1. Length of time in business
2. Financial condition
3. Type of Equipment
4. D & B or other credit bureau ratings

Sales tax will be invoiced to the customer for the appropriate sales tax on a monthly basis with their monthly payments. Quoted lease payments do not included sales tax.

Many states charge an annual tax on tangible personal property. Since the Lessor is the legal owner of the equipment, they are required to pay this tax. (Our lease rate does not include these costs.) The Lessor passes this cost on to you in either a lump sum or spread over 12 monthly payments. Again, these taxes change periodically and are not included in the calculation for the bas monthly payment.

A lease is not a simple interest loan, and therefore does not have an interest rate as we normally think it would. The amounts charged on an equipment lease are calculated using monthly ‘rental rates’. Rental rates are based on various factors that include but are not limited to the term of lease, lessee’s credit history, type of equipment being leased, etc. The stronger your business, the lower your rate should be. Zervas financial group great rates are very competitive. Obtain a free quote at no obligation and you’ll be surprised at how affordable leasing can be for your business.

Usually in less than 24 hours! Typically requests for up to $100,000 can be approved in a couple of hours from a simple one-page credit application. Once you are approved, the lease documents are emailed to the customer. The customer reviews, signs, and returns them to the lessor with the advanced payments or security deposit check via overnight mail as we need the originals, check etc.

A Purchase Order is faxed to the vendor once documents have been received, reviewed and accepted by the Lessor. Upon verification of delivery and acceptance of your equipment from you (for your protection from unrealistic vendor promises), the vendor is paid and your lease begins. Your vendor however may have specific deposit terms. Your first payment is due about 30 days later.

The process is simple, convenient, and effective so you can get your new equipment quickly. Applications can be made via phone, fax, or on-line over the secure server.

Banks in most cases ask for a complete updated financial package when applying for equipment purchase loans while many leases can be obtained with a one page application.

Banks do not particularly like equipment loans because they have to loan on your business cash flow not the value of the equipment. Leasing companies however, are only in the business of financing equipment. Banks file what is called a “blanket lien” on all of your business assets including your checking account, in some cases personal assets. In the event of default your entire business is taken by the bank (all of your assets, inventory, equipment, accounts, etc.) With a lease, a “single lien” is filed on the leased equipment only. In the event of default, the equipment solely is repossessed.

No. We strictly provide the financing. It is no different than if you purchased the equipment because the lessor assigns the warranty to the lessee. The lessor disclaims and assigns its warranties and other rights against the manufacturer or vendor to the lessee. In addition, the lessee waives its right to assert any claims or defenses against the lessor for any problems, because the lessee chose the equipment.

LEASING IS TOO EXPENSIVE

It really depends on how you look at it. If you”re cash rich and only look at the total payments of the lease, then this statement is true. But if you look at the overall benefit of the leasing vs purchase then this statement is not as convincing. It all comes down to how smart you manage your money. The first thing you need to know is that money is not made by the ownership of equipment; it is made by the use of it. You”ll probably have the equipment for three to ten years and then replace it with updated similar equipment. If you own it then your investment has been depreciating all this time and you will have had to put down the required 20-30% down payment. A lease allows you to use money that is not tied up in this depreciating asset for investments that appreciate or increase (i.e house). The smart thing to do, is to invest the money that would normally be used for a down payment, as in the purchase of the equipment, in an appreciating asset. Another important point regarding overall cost is that a lease locked into today”s lower rates protects against fluctuating prices often associated with traditional bank financing. You can also preserve your line of credit at the bank because your payments are handled through another funding source and it doesn”t take a rocket scientist to know that lines of credit are increasingly difficult to extend.

This is another misconception in leasing. There is no pre-payment penalty. On the other hand you are given a discount for paying off early. The % varies depending on how far into the lease you have paid.