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Next Day Catering - Leasing Catering Equipment and Finance Payment Options

Unsecured Borrowing
The equipment that is being leased is the only security that is generally necessary. No property is used as security, however, occasionally the finance company may need Directors Guarantees for some Limited Companies.

Improves cashflow
Leasing allows you to purchase equipment that is important to your business and keep valuable cash in your bank that may be used for other projects that are not as tax efficient.

Its never been easier to afford the catering equipment equipment needed to get you started or to grow your business.

We have over 15 yrs experience in providing affordable finance options for our customers from 1k to 150k. 

We have the most competitive leasing rates on catering equipment from the very best lenders in the country giving you piece of mind that you are in safe hands.

Finance can be put in place within a few hours and the goods can be with you in a matter of days.

So why wait for the most up to date equipment when you could afford it right now, call now to discuss 0844 875 4 875.

Cost of goods £10,000:
  • 3 Year lease @ £344.33 per quarter. (3+33)
  • Total payable = £343.33 X 36 = £12,395.98.
  • You pay £66.50 per month over 3 years in interest.
  • The Lease is 100% tax deductible so assuming tax rate is 25%.
  • £12,395.98 X 25% = £3,159.60 or £12,395.98 X 40% = £5054.40.

Therefore, the lease is effectively self-financing and the reduction in tax to be paid (£2,889.60), more than covers the interest charge (£1,558.40)

Plus ... You have had the use of the original £10,000 for the last 3 years! Effectively £10,000 for FREE!


Benefits of Leasing:
  1. Minimal down payment.
  2. Improves your own Cashflow by using the banks money
  3. No need to outlay your own money.
  4. No property is used as security in most cases
  5. Let the machine pay for itself 
  6. Primary period to match asset depreciation period.
  7. Leasing rental 100% deductible against tax.
  8. VAT is paid each month on the rental and is therefore effectively deferred.

Issues when Borrowing:
  1. Cash flow impact.
  2. May restrict further borrowing from bank lines.
  3. All credit subject to status.

Catering Equipment Leasing can provide a tax efficient and effective way of funding new equipment providing fixed repayments, minimal deposits and fixed monthly payments.

No matter how big or small your business might be, you will always need equipment and new supplies. Equipment for Catering Leasing is one option that allows you to get the things you need for your business, without having to pay for the items up front.

Our Catering Supplies Leasing dept will search through the UK’S top lenders to find the best rate for your business!

FAQ:

What is lease agreement?
Leasing is basically a rental agreement giving you (the lessee) the right to use an asset owned by the lessor (finance company) for a fixed period of time in return for regular payments (rental payments), and is a tried and trusted method of growing a business without reducing it’s cash flow.

Do I need a large down payment?
Typically a large deposit is not necessary. You can start your lease with normally either one or three months rentals in advance.

I need to raise some money, can I finance equipment I already own?
Yes, this is known as sale and leaseback - where one party sells a property to a buyer and the buyer immediately leases the property back to the seller. This arrangement allows the initial buyer to make full use of the asset while not having capital tied up in the asset. Leasebacks sometimes provide tax benefits.
Generally any asset with a proven resale value which can be uniquely identified with a serial number or other form of identification can be used for sale and leaseback.

My credit isn't perfect, will I be able to have a lease?
Past credit issues do not necessarily disqualify you from obtaining a lease. The underwriters will consider many factors such as, how long you have been in business, what equipment you are buying and your current business performance.

What are the end of term options if I lease? Do I own the equipment?
You can make an offer to purchase some or all of the equipment at a price that suits both parties which is generally a small amount if you want to own it. However you also have a number of other options that may help you better manage change. 
For example: 
• Continue to lease some or all of the equipment for a further period or 
• Trade up some or all of the equipment, to new equipment or 
• Return some or all of the equipment…with no further obligations

Why is leasing cash flow friendly?
Leasing allows you to pay affordable monthly payments and spread the equipment cost over its useful life. Purchase means that you are paying for 3 or 4 years use up front. Would you pay an employee's salary, 3 years in advance?

Why lease equipment, rather than buy it?
Leasing technology equipment makes economic sense. It gives you use of the equipment for as long as it's useful to you. Rather than paying for three or four year's use up front, as you do when you buy, you spread the payments over the useful life of the equipment. Also you can expense the payments and you have the flexibility to acquire the latest technology when you need to.

Tel: 0844 875 4 875 for details.