Leasing
What type of product is it?
Leasing is the business equivalent of rental with purchase option. This product regularly replaces loans equipment since it is highly advantageous from a tax point of view. Thus, an entrepreneur seeking such financing rents goods equipment to a lender, such as tools, a vehicle, real estate, etc., and can at any time during the contract, but usually at maturity, buy back the asset and become a lender. owner of the goods which were the object of the contract.
What are the special features of this financial product?
- This loan (financing) is not considered a debt in the company's balance sheet, since the equipment is leased.
- If you plan to change or resell the financed property before the end of the term, evaluate other possible financing options, as this type of product may not be suited to your needs.
- This type of financing is not very flexible, because it binds the company by contract and is often non-redeemable before maturity. Generally speaking, the customer cannot terminate it early unless he or she pays heavy penalties.
What are the advantages of this financial product?
- Fixed interest rate
- Since leasing is not considered a debt, you can reduce your debt ratios with your financial institution.
- This product has no impact on working capital or lines of credit
- Rental costs are deductible bytax as they are considered operating expenses rather than long-term debt for tax purposes.
In addition to helping you answer your questions, our experts at SADC can help you really analyze your situation. What's more, an analysis of your long-term needs and the determination of an appropriate strategy The right financial solutions for your company could be developed at the same time.
See the list of different needs on the right. This financial product specifically meets the following needs:
- Improve your working capital / Growth
- Starting a business
- Acquiring equipment
- Robotize / Automate / Improve IT
- Financing a startup
- Improve your company's environmental performance
Don't hesitate to apply to SADC for financing. We'll help you think through and implement your project. project.
YOU WISH...
- Acquiring, merging or taking over a company
- Improve your working capital / Growth
- Starting a business
- Developing a residential / commercial project
- Acquiring equipment
- Export your products or services
- Financing your tax credits
- Buying commercial/industrial property
- Turn around the financial situation
- Take equity out of your business
- Robotize / Automate / Improve IT
- Financing a startup
- Improve your company's environmental performance
- Carrying out a group project
- Strategic planning for your company's development
