Operating lease; What is an operating lease?

A Simple Way to Rent Your Assets

Operating Lease

How Does an Operating Lease Work?

Lease your equipment rather than buying it

Operating lease finance is an agreement that allows your business to use and operate assets without committing to ownership.

With an operating lease the rental term is typically shorter than the life of the asset.

This is an ideal solution for businesses that use heavy machinery, aircraft, or vehicles which are expensive to purchase but need regular replacement. .

By choosing an operating lease for equipment with us you can treat your assets as operating expenses, saving you money in the long-term.

Why Choose an Operating Lease?

Operate Assets Without Committing to Ownership

Operating Lease vs Finance lease

A finance lease is an agreement that allows your business the option of ownership of your asset at the end of the finance term, often with a final payment to clear the remaining debt. Any risk is your responsibility. 

It is also treated as a company debt and is recorded on the balance sheet as such.

An operating lease allows you to rent an asset with no promise of ownership. As it is considered a rental, any risk is assumed to be the responsibility of the owner, and it can be claimed as an operating expense. 

The agreement can be terminated at any time, allowing you flexibility as your business changes and grows.

Operating lease; What is an operating lease?
Find out the best agreement for your company by calling us to day

The Advantages of an Operating Lease

Helping your business to operate without having to own all the equipment.

Does an Operating Lease Suit my Business?

Deciding whether or not an operating lease is an ideal solution for your business doesn’t have to be difficult.

Check the list below to find out if an operating lease is the best option for you.

  • You need the equipment for a short period of time.
  • You have limited cash flow.
  • A lease cuts out the onset costs of obtaining equipment for your business.
  • Your equipment or technology will need constant upgrades to remain current.
  • You want to reduce your debt and increase your available cash. Operating leases are treated as an expense and therefore do not need to be recorded on your balance sheet.
 

What Happens at the End of an Operating Lease?

The beauty of an operating lease is that it takes the stress and risk out of owning your assets. When the lease ends you aren’t obliged to but the asset. This allows you to replace it with a newer model, so you can continue to have access to top quality equipment. ,

The title of the asset, along with the responsibility of disposal or selling on will remain with Coates Finance and our funding partners.

At the end of your operating lease, you will be able to either renew your agreement with us or return the equipment.

 

If you’re looking to fund something else – just complete the short form below or give us call today. You too can purchase equipment without a hefty upfront cost

What Can You Finance With an Operating Lease?

The list of assets is never exhausted, but here are a few examples of what you can be bought with an operating lease:

  • Biomass boilers
  • 3D printers, scanners and peripherals
  • Commercial vehicles (new/used), including cars, vans, trucks and lorries
  • Buses and coaches
  • Haulage vehicles
  • Forklift Trucks
  • Construction equipment, machinery and power tools for building
  • EPOS till systems
  • Dj equipment
  • Event furniture and marquees
  • Farming equipment and machinery
  • Forestry equipment and machinery
  • Garage equipment
  • Gym and fitness equipment
  • Refrigeration and air conditioning equipment, parts and tools
  • Office equipment, computers, laptops and furniture
  • Commercial kitchen and catering equipment
  • Security and CCTV camera equipment
  • Shop fittings and refurbishments
  • Sports and racing cars
  • Vehicle tracking systems and devices
  • Veterinary equipment such as scanners and lasers systems.

Why use an Operating Lease for Business?

Purchase Equipment Without Paying the Whole Cost Upfront​

Choosing an operating lease for your business not only releases you from the risks of ownership of an asset, but gives your business more flexibility.

Leasing ensures that your equipment will never become obsolete because you can simply lease newer equipment. All you need to do is agree to an operating lease term which reflects how often you want to upgrade your asset.

Operating lease finance couldn’t be simpler

  • Avoid the responsibility of ownership so you can replace or update your equipment as often as needed.
  • Lower monthly payments so you can free up cash flow for your business right now.
  • Personalised payments to match your budget.
  • Fixed terms and conditions from the beginning so you can budget for the future.
  • A range of options when the lease ends – renew the agreement or return the equipment.
  • Claim your payments against your profits and reclaim VAT on the asset.
  • Account for the costs as an  operating expense on your balance sheet.
Business woman working on her finances -Why Use An Operating Lease
You can use an operating lease for equipment of all shapes and sizes.

a flexible funding option

How to Apply for An Operating Lease

Partnering with us is a simple process. Here’s how you can apply to get your Operating Lease Agreement within 48 hours.

Before we can successfully process your application, there are a few requirements that your business must have in place:

  • As the applicant, you must be a Limited Company or Limited Liability Partnership
  • Your company must be based in the UK
  • Your company must not have any county court judgements

Financing Leasing for business couldn’t be simpler. Pre-approval is only a few steps away. Just complete the application form below to find out if you qualify to work with us.

Our pre-approval process is quick and easy. Speak to one of our knowledgeable finance professionals to see how we can help your business.

Working With You To Grow Your Business​

Why Choose Coates Finance?​

Key benefits of working with Coates Asset Finance

  • Fast decision: Get a fast decision in 24-48 hours so you can spend more time growing your business.
  • Simple Process: Fill in our short, easy-to-complete application forms without the complicated jargon.
  • Personalised Solution: Obtain the right solution to your unique financial circumstance and raise the cash to purchase the assets you need.
  • Flexible Amounts: Fund your growth with the £2000 - £500,000 that we can help make available for you to scale your business.
  • Specialised knowledge: Draw on our years of practical finance lease expertise in a variety of sectors to ensure you achieve your desired funding solution
  • Pay in instalments: Spread the cost of your purchases over a period of time that’s right for you from 3 months to 60 months
  • Full Transparency: We work with a number of lending partners and will provide independent impartial advice so you always get the best deal and the best rates
Fast and Simple
Get your finance offer in 24-48 hours. Short, easy-to-complete application forms
Personal and Flexible
Obtain a cohesive solution to your unique financial circumstance and raise the cash you need
Release the Cash You Need
Fund your growth with the extra money that we can help make available for you
Specialised and Open
Draw on our years of practical expertise to ensure you achieve your desired funding solution

Get Started

Partner with Coates Finance

Here is what we need to get started with your Operating Lease Application

Fast Finance in 3 Easy Steps

Our friendly team of experts are waiting to assist you and your company.

We’ll help you finalise a solution that meets your needs, and take the hassle out of the decision-making process so you can spend more time on what matters to you most – growing your business.

We have streamlined the application process and made it super simple to apply for the funding you need.

Complete the short form below and let’s get started today.

Complete the form below and speak to one of our knowledgeable finance professionals, who will answer your questions and guide you through the final steps to a solution that works for you.

You can also give us a call if you need immediate answers to your questions. Our friendly experts will happily answer any questions you may have before you begin your application.

Call us on 01904 948008

Lines are open
9:00am – 5:30pm Monday to Friday
(excluding UK bank holidays)

3 steps to success

We'll Help You Every Step Of The Way

Follow the simple 3 step process to finance your business today.

Once you have completed the first step, we will get you on a call to answer any more detailed questions you may have and move quickly towards getting your financial requirements successfully approved

01

Complete the Form

Complete the simple form below and apply online for the amount you need to grow your business

02

Receive Fast Approval

We will process your application and aim to get you approved for your desired amount in 24-48 hours

03

Get Funded

Congratulations!

Now you’ve been approved, you can acquire the assets for you require to grow.

Let's Get Started

All you need to do is complete the form and submit your application to get started today

  • Partner with one of the UK's leading finance solution providers
  • Get sector specific solutions from the "smartest people in the finance industry"
  • Apply in minutes and see funds in your account in as little as 48 hours
  • Access funds from £2000 - £500,000
  • FREE tailored quotation with no obligation

Get your FREE business finance quote today

Get your FREE business finance quote today

Complete the form and submit your application to get started today