Helping Cap and Reduce Equipment Lease Expenditures
Equipment leasing is a one-trillion-dollar industry. Do you know how they make that much money? It’s through hard-to-understand terms, hidden fees, and unexpected risk in the lease agreement. We’ll fight for you and hunt for where you’re specifically spending unnecessary money. Just give us a couple hours with your equipment leasing portfolio and we’ll show you exactly where you could be saving.
Equipment Lease Cost Reduction Services
We’ll examine your current equipment lease portfolio and identify opportunities to mitigate risk and manage costs.
Comprehensive financial and risk-rate analyses drive all of our services. While each client’s needs are unique, our consistent approach produces results across industries.
First we collect your master lease documents and lease schedules, including your executed certificates of acceptance and invoices, as well as buyout proposals, equipment return information, and lease extension, renewal, or roll materials.
Using our proprietary methodology, we evaluate your master lease agreement risk. Most lease agreements contain 15 to 25 key terms and conditions that can increase risk and cost, including the definition of fair market value and interim rent, default and default remedies, and return requirements. We assign a risk rating to each criteria and build the analysis of your equipment lease program.
Next, we analyze all the information we’ve collected and get a reasonably precise estimate of the cost of your equipment leases over the life of your lessor relationships.
Next steps can include request definition of the agreements including deposits and extensions, fair market value buyouts, and other end of lease costs.
Equipment lease costs are driven by lease contract terms–not by rate. Leasing companies hold the leverage over the lease lifecycle because of these contract terms.
We will not rest until we deliver results in a format which helps you understand how the language in your equipment lease agreements can affect your organization’s financial, administrative, and operational performance.
Once we have identified the true cost of your equipment lease program, we start to work on rectifying the issues we uncovered. The results of the analysis are the catalyst for negotiations with the lessor to reduce costs.