Equipment leasing has many benefits for growing companies.
A favorable leasing arrangement can help your company bring in needed equipment to increase productivity or to generate additional profits.
Do you want to get the best possible equipment lease for your company?Do you want to avoid wasting your time, getting hit with hidden fees andbotched performance by the leasing company?Make sure you follow this checklist: oStart your search for a leasing company early in the lease planning process - it takes time.
oSet priorities for the kind of lease transaction you are seeking.
Consider criteria such as lease rate, monthly payment amount, impact of lease on financial statements, flexibility of lease terms, amount of lease, ability to get the equipment that you need.
oTry to find at least three or four leasing companies to bid on your lease transaction.
oLook for leasing companies that focus on the type of transaction you are seeking.
Some leasing companies specialize in certain types of equipment, on certain size leasing transactions, on certain size customers or on certain industries.
oStart your search for a leasing company with people you know.
Check with your attorney, your accountant, your banker or colleagues in your industry who have leased equipment.
oCall your industry trade association or the major equipment leasing associations for recommendations.
Four leading equipment leasing trade associations' websites are: elaonline.
com; eael.
org; uael.
org; and naelb.
org.
oGet enough information regarding prospective leasing companies to evaluate their: experience and expertise; reputation; and ability to perform.
Get several customer and vendor references for each leasing company.
If you can, obtain a Dunn & Bradstreet report for each leasing company.
Look for lawsuits, judgments against them, severe payment delinquencies and/or poor financial performance - any of these indicators can point to a leasing company that can not deliver! oInvestigate lease bidders online.
Check Google.
com to see whether prospective leasing companies appear in any newsworthy articles or in any group discussion/message boards.
Look for unresolved problems, fraud, financial problems, awards, and or success stories.
oMake sure prospective bidders belong to one or more of the major trade associations for equipment leasing.
While membership does not guarantee integrity or expertise, most of the associations set standards of conduct for their members and have some form of policing.
oAvoid high-pressure lease sellers.
If a leasing company representative says anything that constitutes a significant misrepresentation, walk away.
oAnd lastly, avoid giving lease deposits and/or advance rental payments to lease brokers.
Brokers do not provide the financing directly and, in possession of your money, represent a potential credit risk.
Choosing the right leasing company can save you a lot of time and money.
You will receive quicker lease turn-around, better pricing and terms, and avoid major blunders.
Be partial to leasing companies with good reputations, long track records and high service standards.
And by all means, use this checklist.
A favorable leasing arrangement can help your company bring in needed equipment to increase productivity or to generate additional profits.
Do you want to get the best possible equipment lease for your company?Do you want to avoid wasting your time, getting hit with hidden fees andbotched performance by the leasing company?Make sure you follow this checklist: oStart your search for a leasing company early in the lease planning process - it takes time.
oSet priorities for the kind of lease transaction you are seeking.
Consider criteria such as lease rate, monthly payment amount, impact of lease on financial statements, flexibility of lease terms, amount of lease, ability to get the equipment that you need.
oTry to find at least three or four leasing companies to bid on your lease transaction.
oLook for leasing companies that focus on the type of transaction you are seeking.
Some leasing companies specialize in certain types of equipment, on certain size leasing transactions, on certain size customers or on certain industries.
oStart your search for a leasing company with people you know.
Check with your attorney, your accountant, your banker or colleagues in your industry who have leased equipment.
oCall your industry trade association or the major equipment leasing associations for recommendations.
Four leading equipment leasing trade associations' websites are: elaonline.
com; eael.
org; uael.
org; and naelb.
org.
oGet enough information regarding prospective leasing companies to evaluate their: experience and expertise; reputation; and ability to perform.
Get several customer and vendor references for each leasing company.
If you can, obtain a Dunn & Bradstreet report for each leasing company.
Look for lawsuits, judgments against them, severe payment delinquencies and/or poor financial performance - any of these indicators can point to a leasing company that can not deliver! oInvestigate lease bidders online.
Check Google.
com to see whether prospective leasing companies appear in any newsworthy articles or in any group discussion/message boards.
Look for unresolved problems, fraud, financial problems, awards, and or success stories.
oMake sure prospective bidders belong to one or more of the major trade associations for equipment leasing.
While membership does not guarantee integrity or expertise, most of the associations set standards of conduct for their members and have some form of policing.
oAvoid high-pressure lease sellers.
If a leasing company representative says anything that constitutes a significant misrepresentation, walk away.
oAnd lastly, avoid giving lease deposits and/or advance rental payments to lease brokers.
Brokers do not provide the financing directly and, in possession of your money, represent a potential credit risk.
Choosing the right leasing company can save you a lot of time and money.
You will receive quicker lease turn-around, better pricing and terms, and avoid major blunders.
Be partial to leasing companies with good reputations, long track records and high service standards.
And by all means, use this checklist.