1) What's the lease process?
The one page application is completed, signed and faxed (mailed or e-mailed) to ROCHESTER EQUIPMENT LEASING. Normal turnaround time for a credit decision is 48 hours (or less) depending upon bank response. In some situations, additional financial information may be required. Once an approval is granted and the customer accepts the terms, documents are sent via overnight courier for signature. The completed documents and advance payment check are returned via prepaid overnight courier to ROCHESTER EQUIPMENT LEASING. Once received, we issue a purchase order to the vendor who is paid upon delivery and verbal acceptance by the customer.

2) What happens at the end of the lease?
That depends on the type of lease. Some leases have a $1.00 Purchase Option or a guaranteed purchase for a specified amount (usually 10%). In either of these cases, the lessee owns the equipment at the end of the lease for a specified amount. For Fair Market Value leases, the lessee has the option of keeping the equipment by paying the appraised amount (generally 10%) or returning the equipment to the lessor. The appraised amount is often negotiable.

3) Are my monthly rental payments tax deductible?
Lessees can use their own judgment, but generally, $1.00 Purchase Option leases are not tax deductible. Fair Market Value leases may sometimes be tax deductible allowing for the full payment to be written off as an expense. In all instances, we recommend that you consult with your tax advisor for advice on how to expense your lease.

4) Who do I turn to for warranty service?
The vendor (or original supplier of the equipment) will provide all warranty service; the leasing company is not responsible. The warranty is handled just as if the equipment was paid for directly by the lessee.

5) What interest rate as I paying?
There is no interest attached to the lease, as it is a rental agreement. If you are looking at the difference between the equipment cost and the total of the monthly payments as "interest", then this varies with the term, cost and lease type (residual structure).

6) What if I want to sell the equipment before the end of the lease?
This can be done but the lease must first be paid off in full to release the UCC-1 that was filed on the equipment.

7) What if I need other equipment on the lease that our one supplier cannot provide?
This occurs quite often and presents no problem. You can have multiple suppliers on one lease. This is often referred to as a Master Lease.

8) When do my lease payments start?
Generally, after making your initial lease payments at closing, your next lease payment is due 30 days after the lease is funded (or when your supplier is paid).

PLEASE DON'T HESITATE TO CONTACT US WITH ANY ADDITIONAL QUESTIONS YOU MAY HAVE ABOUT OUR SERVICES.