Chubb Fire & Security Ltd working alongside Tower Leasing Ltd Acquiring Equipment on Lease

Why Lease? There are many reasons why leasing your fire and security equipment is a fantastic alternative to cash purchase. What is leasing? When leasing a piece of equipment you are agreeing to pay monthly or quarterly rentals over a period of time for the use of the equipment. Why is leasing a popular option? Leasing is a simple way to finance the temporary use of an asset – why have the hassle of owning a piece of equipment which is at risk of breaking? Leasing is a complete service solution which provides the option of maintenance inclusive agreements as well as the option to insure the asset. With leasing you won’t have to worry about the equipment you have obtained, you can simply get on with the daily running of you business. Tower Leasing Ltd provides lease agreements which suit your specific needs so that you can keep track of your budgets and effectively manage your working capital.

The Benefits of Leasing Leasing supports your business and the economy. When leasing it is proven that businesses perform better and invest more - more investment means economic growth. Get your equipment when you want it rather than when budgets allow Keep cash within your business Enjoy some fantastic tax relief Keep up with the latest technology by upgrading your equipment at any time over the lease period Enjoy the fixed and structured payments that fit in with your specific budgetary allowances Protect existing lines of credit by using leasing as an alternative to your existing funding facilities Did you know? Leasing is the financing source with the best application success rate amongst European SMEs.

Lease V Buy By leasing your fire and security equipment you are allowing your business to enjoy some fantastic tax relief. Company A is looking to invest in a new security system for its business. The company has two options, either to purchase the equipment or lease it. Equipment Price: £7,500 Lease Period: 3 Years Frequency: Quarterly Company’s Tax Rate: 20% Cash Purchase Year Capital Allowance Tax Relief 1 18% of £7,500 = £1,350 Less 20% = £270.00 2 18% of £6,150 = £1,107 Less 20% = £221.40 3 18% of £5,043 = £907 Less 20% = £181.55 Total tax relief: £672.95 Lease Rental Year Capital Allowance Tax Relief 1 4 rentals of £817.73 Less 20% = £654.18 2 3 Total tax relief: £1,962.54 By choosing to lease, Company A would gain £1,289.59 in tax relief when compared with a cash purchase.

Leasing your fire and security equipment makes sense!