Leasing and rental differ considerably in certain points.
With rental, the hire company remains the owner. He also makes the investment decision. With leasing, you choose what equipment is to be purchased and who is to supply it.
A summary of the main differences between leasing and rental:
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The hire company alone generally decides on the time of the acquisition, the characteristics and the supplier of the item to be invested in. |
In line with his own needs, the lessee defines the requirement profile of the item to be invested in and defines the time of the acquisition. He runs the purchase/contract negotiations himself, chooses the manufacturer and handles the takeover. |
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Changes in the rental price and the duration of the rental relationship are generally hard to calculated. In contrast to leasing, the hire company is responsible for repairs and maintenance. The renter is dependent on the hiring company when it comes to availability for use and retention of value. |
The usage payments and duration of use are firmly fixed for the entire contract terms. This gives planning security. Availability for use and suitability for the market are guaranteed at all times by the identical interests of the lessor and the lessee. Optimum further use of the item after the expiry of the leasing contract - by either the user or third parties - is guaranteed. |
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With rental, the hiring company is responsible for administration and servicing. |
The lessee can decide himself on the type and scope of servicing. |
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