Rental (Operating Lease)
When acquiring capital equipment with a useful life of less than five years, it is usually less expensive to rent than to buy.

Historically many organisations have approached the funding of their technology-based assets on a capital expenditure basis or other traditional methods such as Finance Lease or bank facilities.

Paying cash up-front serves to deplete an organisations cash reserves and merely increases the organisations debt levels, while traditional funding lines (via the banks) can leave your organisation with the same depreciation and outdated equipment at the end of the lease period.

With a Rental solution, the residual risk associated with the equipment is transferred to a funder, thus eliminating any potential loss to you, whilst providing the financial freedom to keep your installation up to date with the latest generation of equipment. At any point throughout the lease equipment can be added or upgraded.

In recent times, organisations have come to realise that the underlying value associated with the utilisation of technology-based equipment is not in its ownership, but the derived benefit from its use.

As such, more and more organisations are taking advantage of structured solutions which allow them to pay for the use of their equipment over a similar period as the actual benefits from its use are being derived.

Furthermore, Rental provides the following benefits:

Benefit	TFF Rental	Traditional Lease	Cash Purchase
Conserves cash (by paying for use)
Ensures fixed regular payments
Allows payments to match existing budgets
Provides access to all asset types
Enables hardware to be bundled with intangible costs (software, installation, training, maintenance, insurance etc.)
Off balance sheet reporting with 100% tax deductibility
Simple agreements with flexible options
Reduces the total cost of ownership
True asset management philosophy
Flexible end of term options