Helping a Factory Warehouse to clean up it’s act!
Having a clean, safe working environment is paramount to any business. Our customer is a large factory warehouse covering a sizeable area. When the existing floor sweeper finally expired, finding a replacement machine urgently was essential, but having just laid out for other equipment recently, finding the funds in the depleted budget was also causing their accountant a headache.
Our supplier, a long-standing partner of Lease UK, was quickly to the rescue, arranging a temporary machine for the customer and then contacting Lease UK to find a suitable finance solution for a permanent replacement.
We financed the new machine on a Lease agreement with a quarterly rental, over a period of 5 years. Due to the nature of a Lease they are able to claim back 100% of each rental against Corporation Tax making the facility very tax efficient. Each rental is fixed providing certainty in these uncertain times. The facility has also provided the customer with an additional credit line and has left their existing banking lines intact.
At the time of arranging this lease the customer also advised us that they are considering an extension later this year. If this goes ahead, they will require a bigger machine or maybe a second machine of similar size to the one we have just financed.
The beauty of using a lease is the customer has choices! They can settle the original agreement and upgrade to a larger machine at any point during the lease. Alternatively, we could finance another machine separately with an agreement that can be run co-terminus with the original agreement.
Working with the original supplier the job was soon DONE & DUSTED! Flexibility is the name of the game when you use an Independent Broker.