease agreement
An improvement in financial statements
- the fact that lease payments lower your revenue for tax purposes helps to improve financial statements
Easier fixed assets management
- a lease agreement executed for a definite period of time allows you to define your guidelines in fixed assets management precisely, which is particularly important when constructing long-term budgets
Frozen funds are freed
- a lease-back allows you to free funds frozen in the purchased equipment, which is very profitable for your company’s cash flow
- quick and simple procedures
- quick lease decision (an average time for lease agreement closing, from decision, through signing the agreement, to picking up a lease object is about 7 days; with a bank loan it takes usually 2 to 3 weeks)