Restaurant Equipment Lease for New Restaurateurs

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Restaurant Equipment Lease for New Restaurateurs
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What Is Restaurant Equipment Leasing?
A restaurant equipment lease is a financing
solution that allows restaurant owners to rent
commercial kitchen equipment for a fixed term.
Instead of paying large sums upfront, you make
monthly paymentskeeping your cash flow
healthy. This leasing model is popular among
startup restaurant owners and food truck
operators. Its often easier to qualify for than
a business loan and is usually faster to secure.
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How Restaurant Equipment Leasing Works

• Heres how a restaurant equipment lease works,
  step by step
• Choose your equipment List what you
  needfreezers, reach-in refrigerators, fryers,
  griddles, etc.
• Find a leasing provider Compare restaurant
  equipment leasing companies for terms, rates, and
  inventory.
• Apply Complete an application. Many companies
  look at credit score, time in business, and
  income.

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• Review the lease agreement Key things to look
  atmonthly payments, lease duration, end-of-term
  options, interest rates.
• Receive equipment Approved leases get fulfilled
  quickly. Equipment is delivered and installed.
• Make lease payments Monthly lease payments are
  predictable and often lower than financing.
• End of lease options You can renew, return, or
  buyespecially with lease to own restaurant
  equipment.

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Types of Restaurant Equipment Leases
Here are six types of restaurant equipment lease
structures youll encounter
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• 1 Buyout Lease

This lease allows you to own the equipment for
just 1 after the lease ends. Monthly payments
are slightly higher than FMV leases, but it's a
clear path to ownership. Perfect for long-lasting
equipment like griddles, fryers, or reach-in
refrigerators.
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• Operating Lease

This short-term lease allows for frequent
equipment upgrades. It doesnt appear on your
balance sheet as a liability, making it
attractive for restaurants focused on newer gear
or seasonal equipment.
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Benefits of Restaurant Equipment Leasing
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• Tax Advantages

Lease payments are usually a deductible business
expense. You can write them off on your taxes,
reducing your overall tax burden. However, it is
advised to consult a tax professional regarding
any tax implications.

• Easy Equipment Upgrades

Leasing gives you access to new equipment when
technology advances. Youre not stuck with
outdated dishwashers or convection ovens.
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• Simple Application Process

Compared to loans, leasing involves less
paperwork. Many restaurant equipment leasing
companies approve applications in a day or two.

• Warranties Maintenance

Many leases include repair and service coverage.
You avoid out-of-pocket expenses when equipment
breaks.
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Why Choose Biz2Credit?

• Trusted partner for franchise funding
• Biz2Credit was founded in 2007 and has provided
  more than 10 billion in loans.
• Dedicated support team
• Tailored financing solutions

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