What is an Finance Lease?

Rent to Own.

A finance lease is a long-term rental agreement that lets your business use essential equipment while effectively spreading the cost over the asset’s economic life.

Unlike an Operating Lease, a Finance Lease places maintenance, servicing, and residual risk to the Customer.

Take on Upside & Downside.

A finance lease lets you secure critical assets without a large upfront outlay, preserving cash flow and giving you full operational control.

The trade-off is that you assume most ownership-type risks—such as maintenance costs, market obsolescence, and residual-value uncertainty—in exchange for the long-term benefits of asset use and potential purchase rights at the end.

Benefits WITH Responsibilities.

A Finance Lease transfers most of the risks and rewards of ownership to you: it is recorded on your balance sheet, and usually cover maintenance, insurance, and other running expenses.

You make fixed monthly payments, preserving cash flow and giving you predictable budgeting, and you’ll typically have the option to buy the asset for a nominal amount, extend the lease, or upgrade to newer technology.


Finance Leases are regarded as a CAPEX purchase - so you will need to go through your standard CAPEX approval process.