New Construction Leasing

What is new construction leasing?

When a construction company wants to start up a business, there are many costs associated with starting. One major cost that can deter some from even starting a company is the cost associated with all the equipment needed to get the job done. This can be very costly as construction equipment can range from heavy duty cranes to cement trucks - depending on your companies line of work and specialty. The most affordable way to start any construction (or business requiring a lot of expensive heavy duty equipment) is to take out a lease on the equipment needed.

With new construction leasing you can lease new or used equipment for a term length; at the end of your lease term you can buy the equipment out, upgrade and take out another lease or simply give it back. Leasing new construction equipment is also smart because you can typically claim the entire lease payment as a tax deduction.

What is a typical size lease contract for new construction Leasing companies?

Lease financing of construction equipment range widely from $25,000 to $5 million but the majority of construction equipment leasing transactions fall in the category between $25,000 and $250,000 with average terms being three to five years.