Why Lease
THE FINE PRINT OF LEASING. UP FRONT.
- Paying the total price in cash is still the least expensive way for your customer to obtain a vehicle.
- If you cannot pay cash, then a loan or lease with the shortest term available to you will lower the “carrying cost”.
- When leasing, you are only paying off the depreciation amount and not repaying the entire value of the vehicle.
- For businesses, leasing allows you to manage your cash flow by not requiring full payment up front.
- Also, you pay taxes only on the monthly payments, rather than up front on the full value of the vehicle.
BENEFITS OF LEASING VEHICLES FOR DEALERS AND BROKERS
- Lower monthly payments make advertising easier, while minimizing the impact on cash flow for your customers.
- Increase repeat business with leasing by ensuring that customers do not end up in a negative equity position.
- Flexible payment structures that are tailored specifically to your clients’ needs.
- Leases are available on cars, vans, light-, medium- and heavy-duty trucks, various types of equipment and exotic vehicles.
- WS Leasing’s retention department provides dealers with End-Of-Term (EOT) reports and also sends letters to customers, referring them back to the originating dealership, which increases the likelihood of repeat business.
- Dealers and brokers have the ability to rewrite leases at end of term.
- Returned lease vehicles are a good source for used vehicles, if customer does not buy out or rewrite lease (trade-in).
- Dealers and brokers have the opportunity to purchase off-lease vehicles to retain in their inventory for resale. These off-lease vehicles often provide better grosses than the average used units from other sources.
BENEFITS OF LEASING FOR CUSTOMERS
- Lower 1st day cost – Generally the 1st monthly payment and security deposit are the only payments needed to drive away in your new vehicle.
- Allows customers to drive a wider range of vehicles than a traditional finance budget would allow, due to shorter term leases.
- Flexible vehicle leasing terms allow for you have leases that range from 12-60 months.
- Residuals as low as $250 dollars.
- Taxes are paid during the course of the lease through the lease payments, instead of up front to improve initial savings at purchase.
- Leases offer tax benefits for businesses and the self-employed as they can often write off a portion of the tax they pay for the vehicle.
- Open-end Leases have no kilometre restrictions or wear and tear penalties.