Hire Purchase Agreement
It is simply an agreement to hire and later to buy.
AME Leasing Kenya Ltd will retain substantially all the risks and rewards relating to the ownership of the asset
How does Hire Purchase Agreement work
Under a hire purchase arrangement, the possession of the goods is delivered to the hirer (the person who takes goods from the owner under a hire purchase agreement) who then enjoys exclusive possession.
The title to the asset remains with the owner of the goods during the period of the Agreement. At the end of the term, the hirer will have an option to purchase the goods when all installments have been paid.
Benefits of entering into an hire purchase agreement with us:
- Greater flexibility to your company as you can replace equipment more often
- Entitlement to the manufacturer's warranties and after sales services
- Interests payments are tax-deductible
- Deductibility of Capital allowance