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Small business equipment leasing

Small business equipment leasing is a concept that emanated from the need to earn a higher income through the medium of making another company do the actual business and pay lease rentals. If a company as a corporate entity has multiplicity of divisions in terms of products, they can resort to such small leasing concept in respect of small equipment to earn high rentals. All these methodologies involve brainstorming discussion sessions.


At the highest echelons of management layer, by mutual negotiations a proper approach can also be made for reaching a conclusion in respect of rate of lease rentals. This is an advantageous situation in comparison to taking decisions on the lines of Boston consulting group matrix for hiving off a division. Such an approach also involves creating value addition to enhance the economic value added as well as opportunity value added contents for running the business f the company successfully.


The company intending to lease out small business equipment leasing can insert an advertisement in newspapers, economic journals, economic bourse bulletins and economic newsletters and business magazines. Through the medium of business discussions and comparison of rate of rental income, such a company can maximize its income in a very big way. All these efforts augment the profitability of the corporate in a large measure. All such endeavors are accredited with an analytical and structured approach for conducting business of lease successfully and meritoriously.


All these approaches considered the quality of the equipments and potential of market of small equipment and their effective financial based on the parameters of revenue generation processes and techniques. It is simple to carry out applicability of six sigma applications for enabling evaluation of undertaking of as well as viability of such decisions based on shrewd commercial and business sense.


The various advantages of small business equipment leasing can be enumerated as under:


Instead of buying patented rights, the original brand can be used in equipments names and brands.


Brand building measures can be supported by both the companies keeping in view the magnitude of business as well as well strong service capabilities including after-sales services.


It enables the strengthening of market making capabilities of the lessee company.


It also opens vistas of improving market share all over the world.


It gives fillip and thrust for the promotion of exports in a stupendous manner.


While negotiating, the lessee company can spell-out various services of support that the lessor company is capable of providing such as advertisement support.


The existing dealers and distributors can be approached on behalf of Lessor Company.


Yeomans efforts can be made for the development of concept of leasing by a strong leadership focusing on values and principles of marketing, trading and introduction of backward integration approaches in the long run.


The lessee company should be capable of development of product upgrading efforts for in consonance with the essential attributes of such a business concept.


By examination of prudent business practices, a strong conceptual development of leasing business can take place for making all ends meet. A proper infrastructure and wherewithal should be nurtured and developed for improvement of leasing business climate. As discussed earlier, the quality of the products should be very good and support services should be strong. The lessee company should concentrate on employment of a grand team of marketing stalwarts for promotion of business as lessee. A strong team for handling stock movements efficiently should be maintained and proper storage facilities should be created for servicing large value orders promptly and efficiently.


To conclude, in this article, an in depth analysis of small business equipment leasing has been carried out in an analytical manner. Every business and company should be on the threshold of development and growth in a structured manner for augmentation of income. Proper support services in the form of finance, logistics, marketing, quality control, channels of distribution should be developed for promoting this business.


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