Coffee Machine Lease Rentals: How They Work

Coffee Machine Lease Rentals: How They Work
ADS Coffee Supplies Admin

If you’re in the market for a coffee machine or looking to upgrade your current equipment, you may consider leasing one, but what does that mean?

If you don’t have the capital to purchase your coffee machine outright, then a lease rental could be the most cost-effective finance solution for your business, as this allows costs to be spread over time, with VAT only paid on each monthly rental. It’s an effective and quick way to access expensive items that your business needs to flourish.

A lease rental is a fixed term agreement, which allows you to spread the cost over affordable monthly payments, whilst having no major effect on your businesses cash flow. Your rental payments are fixed for the period of the term, allowing you to budget with confidence knowing your monthly payments will remain the same throughout the duration of your agreement.

Whilst allowing you to spread the costs over monthly payments, a lease rental also has a fantastic benefit of being 100% tax deductible, as all payments made for the equipment are written off against your company’s tax bill. Any capital allowances are passed on to you, and lease payments can be offset against taxable profits. VAT can also be reclaimed on monthly payments.

Rather than having to wait for adequate savings or the profit to roll in, leasing equipment means it can be delivered to you in a matter of a few working days (depending on stock availability and delivery times). This also gives you an opportunity to choose a higher standard of equipment that you might otherwise not have been able to afford if purchased outright.

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