- Save your money - Keep your funds for your business to use in other development works. Do not lock in your funds to purchase rapidly depreciating technology products.
- Spend Less - When you're starting or growing a business, cash is often in short supply. One way to spend less is to rent essential and critical hardware required for your operation instead of buying it.
- Improve your cash flow - Renting allows you to free up your critical monetary resources that could be better utilized to meet other requirements, which are of higher priority.
- It is easy to rent than to buy - Before extending a capital equipment loan, banks will usually want to see two to three years of financial records which most new companies do not have. We usually evaluate the project for which the equipment is going to be used and understand the cash flow generated from the project.
- Keep pace with technology - You can get all the equipment you really need, not just what you think you can afford. Better & Latest technology not only does it create a better processional image for you, but it also boosts the morale and productivity of the employee; and this would translate into better results for the company as a whole.
- Rental has balance sheet benefits - By renting technology equipments you would be able to exclude some rented assets and related obligations from your balance sheet. Such moves could improve financial indicators such as your firm's debt-to-equity ratio or earnings-to-fixed-assets ratio. Bear in mind, however, that accounting rules do require your balance sheet to report assets rented under certain types of agreements.
- Improve ROA/ROE - Many companies place a heavy emphasis on ROA and ROE for evaluating profitability and performance. Operating rent contracts often have a positive effect on ROA and ROE. In many cases, this is also true for companies that rate performance on the basis of EVA/SVA.
- Spread the cost - Affordable monthly payments spread the cost of your equipment over its useful life. You can choose from a flexible rental plan over 1-5 years.
- No deposits or balloon payments as in monthly charges - There are no deposits or balloon payments, instead you simply make monthly or quarterly rental payments in advance and have the option to choose one of the easy end of the term options.
- Easy accounting - As your monthly rental payments are an off balance sheet expense it makes accounting far simpler. There is no asset to depreciate or liability to account for, just a monthly expense that may be fully tax deductible. Ask your accountant or tax advisor how renting can work for you.
- Easy end of term options - At the end of the term you have the option to choose what you want to do with the equipment:
- Keep on renting the same equipment (often at a reduced rate)
- Return the equipment back to us
Why Rent Technology on Equipments?
The math is simple Either you spend min. Rs. 35,000/- on a typical technology purchase today, or elect to pay a little over Rs. 800-1000 a month. Use the money you have saved to better use in your business. Due to technology changes in every year, you can use the latest configuration.