R.J. Smith Electrical Engineers are now able to offer our customers a lease finance option for new equipment needing installed.
Here are some reasons why leasing is attractive to your business:-
Keep your valuable working capital protected.
Offset 100% of the rentals against your tax liability to maximise tax efficiency.
Get your equipment straight away, rather than when budgets allow.
A lease option is simple and safe – what with the fixed cost throughout the lease period there will be no changes or unpredictability to watch out for.
Your business can stay up-to-date with the latest equipment! Leasing provides you with the option of upgrading the equipment at any stage throughout the agreement by simply restructuring the payment schedule.
If you want to take ownership of the equipment at the end of the lease term then for a fee of £75 + vat, you can have ownership of the equipment transferred.
500kva Standby Generator installed
£334 + vat per week
1500 kva Substation installed
£592 + vat per week
Lease finance example:-
Equipment Cost: £70,000 - Lease Period: 3 Years - Frequency: Monthly - Company's Tax Rate: 20%
Cash Purchase versus Lease Rental
Year Capital Allowance Tax Relief Year Capital Allowance Tax Relief
1 18% of £70,000 = £12,600 x 20% = £2,520 1 12 rentals of £2,269 x 20% = £ 5,445
2 18% of £57,400 = £10,332 x 20% = £2,066 2 12 rentals of £2,269 x 20% = £ 5,445
3 18% of £47,068 = £ 8,472 x 20% = £1,694 3 12 rentals of £2,269 x 20% = £ 5,445
Total tax relief: £6,280 Total tax relief: £16,335
Total cost of lease £81,698
Less tax relief -£16,335
Net cost of finance £65,363
Contact us today for a quote and a lease projection for your equipment needs.