Leasing capital goods: an alternative to traditional financing
Leasing is an excellent alternative to credit and an ideal solution for companies seeking to optimise their activities by investing in modern and competitive equipment and allows them to preserve liquidity too.
Renew your equipment and modernise your production
Leasing complements the range of financing solutions BCGE offers to companies. It is an interesting option not only for businesses, but also for the self-employed and the liberal professions.
The fixed-term leasing contract, with a purchase option on expiry, allows you to finance most of the equipment you need to run your business, such as production machines, utility vehicles, hoists, cranes, medical equipment or IT and telecom systems, by means of monthly instalments.
How does leasing work?
The essential feature of this type of contract is that the bank buys the object and thus acquires full ownership of it. The bank then transfers the exclusive right to use the object to the lessee, who pays a fee. A leasing contract provides for a monthly payment, similar to a rent, based on the price of the asset that is to be financed, its residual value and the duration of the contract. It is available from CHF 5,000, for a duration of 6 to 84 months, and is intended for any company seeking to renew its equipment on a regular basis, regardless of its field of activity.
Increase the financial flexibility of your company
Leasing capital goods offers numerous advantages. On the one hand, it allows companies to preserve liquidity thanks to a low initial investment and the fact that they do not have to pay VAT when taking over the equipment.
On the other hand, it allows for greater financial flexibility with the possibility of increasing the initial investment or recording off-balance sheet leasing commitments. Since the monthly instalments are calculated in advance and remain unchanged throughout the duration of the contract, this solution allows you to anticipate the costs related to the investment over the entire duration.
Companies that frequently use this type of financing can obtain a credit line from the BCGE that they can use as required for the purchase of capital goods, without having to submit an application for each acquisition. This, in combination with the possibility of applying online in just a few clicks, enables managers to speed up investment decisions.
As a result, the company’s cash flow is preserved and its future is secured thanks to the availability of competitive production equipment at all times.