Chandler Sports offers two finance options: Leasing agreement and hire purchase agreement.
A lease agreement is a commercial arrangement whereby Chandler Sports provides the equipment to the user and gives the right to use the equipment in return for a rental. In other words, lease is a contract between Chandler Sports (the lessor) and its user (the lessee) for the right to use the equipment during a specified period in return for a mutually agreed periodic payment. The important feature of a lease contract is separation of the ownership of the equipment from its usage, i.e. ownership remains with Chandler Sports.
Hire purchase is a type of installment credit under which the hire purchaser, called the hirer, agrees to take the goods on hire at a stated rental, which is inclusive of the repayment of principal as well as interest, with an option to purchase. Under this transaction, the hire purchaser acquires the equipment immediately on signing the hire purchase agreement but the ownership or title of the same is transferred only when the last installment is paid.
The agreement will include details such as:
1) Chandler Sports delivers possession of the equipment to a company on condition that such person pays the agreed amount in periodic installments.
2) The equipment ownership is passed over to the hirer on the last installment.
3) Such person has a right to terminate the agreement at any time before ownership of the equipment passes or the last installment is made.