We use mined minerals every day of our lives in almost every consumer commodity we use. Modern society could not exist without these mined minerals, but to run a mine and move equipment and other resources around the site, requires heavy duty equipment. If you are in need of crushing equipment, underground excavators, conveyors, blasters, or mining drills, mining equipment financing is available for your business. Consider easing this financial
burden by leasing your equipment through Equipment Finance.

Why Lease Your Mining Equipment?

Equipment finance can help you keep your cash flow consistent and your company solvent. So why is leasing a good option? Let us a look at the benefits for you, and your company:

  • There are no upfront deposits
  • You are not tied into long-term contracts
  • No year after year financing obligations
  • The insurance on the equipment is covered
  • You may swap out old equipment for the latest technology
  • You can choose your preferred suppliers
  • There are significant tax advantages
  • There are deductions on VAT
  • You can finance a limitless number of items
  • You can refinance your existing equipment to raise capital
  • There is a sale and leaseback option at the end of the contract

Leasing your mining equipment rather than purchasing it outright, makes financial sense for small cash-strapped businesses, when you consider the benefits listed above.

What is Equipment Leasing?

Mine owners and contractors can lease equipment which is necessary for them to run their business. Whether you need specialist machinery, vehicles, or tools, you can lease these all for a specific period of time, after which you can either return the equipment, renew the lease, or buy the equipment. Equipment leasing is different to equipment financing where you take out a mining equipment loan to help finance the machinery. When financing, you purchase the equipment, pay it off over a fixed period, using the equipment as collateral, and once the mining equipment loan is paid off, you own the equipment.

When leasing equipment however, the machinery does not belong to you when the contract is over, you have the 3 options mentioned above. As with the equipment financing, your interest and fees are usually included in your monthly payment/fee. In summary, when leasing, you are entering into a lease agreement with the equipment owner or supplier, not actually purchasing the equipment.

How Can Leasing Help Your Business Productivity?

Leasing your mining equipment is not more expensive and allows you to use the latest equipment. At the end of your lease you have the option the option to return, renew, or buy. This not only allows flexibility around your equipment and business functioning, but it also allows you to spread the costs over a set amount of time, often including a service agreement which removes the need for an in-house maintenance team.

Getting the correct and most up to date technology and equipment is paramount for your business to remain competitive and productive. Having the right equipment gets the job done more effectively and more efficiently, which means your business will be more productive and consequently, more lucrative. Leasing your mining equipment through Equipment Finance will go a long way to giving your business the edge it needs in 2021.