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Equipment Leasing Company

Checklist for Choosing an Equipment Leasing Company

Equipment rental has many advantages for growing companies. An advantageous lease can help your company attract the necessary equipment to increase productivity or generate additional profits.

Do you want to rent the best equipment for your company? Do you want to avoid wasting time, get a leasing company with hidden fees and inefficient work?

Be sure to follow this checklist:

o Start your search for a leasing company at an early stage of the leasing planning process: it will take time.

o Set priorities for the type of lease transaction you are looking for. Consider criteria such as the rental rate, the amount of the monthly payment, the effect of the lease on the financial statements, the flexibility of the terms of the lease, the amount of the rent, the ability to obtain the necessary equipment.

o Try to find at least three or four leasing companies that can bid for your rental transaction.

o Look for leasing companies that focus on the type of transaction you are looking for. Some leasing companies specialize in certain types of equipment, in leasing operations of a certain size, in clients of a certain size or in certain industries.

o Start a search for a equipment leasing company with people you know. Ask your lawyer, accountant, banker or colleagues in your industry who have rented the equipment.

o Contact your industry trade association or major leasing associations for advice.

o Get enough information about possible leasing companies to evaluate them: experience and knowledge; reputation and the ability to perform. Get some feedback from customers and suppliers for each leasing company. If you can, get a Dunn & Bradstreet report for each leasing company. Look for lawsuits, court decisions against you, serious late payments or poor financial performance. Any of these indicators can indicate a leasing company that cannot meet!

leasing associations

o Examine bidders for rent online. Visit Google.com to see if potential leasing companies appear in any notable article or in any discussion group / message boards. Look for unsolved problems, fraud, financial problems, rewards and / or success stories.

o Ensure that potential bidders belong to one or more large commercial associations for the leasing of equipment. Although membership does not guarantee honesty or experience, most associations set standards of behavior for their members and have some kind of vigilance.

o Avoid sellers of high pressure rental. If the representative of the leasing company says something that constitutes a significant distortion of the facts, leave.

o And, finally, avoid making rental deposits and / or lease payments in advance to lease brokers. Brokers do not provide financing directly and, by owning their money, present a potential credit risk.

Conclusion

Choosing the right leasing company will save you a lot of time and money. You will get a faster rent, better prices and conditions, and also avoid serious mistakes. Do not be indifferent to leasing companies with a good reputation, many years of experience and high service standards. And of course, use this checklist.