While updating your critical communication equipment such as two-way radios is a wise investment in safety and productivity, you may not always have the cash on hand to make a lump sum payment. That is why we also offer leasing options! We have partnered with RCAP Leasing in order to provide you with more opportunities and choices when making important purchasing decisions. RCAP provides tailored solutions to meet your leasing needs, for example if your business is seasonal, such as construction or agriculture, RCAP can provide solutions such as:

  1. Skip Payment Plan – allows you to skip a month of payment with a fixed interest rate so you don’t have to worry about hiked prices
  2. TRAC or ABC Addendum leases – terminal rental adjustment cause helps account for taxes or an addendum which allows modification to the contract so that you aren’t ‘trapped’
  3. Conditional Sales Contracts (Financing) – this means that renting equipment would be completely risk-free. Usually, and damages would be the responsibility of your leasing agent
  4. Financing for New or Used equipment

Benefits of Switching from Capital to Operating Expenditure

Operating expenditure (OpEx) is a type of spending which is based off day to day expenses. Repair, maintenances, routine operations and ongoing benefits all fall under this category. Leasing equipment can aid in OpEx when it comes to certain products. OpEx is much more beneficial for technology-related purposes. Here’s why:

  • It’s only a commitment to equipment for a short-term period. As technology evolves, this type of leasing allows you to upgrade as newer software becomes available
  • There is no large upfront expenditure, hence multiple investments can be made over time (smoother cash flow over time)
  • It’s a much quicker way to find expenses

Capital expenditures can cost you a lot in the long run due to depreciation and taxes. Under an operating expense, the equipment you lease will be completely risk-free and not remain in your books for years on end. Changing your next purchase from a capital expenditure to an operating one would be a highly advisable move.

Financing with RCAP 

RCAP Leasing provides complete financing coverage with no down payment required. They finance hardware, software and cabling services. Through an alternative source of financing, RCAP provides inflation protection allowing you to make necessary purchases and fund more supply. In this section, we’ll discuss how you can benefit from leasing equipment.

In the age of technology, trends are constantly evolving and RCAP has equipment completely covered in times of obsolescence. For example, if certain radio models end up being outdated or no longer needed, RCAP Leasing provides individuals benefits for a certain term. This allows complete ownership without the risk of commitment to a certain technology. Their main goal is to let you rent risk free for a desired amount of time.

The company believes in an ‘ease of acquisition’ model, this means that after you select the equipment required you can also choose the perfect payment term according to your set budget. Your money, your rules! Tax can be quite a headache to deal with, especially when it comes to expensive technology. RCAP aids with savings that are decided upon based on the type of equipment, lease agreement and individual tax brackets. As mentioned previously, payments would fall under the operating expenditure margin as it is an ongoing expense that is immediately deducted

More Advantages of Leasing:

Leasing equipment will help with savings in the long run due to lower monthly payments. Choosing this method also provides a faster turnaround time when acquiring equipment. Easy replacements after a couple of years allows you to always have updated and modern products. When leasing, the cost of the equipment can be paid off by a small portion of the income made, hence saving capital.

Most importantly, leasing is a fixed monthly cost so you won’t have to worry about interest rates or sudden price increases! If you have anymore questions about the process or benefits of leasing, please reach out to one of our sale representatives:

Contact us

 

RCAP x Nova Communications

Many of our clients here at Nova Communications have benefited greatly through RCAP Leasing. One of the most popular benefits has been the anti-risk protection policy. Through RCAP we are able to provide our customers two-way radios with a flexible lease agreement and stay up to date with digital evolution.

Broadband & Wireless Networks, Leasing, Two Way Radios

Leave a Comment