Frequently Asked Questions
Everything you need to know for you to make a great decision. Just click on one of the sections below to find the answer.
Credit, payments, and process
I am interested in a piece of used equipment; can you help me with that?
Yes! We provide fast, flexible equipment leasing on new or used equipment for any industry. Give us a call and we can get you started.
How do I know I will qualify?
As an independent financing company, we are not bound by the same decision-making practices and regulations of banks. We own our lease portfolio, so credit decisions are made in house. Give us a call – we're here to find ways to say “yes.”
How much do I have to pay upfront?
We understand cash-flow and in many cases only need for the first rental payment in advance. This sets us apart from most lenders who require down payments.
I have equipment. I need cash. How can you help me with that?
Call us to discuss a sale-leaseback option, where we purchase your equipment & lease it back to you over time to improve your cashflow.
What are my options when my lease is up?
At the end of your lease, you may exercise the Purchase Option or return the equipment to Arbutus. Most business owners take advantage of the end-of-term Purchase Option because the equipment is worth more than the Purchase Option amount, or because returning the equipment to Arbutus would disrupt their workflow.
My credit is not the best, can I still qualify for a lease?
Even with imperfect credit, we will work with you to find a solution. Unlike our competitors, we base our decisions on a multitude of parameters including relationship, business performance and potential. We look at the big picture and don't get stuck on the usual business algorithms and metrics.
How long will it take to approve my equipment lease application?
We aim to make the lease financing process as simple and efficient as possible, to get you your equipment fast. Expect to hear from us in one business day regarding your application.
My revenue is impacted seasonally. Can I get a payment plan that provides some flexibility in months when sales are lower?
Our lease contracts stipulate monthly lease payments throughout the term. However, if this is something that may cause issues for you, we ask that you let us know in advance of any approval we provide so we can determine how to best work with the seasonal nature of your business to find a solution that will work for both of us.
How does an equipment lease work?
Start by filling out an application and providing us with a background of your business and the equipment you want or need. Once your credit application is approved and a lease agreement is in place, we finalize the purchase and you to get to put your newly acquired equipment to work.
Are equipment lease payments tax deductible?
Equipment lease payments do often have tax advantages for business owners. Check with your accountant regarding your eligibility for deductions.
Which is better, leasing or buying?
Leasing keeps your financials healthy and your business on track by allowing you to keep your cash in your business – working for you instead of tied up in a piece of equipment. Leasing also has potential tax advantages versus a lump sum purchase.
What is an equipment lease agreement?
An equipment lease agreement is a contractual document that defines the agreed upon terms of our deal: term, payment, conditions, end-of-term purchase option etc.
Which is better, leasing or financing?
A lease has more potential tax benefits than financing because it is written as a rental agreement, and in many cases, 100% of the monthly rental can be written off as a rental expense. When financing equipment, only the interest amount is tax deductible. Check with your accountant for details on your specific situation and for current tax information.
How do capital leases affect financial statements?
Leasing keeps your financial statements healthy. A lease is written as a rental agreement, and in many cases, 100% of the monthly rental can be written off as a rental expense on your financial statements, rather than a depreciating asset. Talk to your accountant about the potential benefits and current tax information.
What is the difference between a capital lease and a finance lease?
A capital lease refers to a lease for an asset which is financed for most of its useful life and is consequently reported as a liability on the lessee's financial statements. An operating lease, in contrast, refers to a lease for an asset which is financed for less than its useful life and can be either returned to the lessor or purchased outright at the end of the lease term. An operating lease is consequently not capitalized on a lessee's books, providing the opportunity for it to be an off-balance sheet financing alternative.