An Alliance Equipment Finance rental agreement provides a cost effective solution to businesses looking to finance their next photocopier, phone system and computer.
A rental agreement can overcome the large up-front capital investment required to update a phone system, office computers and furniture. With a monthly payment schedule, a rental agreement overcomes large capital outlays and makes budgeting easier.
A rental agreement may count as off balance sheet financing, avoiding the equity accounting calculations applicable to other forms of financing. The tax benefits do not end there with rentals, as the monthly payments maybe tax deductible. If the asset is used solely for business purposes, these monthly payments may be tax deductible.
Also, GST incurred through the payments can be recorded on the business activity statement. Users will not risk being stuck with old technology at the end of the term as there are numerous options available. The users can upgrade to new technology, extend the contract to rent the equipment at a discounted rate for a nominated term, continue to rent on a month to month basis, or return the equipment with no residual obligation. Alliance Equipment Finance service does not end at contract settlement, it only begins there. Alliance e-finance will deliver throughout contract and asset management phases of each contract.