| Leasing is a valuable alternative for growing | | | | then adding the lease charge. The formulas mentioned |
| businesses. Equipment leasing gives us: | | | | below are basic and can vary. |
| 1. Maintain Capital Strength | | | | Step 1 : Calculate the Depreciation |
| 2. Efficiency | | | | Depreciation = (Selling Price - Residual) / Number of |
| 1. Flexibility | | | | Months |
| 2. Obsolescence Protection | | | | Step 2: Calculate the Lease Charge |
| 3. 100% Financing | | | | To calculate the lease charge you will need to know |
| 4. Customized solutions | | | | the Money Factor (money-factor as the "interest rate" |
| 7. Asset Management | | | | for the lease) |
| 1. Tax Advantages | | | | ((Net Sales Price - Residual)/ Term) + ((Net Sales |
| When you are leasing equipment for your business | | | | Price + Residual) x Money Factor) = Month Lease |
| such as computers, heavy construction equipment, | | | | Payment. |
| used medical equipment or and farm equipments, you | | | | Step 3: Convert the Money Factor to an Interest Rate |
| may qualify for benefits that you may not have known | | | | This formula produces a high interest-rate it doesn't |
| existed. | | | | necessarily mean that it is a bad lease. |
| About The Equipment Lease Calculator | | | | (Money-Factor x 2400) |
| As a business lessee, you probably want to know | | | | This "lease calculator" takes no account of the |
| approximately what you can expect to pay for an | | | | following:- |
| equipment lease. Here's an equipment lease calculator | | | | 1. The size of loan. |
| that will give you fast answers to your financial | | | | 2. Your company’s circumstances. |
| questions. Simply enter the cost of the equipment that | | | | 3. A start-up company may need to have additional |
| you are looking to finance and analyze quotes for 12, | | | | security to secure lease finance. |
| 24, 36, 48, or 60 months. Determine if a lease fits your | | | | 4. Other potential costs that an asset lender may |
| priorities, long term goals and financial condition, all with | | | | charge. |
| a few clicks of your mouse. It’s easier than ever to | | | | 5. Examples are documentation or "change of title" |
| determine the amount and length of lease that’s | | | | fees, which do vary but are generally minimal. |
| right for you. | | | | 6. Other factors that may affect the rentals include:- |
| The results returned by the leasing calculator are | | | | - The residual value of any asset to be leased. |
| monthly rentals based on conservative equipment | | | | - Quarterly, Half Yearly or Annual Rentals. |
| leasing rates for assets .Some sub-prime business | | | | - The amount of deposit you may wish to put down. |
| customers may find that the deposit required is | | | | You’ll soon find that the whole equipment leasing |
| greater than the leasing calculator returned, i.e. 12 | | | | process is faster, simpler, and often less costly than |
| months rental instead of 6 is needed. Leasing | | | | other financing alternatives. You can rely on the |
| companies will endeavor to achieve the best monthly | | | | equipment lease calculator to navigate your way |
| rental we can for your asset finance. Lease payments | | | | through various options. Our calculator allows you to |
| are calculated by subtracting the residual from the net | | | | analyze your business transactions, calculate monthly |
| selling price, dividing that amount into payments and | | | | costs, and preserve your resources. |