Business Users only
With finance lease funding, the finance company pay for the asset (thereby owning it), and leases it to you in return for rental payments. At the end of the lease agreement (typically between two and five years), two options are available: you can either extend the rental period, paying a nominal rental amount, or sell the asset on behalf of the leasing company and retain a portion of the proceeds.
The features and benefits of Finance Lease funding include:
1. Tax efficient – rentals allowable against corporation tax