Air Conditioning Leasing Finance
It’s an essential part of the workplace whether you work in an office, industrial unit or a factory. A reliable air conditioning system is fundamental to providing a comfortable work environment.
Air Conditioning equipment, just like other similar equipment, only has a useful lifecycle of a few years. Technology is moving very fast, so equipment goes out of date quickly and the units often work long hours, so it is essential to update regularly.
Air Conditioning Finance Options – Lease or Purchase?
It is often not practical for most businesses to purchase and install several air conditioning units outright with cash, it can be a significant cash outlay.
Fewer businesses are choosing to purchase their aircon system outright these days for several reasons.
- If purchased outright, the business must find the total cost of the system and the VAT on day one from cashflow. Unless the business has a surplus cashflow, this may prove difficult.
- By using a leasing facility you may spread the VAT throughout the life of the facility.
- There may be significant tax advantages to using a leasing facility (refer to your accountant).
- Due to the relatively short useful life of this type of system, leasing for 3 – 5 years and then upgrading to a newer system at the end may make more sense.
- Fixed payment amount for term of facility, installation costs may also be included if possible.
- Often there can be the addition of an extra payment at the end of the term to take ownership of the system if required.
Business Finance Direct – The Air Conditioning Leasing Specialists
Over the years we’ve helped several businesses arrange financing facilities for their air conditioning and ventilation systems.
- Small office used as a Call Centre
- Laundry room
- Dentist waiting room and treatment rooms
- Haulage company offices
- Manufacturer, production area, exhaust extraction on shop floor and office area
- Funeral Director, offices and mortuary areas
Air Conditioning Finance Calculator – Leasing Calculator
With all the variables involved, it is very difficult to provide an accurate estimation of the costs involved in financing air conditioning systems. Financial strength of the business, cost of the system, and term of facility required will all play a part in the cost of finance. We would ask you to contact us with full details, so we can provide you with an accurate quotation.
Generally terms on offer range from 3 – 5 years.
Are there any tax advantages in leasing air conditioning equipment?
As always, please speak with your accountant or tax advisor regarding taxation and capital allowances on air conditioning systems.
Other Finance available
Business Finance Direct Ltd are an independent business finance brokerage and have access to a wide and varied panel of lenders. By using our panel of lenders, we are often best placed to find competitively priced solutions for your financing requirement.
We don’t just provide leasing solutions for air conditioning systems, we can help you with any of your business finance requirements whether that be for Vehicles, Machinery, Property or Cash Flow purposes. We can also help you personally to finance your car purchase
Our service is totally FREE, and we would love to help you