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Your
Leasing Questions Answered
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| How popular
is leasing in the UK today? |
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- Leasing is extremely
popular, 8 out of 10 accounting firms, Government bodies and 85%
of the Times Top 100 companies all use leasing.
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| What is
the minimum value I can place on a lease & over what term? |
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- The minimum is £1,000
and you can generally select a term between 12 & 36 months,
typically electing to pay your rentals monthly or quarterly, although
other payment profiles are available.
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| How are
the rentals treated for VAT? |
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- The rentals are fixed,
based on the value of the asset without VAT added. The VAT is
charged against each rental payment.
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| Will I
have to pay by Direct Debit? |
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- Like most industries
you will benefit from the lowest payments if you pay by DD, but
it may be possible to request an invoice only arrangement (subject
to credit checks).
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Will I have to put
down a deposit?
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- No, you only make
the first rental payment when the goods are delivered.
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Will I own the equipment
at the end of the term?
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- With a standard Lease
Support Desk (LSD) rental agreement you will be offered a number
of alternatives at the end of the agreement. Under these you will
be able to retain the use of the equipment for as long as you
want, however, for you to gain the best tax advantages during
the term you will not legally own it.
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| What happens
if the equipment becomes obsolete or I need to upgrade it? |
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- One of the main reasons
to lease is to match the rental term to the duration that you
believe the product will have a useful life. You are however free
to request an upgrade of the equipment but this may affect your
rental payments.
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| Can I lease
the use of software and other non-tangible items? |
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- LSD can arrange this
facility for you in most cases.
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| What happens
if I don't keep up the payments? |
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- As with any legally
binding agreement you are committing to make payments as set out
in the document. Failure to meet the payments will result in the
removal of equipment and any other actions as set out in the terms
and conditions.
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| Will signing
a lease reduce my ability to gain credit elsewhere? |
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- No, signing one of
our agreements will leave all of your present credit lines in
place.
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All
agreements are subject to status and satisfactory credit checks.
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Copyright
© 2006 PrintStation Technology Ltd
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