-
Why
lease?
Leasing can help your company's financial picture by matching the terms of the lease with the useful life of the equipment. It can also provide 100% financing which in turn enhances your company's financial position. Leasing can require less in capital dollars than any other method of financing and saves your cash and other established credit lines for more profitable uses within your business. -
Why
lease with NLFC?
Many solid reasons including faster turnaround than most banks and is an additional credit source for you! A significant percentage of our business is with repeat customers, some of which have 30+ leases with NLFC over the years. Leasing or financing is available for businesses of every size including public corporations, municipalities, local and federal government agencies and not-for-profit institutions. Consistent ownership that is steadfast in its commitment to integrity, honesty and the best service in the industry. Financial strength and performance that have earned Dun and Bradstreet's highest 3A1 credit rating. Recipient of the Better Business Bureau's highest Award for business ethics. And peace of mind knowing that you are working with NLFC - the oldest continually-owned, privately held leasing and finance company in America. -
How
does the leasing process work?
1) You decide the equipment or titled vehicle needed and the vendor.
2) A one-page application is completed and submitted either by phone directly with an NLFC representative, by fax or snail mail.
3) Terms of the lease are agreed upon.
4) Lease is signed either in person with an NLFC
representative if local, or sent by overnight courier to
clients in states other than New York or Pennsylvania.
5) Completed documents and deposit are received by NLFC
and reviewed for accuracy.
6) NLFC purchase order is promptly sent to the vendor
authorizing delivery of the equipment or titled vehicle
selected.
7) NLFC verifies delivery with each client, pays the
vendor invoice and the agreement commences. See
Vendor Testimonials and
Lessee Testimonials.
There
is no true interest rate attached to a lease since it is
basically considered a rental agreement for tax
purposes. A "factor" is used in calculating the lease
payment and may vary because it is based on the
equipment cost, term, buyout option and credit criteria
of each customer. Overall however, leasing offers some
the most competitive financing available. In some
instances, when lease tax savings are considered the
interest rate can even be negative -- meaning your tax
savings are greater than interest paid.
See Example
Unlike borrowed funds, lease rental payments are normally treated
as a business expense that comes out of your pre-tax income
instead of after-tax profits. This means that your lease
payments can be tax deductible as a business expense.
As individual situations can and do vary, NLFC suggests checking with your tax consultant to get the exact benefits
of your equipment lease.
This
will depend on the type of Purchase Option you chose at
lease inception (One dollar option or 10% option.. If
you chose a $1.00 then $1.00 is what you pay to own the
equipment, however payments may not be tax deductible.
If a 10% purchase option was chosen, your purchase price
is equal to 10% of the original equipment cost and
payments fully tax deductible. NOTE: 10% option leases will have
lower monthly payments than a $1.00 option lease.
Yes, however we offer no discounts and charge no early
pay off penalties.
Please contact us today with any additional questions you may have.
