Leasing has become an attractive option to secure financing of commercial equipment. Leasing offers flexible terms with lower monthly payments compared to loan financing. With Compass, we offer a number of options including full disclosure of payment terms and residual value at time of contract signing.
Similar to our loan financing, our lease programs can be tailored to meet the needs of our customers;
- Skip or modified payments for customers who may have seasonality concerns
- Customers can be offered extended terms depending on the equipment
- Residual Values can be set to maximize customer trade up needs
- At lease maturity, residual value can be refinanced in order to transfer ownership to the customer
This is a lease with a fixed purchase option at the end of the lease. The customer will take advantage of the depreciation benefits of the lease. Ownership will remain in the name of Compass through the life of the lease. Typically, the residual value is set at a nominal amount and at the end of the lease the ownership will be transferred to the customer.
This lease reduces the high cost of equipment to a low monthly payment. By establishing a predetermined residual value, you get the equipment for a fixed monthly payment that will be lower than the payment available on an equipment loan or other lease agreements. At the end of the lease the customer has the option to a) purchase the equipment for the predetermined residual value b) refinance the residual value to a nominal balance c) return the equipment to Compass whereby the unit will be sold. If this option is chosen, Compass will sell the equipment in a commercially reasonable manner. The customer will receive any equity for the sale and will be responsible if there is a deficiency.
Our goal at Compass is to find ways to help our customers to be successful. We understand that sometimes a standard finance or lease program doesn’t fulfill all of our customer’s needs. This is why we are able to customize our programs to address those needs. With our experience and understanding of the business we can offer a number of solutions;
- Skip or modified payments
- Deferred payments
- Accelerated payments
- Extended terms
- Balloon HST/GST on the fourth payment
- Establish Lines of Credit for fleet customers