Finance
Why Businesses Lease?
No Large Upfront Costs
Most businesses earn revenue over time, but have to pay for equipment up-front, in one go. Why pay out in one lump sum when with leasing you can pay a small amount every month/quarter? Businesses prefer to pay as they use!
Cash
Cash is king, and it makes sense to use it for expansion or critical business needs. Leasing for office technology preserves precious cash.
Budget Management
Leasing ensures a fixed manageable monthly payment. Irrespective of interest rate rises. The low monthly cost of rental is fixed enabling accurate budgeting.
Preserving Credit Lines
SOS Group offers leasing from £500 upwards. You can preserve your existing bank lines and optimise your use of commercial credit sources.
Technology Upgrades
Leasing allows the customer to take advantage of technology improvement at a time of their choosing and at a reasonable cost. By contrast, for example, a business that owns its IT equipment can only upgrade by reinvesting and disposing of the existing asset.
Flexible Payment Levels
Businesses can choose the payment level. Our options range from 1 to 5 years. The customer selects the right option so they can have the technology they need at the price they are comfortable with.
100% Tax Allowable
Finance Lease rentals are 100% allowable against pre-tax profits. This means that the total cost of your purchase- both capital and interest- can be offset against tax during the lease period, with the leasing payments deducted as a trading expense.
Example
-
- Cost of Solution £5000.00
- 3 Year Finance Lease @ £157.50 per month
- Total Payable is £157.50 x 36 = £5670.00
- You pay £670.00 interest over 3 years
- Leasing is 100% tax deductable so assuming tax rate is 20%
- £5670.00 x 20% is £1,134.00
The reduction in tax to be paid (£1,134.00) more than covers the interest charge (£670.00)
Smart Office Systems Ltd offer a range of finance agreements covering both lease and rental only contracts, via leasing companies or directly through ourselves. As part of the FCA Guidelines, we have processes in place covering the complaints procedure regarding the finance we offer both as a broker and funder . Should you experience a problem regarding finance offered, or provided, your first point of contact would be Smart Office Systems Ltd. If you feel that you have not received a fair response you can directly contact the Financial Ombudsman Service on 0800 023 4567 We are Authorised by the Financial Conduct Authority to supply Leasing & Hire Purchase contracts. Authorisation Number 662574
