Commercial Hire Purchase or
The financier owns the equipment during the agreement. Once you make your final payment, you immediately assume ownership.
Asset Purchase (CHP)
Provided the equipment is used to generate assessable income, the interest component of your payments and depreciation on the equipment are tax-deductible.
Deposits are optional, but not generally required, and you can buy the equipment at any time during the agreement. You may also choose a balloon payment at the end of the term to decrease your monthly commitments throughout the term of the agreement.
As the taxation and accounting treatments of leasing and asset purchase finance may vary, we recommend you seek advice before from your account or tax advisor.
Other Finance Options