/Rental_agreements/

Rental agreements provides clients with uninterrupted use of the equipment, rather than ownership of the equipment.

Features:

  • Repayment periods range from 12 to 60 months for Tax-Based customers and companies
  • Interest rates are either linked to Prime or fixed for a period
  • VAT is NOT capitalised and does not form part of the original debt. VAT is paid on the value of the each month’s rental payment
  • Residual Values (RV) may be negotiated and are subject to credit approval
  • All equipment rented must be comprehensively insured during the term of the agreement

Benefits:

  • Falls inside OPEX budgets of companies and not CAPEX budgets
  • Clients are able to enjoy the usage of expensive equipment
  • Ownership of the equipment does not pass to the Client at the end of the rental term.
  • The repayment period can be structured to suit the needs of the Client
  • Monthly payments are TAX deductible

Best Suited For:

  • Businesses using equipment who don’t want a depreciating asset on their books
  • Tax-Based clients
  • Companies & Corporates