2024 Best Funding Options For Growth & New Business Discussed Here!
Starting, owning & operating a business in the hospitality sector has become more and more expensive over recent years. With rising energy costs (we discussed them here) along with rising rents, wages, capital equipment costs and general expenses.
When you are a new start, looking to improve efficiency or replace faulty equipment using finance options to fund your catering equipment or whole project could be an option. We discuss the advantages below
Commercial Kitchen Finance Lease
What is finance leasing?.
Finance leasing allows the business to to acquire the assets needed to maintain, improve or grow the business without the need to purchase new asset outright
What are the benefits of finance leasing?
Flexible – length of agreement, rental repayment profile & end lease options
Improved cash flow – no need to purchase the asset/equipment outright
Budgeting – lease repayment profile options give you confidence in being able to budget for the lifetime of the asset
Tax Advantages
Newer Equipment -Usually means lower running costs and faster food preparation times
What are the disadvantages of finance leasing?
The agreement is secured against the asset/equipment
Non payment could had adverse affects on credit ratings for the business and guarantor