Frequently Asked Questions 

Will you approve start-up businesses less than 2 years old?
Absolutely! WE DO APPROVE start-up businesses. Although we have been in business since 1969, we still remember how frustrating it is for start-up and young companies to get credit terms. A large part of our approval is based on the personal credit and background of the owners, not on trade or banking information that you don't have yet. (Kind of a common sense thing, don't you think?) We do charge a small premium for those customers in form of additional advance rental payments. 

What if my personal credit is not so perfect?
Let's talk about a phrase that was coined here in the Country of Texas in the mid 80's. "$#&@ Happens". If you are one of the unfortunate folks that had tax liens or bankruptcies in your past and they are now released, we are happy to look at what you have done since then. However, if local, state or federal authorities currently want you, we will be happy to recommend one of our competitors.

Can I pay the lease off early?
Yes, Harris Leasing will offer your company the option of buying your lease out early without penalties. "Yes, I said without penalties". This is done by calculating the net balance at the time of your request and adding your F.M.V. purchase option of 8%. This will discount all remaining lease charges and tax obligations of your lease.

What are the tax benefits?
Typically, with our leases (a finance lease) you may be able to write your whole monthly payment off as an operating expense. Leases maybe interpreted as off balance sheet accounting. Now for the big disclosure statement. We are not accountants and therefore cannot advise you on tax laws. We do recommend that you talk with a CPA prior to entering into any financial agreement with anyone concerning tax advice.

Can I return the equipment and stop payments?
No, the lease is non-cancelable. You may return the equipment after all the lease payments have been made or pay your lease out early as we talked about above.

How long can I lease for?
Typically, terms are 12, 18, 24, or 36 months. We also have 48 and 60 month leases available.

What if my equipment becomes outdated?
Be very careful about upgrade programs that protect you from obsolescence! In most cases the remaining outstanding balance of your original equipment is rolled into the new equipment cost. (Boy, I'm going to get some phone calls about this.) Our advice: Buy top quality and state of the art in the first place!

What is the interest rate?
In-house rates range from 9% to 12% on a straight-line method of accounting for amounts up to $75,000. (Call us.) Generally, on amounts over $75,000, the interest rates are comparable to bank loans and fluctuate depending on the term, dollar amount and strength of your credit.

Can I lease soft costs or software?
Yes, the general rule of thumb is:
Soft costs for software, training and installation is limited to approximately 25% of the hardware cost and is taken into consideration on a case by case basis.

How soon do my payments start once the equipment is delivered?
Normally your monthly lease payments will not start until approximately 30 days after we have made a verbal verification of acceptance of the equipment. We also let you pick your own due date without any extra cost to you because no one knows your monthly cash flow better then you. 

Is the lease transferable?
Yes, assuming that the new leasee will credit qualify.

Do I have to purchase all my furniture or equipment from the same dealer?
No, knock yourself out, shop till you drop! Any combination of equipment type or number of vendors can be put on any one lease.

What about licensing and warranties for this equipment?
The licensing and warranties offered by the dealer and the manufacturer are passed directly to you.

How long does it take for a lease to be approved?
Under normal circumstances, the lease approval process will take 24 hours or less, assuming we are talking about established companies. However, new businesses and marginal accounts may take an additional amount of time due to the intensity of credit investigation that needs to be done. We live in a world of fax machines where one on one communication with bank officers and trade references is almost non-existent. This is our biggest delay in approvals. 

Can I put money down on the lease?
Yes, if you wish to put money down as a cost reduction over and above your advanced rentals.

What if I already own the equipment? Can I lease it now?
Yes, as long as the equipment or furniture was purchased from the original vendor within the last 90 days and we can verify a clean title. 

Can I lease used equipment?
Yes.

How do I get started?
Fill out our credit application, then e-mail it, fax it, or call us with the information. We look forward to doing business with you.