Lease Types

Telqom Canada is able to offer a variety of lease options to our clients, with the more common requirements being as follows:

Operating lease is one of telecom leasing types

Operating Lease

Under an operating lease, ownership of the goods remains with Telqom Canada at the conclusion of the agreement. With an operating lease, customers are able to fund the monthly lease payments from OPEX rather than CAPEX, the payments are generally tax deductible, and equipment remains off balance sheet. This is a great option for customers who are CAPEX constrained, want to focus their CAPEX resources on revenue generating activities, or purely want to reduce operational overheads and reduce total cost of ownership. At the end of the term we are responsible for the disposal of the equipment therefore you are not funding the full value of the equipment and do not risk being left with out of date technology.

finance lease is one of telecom leasing types

Finance Lease

Under a finance lease, ownership transfers to the customer at the conclusion of the lease term and following final payment. As the customer will ultimately own the equipment, the payments are funded out of CAPEX and are on balance sheet. Only the interest and depreciation are tax deductible and GST is payable up front in the first payment. This is a good option for customers who have a requirement to own their equipment but wish to amortise payments.

sales lease on telecom leasing

Sale and Leaseback

Telqom Canada is able to offer a sale and leaseback facility, where we buy-out customers’ existing IT equipment and place under lease. Typically, the buy-out calculation will be offered on your stated book value and then rent it back for the remainder of its useful life. It can be placed on either an operating or finance lease. Under an operating lease model, once the equipment is on lease Telqom Canada will implement a refresh cycle and process across the asset base. This is an excellent option for clients wishing to free up CAPEX, consolidate all of their equipment under one operational model and achieve greater operational efficiency.