FREQUENTLY ASKED QUESTIONS ABOUT THE PROCESS
What items can be financed/leased?
Vehicles, machinery, furniture, computer hardware/software, production equipment, medical & dental equipment, automotive repair equipment, energy management systems, lighting, restaurant equipment, copiers and business machines…among other items… just about any equipment that can be used for business reasons.
Who prepares the contract?
After the application has been approved, you will be contacted and the details of the transaction will be finalized. The documents will be prepared by GEM and set to you via email, fax, or overnight delivery. The signed contract and advance payment should be returned as outlined on the lease agreement cover sheet.
When does the dealer get paid?
Once the documents, advance payment check, signed Delivery and Acceptance Certificate, and a vendor invoice are received, a verbal verification and/or site inspection is completed. The invoiced amount is then forwarded via overnight delivery or wire transfer.
How are taxes handled?
The lessee agrees to pay all license fees, sales and use taxes, personal property taxes, lease taxes, or any other tax levied by local, state or federal authorities as a result of the possession or ownership of the equipment covered under the lease agreement.
Who can lease?
A qualified customer intending to use the equipment for commercial purposes only.
Since this is a lease, who owns the equipment?
After all lease payments are made, the lessee has the option to purchase the equipment for either Fair Market Value, 10% of the original equipment cost, or $1.00, depending upon the program chosen when the contract was initiated. Until the option to purchase is exercised, the equipment is the propery of the lessor.
Is there a minimum lease amount?
Yes. $2,000 is the minimum lease amount and there is generally a maximum term of 60 months.
Is the customer responsible for the insurance coverage for the equipment?
Yes. The lessee assumes all risks for any theft, mysterious disappearance, or damage to any or items of equipment covered by the lease. Any such loss does not relieve the lessee of any of the terms or conditions of the contract. Maintenance, including that required during the life of the lease due to normal wear and tear, is the responsibility of the lessee.
Can the lessee return the equipment whenever they want?
No. The lessee has a contract requiring a certain number of payments me made, just like a bank loan.
Is leasing for people who can’t borrow money at their bank or for people who have poor credit?
Over 90% of “Fortune 500” companies use leasing to finance their equipment needs. Each year in this country over $100 billion worth of equipment is financed through leasing. Leasing is a wise business decision for all business people, regardless of size, who have good credit history.
What if I have more questions?
Please call our National Sales Department at 248-477-2170