Catering equipment doesn’t come cheap. Whether you’re just launching a new restaurant or looking to expand your operation, finding the funds to get your business to where you want it to be can be tricky.
While there are ways of saving money when buying catering equipment, you need to weigh those savings up against the quality of your service. The quality of your food is only as good as the equipment used to prepare it. The better your output, the more you can charge for it, and the quicker you can pay back your equipment.
It doesn’t always pay to go cheap. But that doesn’t mean you have to put down thousands of pounds on new equipment and potentially leave your finances vulnerable.
When leasing equipment, you could have the best of both worlds.
What is a business finance lease?
With a finance lease, the finance company (such as Shire Leasing) buys the equipment you need and leases it to you over an agreed period of time.
You find an asset from the supplier/s of your choice and the finance company purchase it, renting it back to you in exchange for agreed monthly or quarterly payments.
If you were to sign a leasing agreement with Shire Leasing, we would own the title of the equipment, but you would get full use of it as if it was your own.
The benefits of leasing catering equipment
1. You can afford top-of-the-range equipment
When leasing your catering equipment, you don’t have to worry about forking out thousands of pounds and the impact that could have on your cash reserves.
With the finance company purchasing the equipment you need, you could afford to choose higher quality machines that will serve you and your customers better.
If you do end up settling on the most expensive equipment in the range, this doesn’t necessarily mean your monthly payments will be higher. You can spread the cost of your catering lease through its working life by signing an agreement with a flexible term, often between 3 and 5 years.
2. Less vulnerable to unexpected events
Businesses are having to operate in less-than-certain times right now – rightly, they’re not wanting to leave themselves vulnerable should the outlook quickly change.
To protect yourself from an ever-changing economic picture, you need to keep some cash in reserve and not over-invest in equipment, which, if things took a downturn, might become surplus.
Leasing equipment provides the flexibility you need in these uncertain times. If demand was to upswing, you could even upgrade your appliances to cater for it.
3. Other advantages
Other benefits of leasing catering equipment include potential tax advantages: finance lease rentals can be 100% tax deductible against profits. Meanwhile, other credit lines are not affected by leasing catering equipment. So you are free to make an application for a business loan when funds call for it.
There are many tailored equipment finance options available depending on your business’s requirements. Shire Leasing will ensure a high level of service, to get the right funding for you as quickly as possible, whether you need restaurant financing solutions for an entire re-fit or to lease a particular piece of commercial kitchen equipment.