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Home arrow Our Services arrow Returnable Pack Leasing
Returnable Pack Leasing Program

Realizing the Advantages of Returnable Pack Leasing

  • Conserve valuable working capital. Capital acquisitions reduce a company's working capital. Lease financing allows working capital to be used for other purposes. You realize the best of both worlds.
  • Ease of acquisition. Once you have decided on your returnable packaging solution that best suits the job, you simply decide on the payment stream that best suits your budget.
  • Preserves your credit limits. Lease financing enables you to acquire needed returnable packaging without tying up other valuable credit lines.
  • Ease of budgeting. When lease payments are fixed over the term of the lease, budgeting cash flow is made much easier.
  • 100% financing. Lease financing provides for total financing. Hard and soft assets can be financed, providing you with a "total" solution.
  • Term and payment flexibility. The term and frequency of payments can be tailored to your company's own unique business requirements.
  • Self-financing. Lease payments are often paid with dollars generated by the utilization of the leased equipment.
  • Payment convenience. Another advantage of lease financing involves the direct-debit method of lease payments. Administering the account now becomes the responsibility of the leasing company.
  • Tax advantages. While subject to the regulatory guidelines, lease payments may be tax deductible. A consultation with your accountant will determine the applicability and nature of tax deduction for each circumstance.

Note: Pine Valley Packaging Limited partners with CIT Financing

Typical lease / purchase example based on 8% interest rate

Cost of returnable pack system $250,000
Lease period 3 years
Purchase option 10% after 3 years
Interest rate (will fluctuate) 8%
Monthly lease rate
$7,169.55 plus applicable taxes
 
 
 
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