Calculating the cost /benefit of a proposed Lease transaction can often be a difficult task, given the many variables facing a business.
However, Leasechoice have developed an analytic which is used to assist clients to make the right decision, and avoid costly misjudgements.
The “Cash v Lease” analysis takes into account factors such as:
- Inflation rate
- Internal Rate of Return
- Term of Lease
to produce a Cost benefit comparison between use of an Operating Lease, and paying Cash for the equipment.
In the analysis below, based on a clients need to replace Office Furniture at a cost of $60,000, and using a modest IRR of 12%, the client would be more than $21,000 better off over 5 years, a benefit of over 29% when compared to the cash purchase alternative.
If you have a significant Asset purchase in mind, and would like to have a similar analysis run for your company, please contact :
Leasechoice @ email@example.com