Capital investment decisions are critical to the financial viability of all organisations. Whether you are a sole trader, Government body or an international conglomerate, the principles are still the same: a poor investment - or no investment at all - could leave your business in a position where it cannot compete effectively in the marketplace. Key to this decision is not just what to invest in, but how to finance the investment.
Business Benefits
An excellent way to budget for future expenditure. All rentals are fixed for the duration of the agreement thus allowing you to accurately budget for future expenditure.
Possibility for off balance sheet financing .
Certain agreements offer taxation savings as all rentals may be allowable against corporation tax.
You can preserve your existing lines of credit or cash position for your business working capital requirements.
You can arrange for the regular rentals to be in line with your budgeted expenditure by altering the length of the agreement.
You can pay VAT on each rental as opposed to when you purchase the equipment.
The agreement is a medium term facility, which cannot be withdrawn, provided the rentals are made. The uncertainty that may be associated with overdrafts, which are repayable upon demand, is removed.
For more information about our Financial services team please contact finance@visus-it.com
