When taking the decision to lease equipment or other assets your business requires, selecting the right leasing company to work with is vital. As with entering into any new contract, when opting to lease equipment it is important to choose a reputable leasing partner and to diligently check the credentials of any company you may wish to deal with.
Now more than ever, it is essential that those taking leasing decisions on behalf of a company are fully aware of how the market operates and are fully equipped to verify the credentials of their chosen supplier and to ensure that they achieve the most cost effective solution for their particular needs.
Here are some tips to help you find the right leasing partner:
Always choose a leasing company who is a member of industry bodies such as the FLA (www.fla.org.uk) and NACFB (www.nacfb.org), which ensure best practice. Members of the NACFB operate under an Office of Fair Trading registered Code of Practice.
2. Referrals and recommendations
Scrutinise your potential leasing partner. Find out how long they have been trading and ask for reference sites.
3. Lease types
Find out what type of lease agreements a potential partner offers. There are several types of lease agreement, which will allow your company to acquire the assets you need to run your businesses without upfront capital outlay. These include capital leases (or finance leases) and operating leases. It is important to choose the right lease agreement to meet you business needs.
4. Experience and expertise
Find out if your potential leasing company has experience of leasing in your industry sector or the type of equipment you wish to lease. How long have they been in business? What companies have they worked with? If you are a start-up company, do they have experience in leasing to new businesses? Some companies only deal with established companies, while others have expertise in arranging lease agreements for new businesses.
For more advice on leasing and selecting a reputable leasing partner, download your free Essential Guide to Leasing for Business.