Equipment Leasing Programs
Sun South Equipment Leasing, Inc. offers some of the most flexible terms for a wide 
variety of equipment leasing needs. Whether your business needs new, pre-owned or even unique equipment or if your business is just considering an upgrade, Sun South is experienced with all equipment types in every industry and regards evey customer as unique in their marketplace and deserving of our individualized attention and will custom create a lease or finance structure to fit your company's operational needs. Simply give us a call to learn more about our lease finance products and how our cost-effective programs can conserve your working capital and increase your cash flow. Here's how it works:
Simple & Easy Programs
Operating Lease: The oldest form of leasing available, an operating lease (or true lease) is a short-term rental agreement. The leased equipment is classified as a rental, allowing the lessee to transfer obligation of the equipment to the lessor at the end of the term. This lease offers the lowest payments and typically the most tax-friendly form of leasing, additionally, true or operating leases offer three choices at the end of the lease:
a) Purchase the equipment at its then fair market value or an option amount of 10%, or
b) Renew the lease term and continue to use the equipment
c) Return the equipment to the leasing company with no further obligation
Capital Lease: The preferred lease for long-term equipment plans and intended eventual ownership; a capital lease (similar to a finance lease) classifies equipment as being owned by the lessee, allowing the lessee to claim tax deductions on the equipment depreciation. A capital lease usually provides a more attractive purchase incentive of $1.00 at the end of the lease term.
Equipment Finance Agreement (EFA): A method of equipment financing with fixed payments for a predetermined number of months, where the borrower owns the equipment and the lender merely retains a security interest through the transaction. Both the depreciated value of the equipment and the interest on finance payments are tax deductible to the borrower. The equipment finance agreement is an equipment loan.
Most Common "end of term" Options
$1 buy-out: Also known as a capital lease and finance lease, the $1 buy-out is similar to a loan and is the best option if the leased asset will maintain its usefulness during and after the lease term. Additionally, equipment must be shown as an asset and depreciated for accounting purposes. It is not recommended that the equipment be written off as a rental expense as with an operating lease. Always consult with your financial advisor or tax accountant regarding leasing and what is the best type of lease for your business structure.
FMV (fair market value): The lease payments are an operating expense (rent expense) and are tax deductible against total taxable revenues. The leased asset is not an asset on the company's balance sheet. Therefore, this type of lease is also called off-balance-sheet financing.
10% PUT (purchase upon termination): This option can allow for an amount of 10%, 15%, or 20% residual at the "end of term". The lessee has the option to pay a predetermined percent of the original equipment cost at the end of the lease, or walk away. By leaving a residual amount at the end of the lease, the monthly payment is lowered and provides some tax benefits.
Complete our lease application and fax to (863) 583-3100 or call our toll free number 866-268-9504 for a free no obligation lease consultation and quote from one of our experienced lease consultants now. Upon receiving your completed application Sun South will promptly process for prelimenary approval within 24 hours. Documents are executed to you via fax or email for authorized signature(s). The equipment you have chosen will be delivered for acceptance, and/or installed if necessary.
Sun South will pay the equipment vendor/dealer within 24 hours of receiving confirmed delivery and acceptance. It's that simple and easy.
Equipment Leasing Programs
Sun South Equipment Leasing, Inc. offers some of the most flexible terms for a wide variety of equipment leasing needs. Whether your business needs new, pre-owned or even unique equipment or if your business is just considering an upgrade, Sun South is experienced with all equipment types in every industry and regards evey customer as unique in their marketplace and deserving of our individualized attention and will custom create a lease or finance structure to fit your company's operational needs. Simply give us a call to learn more about our lease finance products and how our cost-effective programs can conserve your working capital and increase your cash flow. Here's how it works:
Simple & Easy Programs
Operating Lease: The oldest form of leasing available, an operating lease (or true lease) is a short-term rental agreement. The leased equipment is classified as a rental, allowing the lessee to transfer obligation of the equipment to the lessor at the end of the term. This lease offers the lowest payments and typically the most tax-friendly form of leasing, additionally, true or operating leases offer three choices at the end of the lease:
a) Purchase the equipment at its then fair market value or an option amount of 10%, or
b) Renew the lease term and continue to use the equipment
c) Return the equipment to the leasing company with no further obligation
Capital Lease: The preferred lease for long-term equipment plans and intended eventual ownership; a capital lease (similar to a finance lease) classifies equipment as being owned by the lessee, allowing the lessee to claim tax deductions on the equipment depreciation. A capital lease usually provides a more attractive purchase incentive of $1.00 at the end of the lease term.
Equipment Finance Agreement (EFA): A method of equipment financing with fixed payments for a predetermined number of months, where the borrower owns the equipment and the lender merely retains a security interest through the transaction. Both the depreciated value of the equipment and the interest on finance payments are tax deductible to the borrower. The equipment finance agreement is an equipment loan.
Most Common "end of term" Options
$1 buy-out: Also known as a capital lease and finance lease, the $1 buy-out is similar to a loan and is the best option if the leased asset will maintain its usefulness during and after the lease term. Additionally, equipment must be shown as an asset and depreciated for accounting purposes. It is not recommended that the equipment be written off as a rental expense as with an operating lease. Always consult with your financial advisor or tax accountant regarding leasing and what is the best type of lease for your business structure.
FMV (fair market value): The lease payments are an operating expense (rent expense) and are tax deductible against total taxable revenues. The leased asset is not an asset on the company's balance sheet. Therefore, this type of lease is also called off-balance-sheet financing.
10% PUT (purchase upon termination): This option can allow for an amount of 10%, 15%, or 20% residual at the "end of term". The lessee has the option to pay a predetermined percent of the original equipment cost at the end of the lease, or walk away. By leaving a residual amount at the end of the lease, the monthly payment is lowered and provides some tax benefits.
Complete our lease application and fax to (863) 583-3100 or call our toll free number 866-268-9504 for a free no obligation lease consultation and quote from one of our experienced lease consultants now. Upon receiving your completed application Sun South will promptly process for prelimenary approval within 24 hours. Documents are executed to you via fax or email for authorized signature(s). The equipment you have chosen will be delivered for acceptance, and/or installed if necessary.
Sun South will pay the equipment vendor/dealer within 24 hours of receiving confirmed delivery and acceptance. It's that simple and easy.