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SETTING
UP A BUSINESS? BUSINESS
GETTING BIGGER?
There are always stages when you have
to say yes to grow your business. And
when you need equipment to meet specific business requirements
we can help you choose the finance option that best suits your
business today. We can offer you
two major products:
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Fixed Term Loan
(Previously known as Hire Purchase
or Lease to Own)
Ultimately,
with the fixed term loan option,you own the equipment and
any capital gain stays in the business.
Meanwhile during your fixed term loan
arrangement:
- The GST included in the purchase
price can be claimed almost immediately,
- Interest on the loan is usually
fully tax deductible,
- Your balance sheet shows the equipment
as an asset
and the loan as a liability which indicates balanced
financing ,and
- You can tailor your monthly payments
to match the
cash flows of your business
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Rental
With the rental option, you can simply
return old equipment and readily upgrade to new equipment.
Meanwhile during your rental agreement:
- There is no need to make significant
decisions about capital expenditure,
- The entire rental payment is usually
fully tax deductible,
- There is minimal impact on your
cash flow, and
- Your balance sheet shows neither
asset nor liability with regard to the equipment or the
arrangement
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