Leasing is so much more than a solution for breaking down high value capital expenditure. Partners who ‘lead with leasing’ do so because it puts them on track to realise their own growth goals.
We’ll explain.
Lease Group’s largest Partners very rarely sell their solutions in any other way, this is because leasing holds the key to growth, risk avoidance and indeed, an exit strategy.
Cash in the bank is critical for the day to day running of a business – you don’t need us to tell you that. Everything from paying suppliers, remunerating staff, paying overheads and investing in marketing is reliant on having access to cash.
How Leasing Holds the Answer
1. Leasing will help you to grow by converting more sales.
Leading with a monthly rental instead of an upfront invoice will close more business. Fact. Take the car market as an example. We’d all be buying less cars or at least, lower specs if the only option to purchase a car was paying the full value upfront.
Businesses are no different. Coupling the latest technology with a payment method that keeps the Finance Director happy is a common challenge, even the biggest companies in the UK opt for leasing because of the tax and cash-flow benefits on offer.
Put yourself in your customer’s shoes: “Do we really need to tie up £10,000 in equipment that loses value year after year? Can we spread the cost and pay as we grow? Going from Capex to Opex also saves us money in tax allowances, shouldn’t we take advantage?”
2. Leasing will help you to grow by getting cash in the bank quicker.
If you’ve never sold a lease, then you’ve yet to experience full invoice payment on the same day of delivery and installation. Our globally renowned funders only have one payment process – and that, is simply to release payment to you via same-day bank transfer. No excuses, no payment stalling tactics, just rapid same-day payments.
Versus billing customers yourself, isn’t that refreshing? No need to honour 30 – 90 day payment terms, no need to chase invoice payment and no need to monitor monthly billing.
3. Leasing will help you to grow by transforming your cash position.
Would you rather bill your customer £350 a month for 60 months or receive £20,000 on day 1? Well, for our IT, Telecoms and Telematics Partners, it’s a no-brainer. Leasing converts all contracted revenue into an upfront payment – significantly boosting cash reserves and passing the monthly payment headache on to someone else.
4. Leasing will help you to grow by eliminating customer payment risk.
Lastly, with leasing – once you are paid for the deal, all payment risk, defaults, bankruptcies and other financial challenges brought upon by the customer are none of your concern. Because, when our lenders pay you, they take on all of the financial liability for the deal. No claw-back, nothing.
So offering leasing doesn’t just benefit the customer who is themselves looking to grow. We work with 100s of Partners across 6 sectors who have all experienced the benefits of leading with a lease – not just to appease the customer’s budget, but to put their own business on the path to serious growth.
Do you have an opportunity you’d like to explore? Contact your Account Manager today who will guide you through the process of quoting and submitting your next application. We’ll even perform a pre-credit check so you can see how much your customer qualifies for.