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What advantages does leasing offer?


Leasing offers many advantages over other forms of financing. Some of them are listed below:

  1.
Lease rentals are allowed as business expenses for tax purposes.
     
  2.
Rental payment terms can be tailored to match the particular cash-flow of your business.
     
  3.
Contract terms are normally fixed so rentals cannot be increased during the contract period.
     
  4.

For businesses with an established track and good credit record, no other security is required, in other words the leased asset is OLE's only security in such cases.

     
  5.
Leasing allows capital resources to be freed and applied to more productive uses.
     
  6.

Proposals can be evaluated and executed promptly by leasing companies. OLE places special emphasis on this allowing you to earn profit from the equipment earlier and helping you to plan your business better. Furthermore, OLE can provide financing whenever and as frequently as your business requires equipment.

     
  7.

OLE offers sale and lease back facilities to Lessees wishing to release capital tied up in equipment they have recently acquired.

     
  8.
The asset can be purchased by the Lessee at an agreed nominal price (clearly stated in the contract) when the contract has been completed.
     
  9.

Leased assets are not shown on the Lessee's balance sheet. This can significantly improve your profit on capital employed and other important financial ratios.


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