Owning motor vehicles is not necessarily the best use of an organisation’s capital, especially if these owned vehicles do not directly generate income.

The removal of your motor vehicles from your balance sheet via a sale and leaseback transaction will free up capital which a business may alternately invest in 'core' operations to generate further income or reduce debt.

The same is also possible for employee's wanting to sell their existing vehicle (less than four years old) and leaseback under a novated lease agreement.

The benefits of a sale and leaseback arrangement using LeasePLUS include:

• An immediate injection of capital, formerly tied up in depreciating assets, that are released back into the business
• Lower overhead in the administration of asset management
• Freeing up staff previously involved in managing assets to assist with the development and operation of core business
• – Quality guarantee: All repairs to components authorised will be covered for the life of the warranty, regardless of the repairer's own guarantee.
• Better management of cash flow by consolidating operating costs associated with the use of a company’s assets into one monthly account that covers the cost of operating the entire asset base. The cost of using these assets moves from being a variable to a fixed cost virtually overnight.
• Improved planning and cash flow management for the turnover and payment of assets .

When each asset is evaluated as part of the sale and leaseback transaction, we will assess its current value and economic life, and propose a recommended replacement program. Once the replacement program is agreed, the lease attributes for each asset will be established to ensure that equipment is replaced as part of a maintenance and replacement program.

A sale and leaseback approach provides businesses with greater finanacial and operational control of its asset base.