What is Leasing?
Leasing is a Sales-aid tool that can help suppliers sell more equipment and offer customers a more efficient and effective way of funding equipment.
As we do most of the work, suppliers can offer this extra facility to customers with very little effort on their part. All they need to do is advise their customers that leasing is available and we can do the rest. Suppliers just deliver the equipment and raise an invoice.
Lease rental is available for periods from 18 months to 60 months. Customers can make monthly or quarterly payments.
Every rental the customer makes, including the initial payment, can be classed as an expense for tax purposes, often providing tax savings. All lease rentals are subject to VAT. The VAT on each rental can be reclaimed by VAT registered businesses in the usual way.
At the end of the lease period the customer does not automatically own the equipment but through Universal Leasing can keep the equipment for a nominal payment.
The basic stages of a leasing transaction are as follows:
- Offer weekly rental figures as an alternative to cash purchase on all quotations.
- Customers decide to lease the equipment, rather than outright purchase.
- We obtain basic information from the proposal form and do the necessary checks.
- We will confirm that the customer has been accepted for leasing and we will advise the supplier who to invoice.
- We will complete all leasing documents and despatch for signature.
- Equipment is delivered and the supplier raises an invoice.
- The supplier gets paid in full for the equipment within a few working days.