Rent to Own (also referred to as Rent to Buy) is not a loan - it's a commercial rental agreement with the flexibility to buy the asset at set intervals.

Rent to Own is best suited to businesses with the need for additional equipment to fulfil short-term contractual requirements, as well as business-owners who may not meet traditional lending criteria - whether that’s due to impaired credit, being new to business, non-citizenship, lack of bank statements, inconsistent financials, or recently discharged from bankruptcy.

The lender buys the equipment on behalf of the customer and rents it back to them over an agreed term (initially 12 months) at a fixed price, with a portion of the rental going towards paying off the equipment. At the end of the term, the business has the option to purchase the equipment at a pre-determined price, hand it back to the lender, or renegotiate an ongoing rental agreement at a lower rate.

Rent to Own, is a popular alternative to mid to long-term Dry Hire, or for businesses that may not qualify for traditional equipment finance, such as start-ups, credit impaired or businesses with limited trading history.

✔ Build equity in the asset while renting
✔ Depending on the length of the contract, businesses may be able to claim 100% of rental costs as an expense
✔ Enables businesses to easily access new or used equipment they would otherwise not be able to purchase
✔  Access equipment required to meet short-term work commitments without being locked into lengthy finance contracts
✔  Avoid having to keep non-essential equipment on hand after completion of large projects
✔  The option to return, renegotiate, or re-finance/purchase the equipment at the end of the term
✔  Acts as a 'stepping stone' for borrowers to generate income, build stability, and strengthen their track record

✔ You choose your vehicle or equipment, including any unique specifications for the price you can afford.
✔ The lender calculates a rental offer and 12-month buy-back price based on the purchase price of the asset. 
✔ Option for the lender to source the appropriate vehicle and/or equipment on your behalf via one of their accredited dealers.
✔ Once the contract is established, you make an initial loan commencement payment followed by weekly or monthly rental payments for the remainder of the initial contract term.
✔ Operating costs may be covered by the lender for the first 12 months of the contract
✔ At the end of the 12-month rental term you can choose to continue renting at a discounted price, purchase the equipment at a reduced rate, or return the equipment with no further rental obligation.

✔ The minimum rental term is 12 months, however applicants may choose to purchase the asset outright at any time provided the full 12-month commitments are met.

✔ Provided you meet your weekly or monthly rental commitments throughout the duration of the term, Rent-to-Own is an effective way to rebuild and repair your credit score, and demonstrate your capacity to service a loan to potential future finance providers. While future finance approval cannot be assured, Rent to Buy provides a guaranteed exit strategy for all applicants.