A Finance Lease is a non-cancellable vehicle rental agreement whereby a company (the lessee) agrees to rent the vehicle from Summit Fleet (the lessor) legally for a fixed period of time. Under a Finance Lease, the vehicles are purchased by Summit Fleet on behalf of a company (the lessor) and the asset may appear on the company’s balance sheet. This finance method is an effective way for companies to invest into a fleet of vehicles without any upfront capital investments.
As Summit Fleet retains ownership of the asset, the company will agree to rent the vehicle for a fixed time frame and pay monthly installments during the period of the lease. Once the lease comes to an end, the company (the lessor) guarantees any shortfall between the eventual sale price and pays out the predetermined residual value*.
Summit Fleet is able to offer fully maintained and management inclusive variations (subject to suitability).
Any more questions? Contact us at [email protected]
*Finance Lease residual values are determined at minimum Australian Tax Office guidelines
