Terminal Rental Adjustment Clause.
Commercial use greater than 50%.
Little to no money down.
Lower monthly payments.
Walk away and keep the equity.
Terminal Rental Adjustment Clause (TRAC) Lease
For Commercial use greater than 50% of the time.
How it Works
- Lease equipment for set term at fixed monthly payments
- At disposition:
- Purchase equipment (set residual value)
- Continue to lease equipment based on residual amount
- Return equipment
- Gain/loss of equity
- Little to no money down
- Monthly payments are fully tax-deductible
- Lower monthly payments
- Sales tax is paid out over the term of the lease
- Retain more cash-on-hand
- Walk away and keep equity
|Unit||2020 Utility 3000R w/o unit = $54,000|