End of Lease Negotiations

At the conclusion of your equipment lease, discussions with your equipment leasing company typically focus on:

Fair Market Value (FMV) Equipment Lease Buyout Transactions

When some or all equipment cannot be returned at end-of-lease, the best practice is to avoid costly extensions, define the remaining obligation under the lease, and negotiate a reduction in that obligation or a buyout. To effectively negotiate a reduction in the buyout cost, an analysis of the all-in leasing cost is critical.

Our experts can assist your company with evaluating and reducing the cost of these transactions. Moving forward, our Lease Sourcing can help you properly structure FMV contractual terms for your next equipment lease.

Lease Extensions, Upgrades, and Rolls

Most organizations that lease equipment expect to return equipment at the end of lease – but equipment return is often much more challenging than expected, resulting in extensions or renewals, which can be very costly.

We negotiate with leasing companies to improve contractual terms. Before committing to end of lease decisions, we make sure you fully understand the options defined in your contract.

Equipment Return

At the end of lease, most contracts offer limited and expensive equipment return options. The phrasing of these choices in the legal agreements – and even the omission of key language – can lead to long extensions and high lease-end costs.

We specialize in reducing end of lease costs related to equipment return, and improve the contractual terms, which lead to more reasonable equipment return requirements that are a better fit for your operational and administrative capabilities.