Businesses have several options when they need to acquire new equipment. One of these options is to lease the gear from their original owner. Lease refers to a long-term “rent” agreement between a small business and another enterprise that owns the hardware that the former needs.
Small business equipment leasing is the polar opposite of purchasing. You don’t, by default, gain ownership of the tools you’ve leased when the terms expire. However, negotiations can arrange a buy option at the end of the lease. In 3 out of 4 leasing arrangements, ownership is an option that the lessee can exercise. There’s even a contract type that mandates the purchase after the agreement concludes!
There are various benefits that a small business can get out of leasing equipment instead of buying through a business loan. To reap these benefits, all you have to do to follow the five tips below for … Read more