Advantages of Rental Finance for Clients

1. Preserves Cash Flow

o No large upfront capital outlay. Monthly rental Advantages of Rental Finance for Clients

2. Preserves Cash Flow

o No large upfront capital outlay.

o Monthly rental payments help manage budgets and maintain healthy cash flow.

3. Tax Deductibility

o Rental payments are typically 100% tax-deductible as an operating expense (consult your tax advisor for specific guidance).

4. Off-Balance Sheet Financing

o Rentals may be kept off the balance sheet, helping to maintain key financial ratios and borrowing capacity.

5. Flexible Terms

o Finance terms can be tailored to suit the client’s cash flow, operational needs, and upgrade cycles (typically 24–60 months).

6. Bundled Solutions

o Hardware, software, installation, and support services can be included in a single rental agreement (as long as hardware is part of the transaction).

7. Up-to-Date Technology

o Clients can upgrade or replace equipment more easily at the end of the rental term, staying current with the latest technology.

8. Simple Budgeting

o Fixed monthly payments make it easy to plan and manage operational expenses without surprises.

9. No Depreciation Risk

o The client does not carry the depreciation risk of the asset during the rental term; the finance institution owns the hardware.

10. Ownership Option

o At the end of the term, the client typically takes ownership of the asset.

11. Insurance Option

o Insurance can be included in the rental rate if the client does not have their own policy, ensuring peace of mind