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Q. What type of company would choose to lease as a method of acquiring capital equipment?
A. All kinds. From FTSE 100 to the local pub, from public sector schools to newsagents, everyone can and does because it makes good business sense.
Q. Isn't leasing expensive compared to other funding options?
A. This is a myth. Leasing rates can be very competitive and combined with the tax benefits the cost may be less than other traditional bank facilities.
Q. Isn't leasing just for companies who can't afford the cash?
A. Just the opposite actually. Companies who lease do so because they know there are better uses for their spare cash that actually allow them to earn more money. Or simply, they want to reserve their money for uncertain business times.
Q. But it's always better to own a product outright, right?
A. Wrong. Products, especially computers, become obsolete very quickly in this fast developing business world. Needs change. Market places change. Technologies change. Business requirements change. Only leasing allows the flexibility to adapt at the drop of a hat, upgrade and improve.