Welcome, visitor! [ Register | Login

Two Ways To Finance Your Forklift

buying October 26, 2016

Forklift Finance

When the banking industry was deregulated, it opened up the Australian Finance Market to a lot of different options when it comes to how finance can be arranged for equipment, here we look at two of the most popular ways to finance your Forklift.

Finance Leasing

Features

  • Minimal capital outlay
  • Payments are fixed for the lease term
  • At the end of the lease term, the following options are available :
    • Extend the lease term
    • Trade in the forklift and lease a new forklift
    • Return the forklift. You may be responsible it there is shortfall between sale proceeds and the outstanding residual value amount
    • Make an offer to purchase the forklift for the residual value.

Benefits

  • A hedge against market fluctuations with interest rates fixed for the term of the lease
  • Ownership is optional
  • Leasing frees up capital which can be used to grow your business
  • Pay only for equipment use

Commercial Hire Purchase

Features 

  • For accounting and tax purposes you own the asset
  • Payments can be structured to suit a company cash flow
  • Generally repairs and maintenance is not included in the Commercial Hire Purchase.

Requirements

  • Balloon payments can be arranged at the expiration of the term and refinanced where required

Benefits

  • Business retains fund for working capital purposes.
  • Depreciation and interest costs can be claimed by the hirer which reduces tax payable on net profits.
  • You own the forklift on termination of the contract.

584 total views, 1 today

  • Licenses for Equipment Dry Hire in NSW

    by on January 30, 2018 - 0 Comments

    Some of the most frequently misunderstood terms in plant hire are those differentiating hire types, and how those may affect your business’s bottom line and hiring practices.     The two hire types are: Wet hire – Wet hire refers to hiring both the piece of equipment and the necessary personnel to run it. Dry […]

  • forklift fleet management

    7 reasons why you should consider Forklift Fleet Management.

    by on April 21, 2018 - 0 Comments

    Forklifts are an integral part of most businesses, generally the larger the business the larger the forklift fleet.  It’s become very  common for companies  to outsource the non-essential  parts of their business, so it’s no different with forklifts, they turn to forklift fleet management and companies that specialize in it, like Lencrow Forklifts. What is […]

  • MErlo

    Are Merlo's New High Performance Telehandler Range As Good As They Say ?

    by on April 22, 2018 - 0 Comments

    Merlo – The Telehandler range not the Merlo Coffee range has been designing and building telehandlers, construction machines and telescopic boom tractors, since 1964 and are Italian owned and exported globally from Italy. Even though Merlo as a brand has market share in some European countries, they’ve had a stop start history in Australia. Merlo […]

DriveNow
unicarriers
EP