Leasing course machinery is a cost effective way to improve your fleet

Jenny Yu
By Jenny Yu December 22, 2017 06:36 Updated

Gleneagles recently said it was voted ‘best golf experience’ at the Scottish Golf Tourism Awards because it has been investing in its courses recently. Ian Henderson from Golf Finance says one way all clubs can do this is by leasing their course machinery

Gleneagles, host of the 2014 Ryder Cup, won ‘Best Golf Experience’ at the 2017 Scottish Golf Tourism Awards. The awards were decided by 33,000 votes from golf consumers across Scotland. Its director of golf, Gary Silcock, explained why: “We have invested heavily in our product to ensure we remain one of the great golf experiences of the world.”

Most golf clubs may not have the resources of Gleneagles, but there is a way they can invest in their courses even if purse strings are tight. Leasing may be the way forward, especially because clubs can simply spread the VAT element over their monthly lease payments.

For example, with a finance lease agreement, you can spread that VAT cost over the life of the agreement yet still effectively own the equipment at the end of the period.

In other words, if you were to buy a £30,000 mower, where you would normally pay £6,000 VAT up front, you can simply spread the VAT element over your monthly lease payment and avoid this predominantly irrecoverable up-front cost.

With leasing, many clubs in the past have worried about ownership at the end of the finance period, but a simple paperwork exercise can transfer full ownership to the club at the end of the agreement.

With finance lease packages available on both new and used equipment, along with flexible payment plans to suit all types of businesses and cashflows, it should be considered as a real option.

Each golf club and business has their own idiosyncrasies, so it is always worth checking with your accountant or VAT expert.

If you require a quote, or would simply like to talk over options, please call Ian, Joe or Ken on 01620 890200

 

Jenny Yu
By Jenny Yu December 22, 2017 06:36 Updated
Write a comment

No Comments

No Comments Yet!

Let me tell You a sad story ! There are no comments yet, but You can be first one to comment this article.

Write a comment
View comments

Write a comment

Your e-mail address will not be published.
Required fields are marked*

Join Our Mailing List


Read the latest issues

Twitter Timeline