Leasing is a prevalent and suitable form of financing of equipment for business and public sector. You choose equipment and the leasing company pays the equipment’s purchase price to the supplier and becomes the owner of the equipment. Your business is using the equipment to pay rent over an agreed period of time, so the cost is distributed over the time the business can benefit from the equipment, and it can generate revenue.
In principle, an agreement on leasing can be entered into for all current and non-current assets that can be classified as own units and depreciated.
The lease period for leasing equipment is usually from 3 to 7 years, depending on the type of equipment and what you want as long as this is in line with the expected economic life. Leasing can be used by all business and public sectors. Business owners must be registered with an organization number in Norway.
If you choose leasing, the entire investment will be taxed expensed during the rental period.