Rent to Buy Options for Commercial Hospitality & Office Furniture
Nextrend Furniture, who have been importing and supplying furniture to Australian restaurant and hospitality businesses for a long time, are now offering a Rent-Try-Buy Programme in partnership with Silver Chef.
Nextrend Furniture’s range of commercial hospitality & office furniture enables restaurants to fit out their interiors with pieces that are not only functional, but also affordable and easily maintained. They have showrooms in Australia’s major cities, and have gained a reputation for their innovative and quality tables and chairs which are now featured in restaurants, cafes and other hospitality venues.
Silver Chef makes it possible for businesses to obtain hospitality furniture by way of a rental agreement spanning 12 months, with the option to purchase the furniture at any point. Under the Rent-Try-Buy Solution, businesses will receive a 75% net rental rebate. As the weekly cost of rental is very affordable and payment of rent is completely tax deductible, businesses need not spend large amounts of working capital and can maintain a healthy cash flow.
Make enquiries about the Rent-Try-Buy Programme and benefit from the speedy approval process by requesting a quote today. Dial 1300 559 965 and you will be assisted promptly.
Thanks to Silver Chef, the Rent-Try-Buy scheme’s Standard Option offers an extensive range covering all kinds of hospitality furniture. The newly-launched SWIFT Option enables businesses to obtain funding to furnish their entire premises. Businesses of all sizes anywhere in Australia are supported by Silver Chef. Funding is available in numerous industries under the hospitality umbrella, including but not limited to the following:
- Bars and pubs
- Hospitality schools and colleges
How it Works
Bars, cafes and restaurants all over Australia can now save their working capital rather than spend it on assets which depreciate over time thanks to Silver Chef’s Rent-Try-Buy Programme. The programme provides businesses with the chance to keep their options open and purchase only furniture they have test driven. The 12-month agreement enables businesses to do the following:
- Buy commercial rented hospitality furniture at any point during the first 12 months of the rental contract in order to qualify for a 75% rental rebate, excluding GST.
- Return the furniture following the conclusion of the rental period if it is no longer needed.
- Continue renting the furniture and enjoy continued purchase price reduction.
- Upgrade the furniture if the business’s needs have changed.
It’s easy to rent furniture as agreements under Rent-Try-Buy are easy and straightforward, with little paperwork and minimal bother. The furniture can be received immediately, and you can purchase or upgrade whenever it suits you. Silver Chef aims to simplify your life, so you can spend your time and energy running the parts of your business that deserve more attention.
Suppose you rent $10,000 worth of furniture. Under the Rent-Try-Buy Solution, you would enjoy the following:
E.G: $10,000 Table and Chair Refurbishment Package
|Low weekly rent of||$126.92|
|Purchase price at the end of one year||$6,050|
|Total nett Rent-Try-Buy Payments (after 30% tax deduction & rental rebate applied)||$10,670|
|Rental cost of ownership||$670|
As of January 1st, 2016 we have permanently reduced our upfront costs. If you have been trading in your current business for over 2 years (proof required), we will only require 1 weeks rent in advance to get started with Silver Chef.
If you are a new business trading for less than 2 years, we will also require a refundable security bond of 6 weeks rent.
Rent or Lease?
Choosing not to tie up precious capital by purchasing hospitality furniture can be a smart business decision. There are two options open to you—renting and leasing, the latter being the more common option.
Leasing may seen prudent at first, but it is important to consider the overall impact of leasing furniture on your enterprise.
- Four-year fixed contract
- On-balance item
- Director’s guarantee required
- No option to purchase at discounted price
- Stuck with the equipment
Silver Chef Rent-Try-Buy®
- Off-Balance Item
- No Director’s guarantee required
- Purchase items with 75% rebate on the rent paid
- Option to return or continue renting (and lower the purchase price)
A lease appears as an item on your balance sheet, and lowers your equity, your borrowing capacity and the amount of working capital available to you. Renting, on the other hand, is off the balance sheet, just like electric bills or employees’ salaries.
Leasing also involves a whole lot more paperwork, as well as the commitment of being tied to a contract for four years. Due to the contract, it is also more difficult to exchange or sell your furniture when upgrading.
Silver Chef’s Rent-Try-Buy agreements are fuss-free and involve little paperwork, so equipment can be obtained instantly. You also benefit from the flexibility to sell or upgrade whenever you wish.
Hotels and Clubs
Hotel groups and clubs are in a good position to benefit from Silver Chef funding when acquiring hospitality furniture.
Silver Chef have been serving the restaurant and club fields for more than twenty years, providing clubs and restaurants with furniture financing options through their special Rent-Try-Buy Solution.
It is now even easier than before for hotels and clubs to take advantage of Silver Chef’s funding scheme to obtain the furniture they need. The Rent-Try-Buy Solution offers these benefits:
- Freeing up working capital
- Renting off the balance sheet, which means no constraints when it comes to taking out future loans for renovation or expansions
- Not a CAPEX expense
- Equipment can be purchased any time, such as at the end of the financial year
- 100% tax deductible rental payments if applicable
- Flexibility for board or committee with regards to guarantees
Silver Chef’s financing scheme enables businesses to free up their working capital and lets the furniture be paid for by business revenue. It also enables businesses to buy or upgrade furniture at any time, and also to return furniture they no longer need once the minimum 12-month term has passed.
The needs of hotel groups and clubs that are community-based tend to differ greatly from those of regular hospitality businesses. Silver Chef understand that, and have application processes and forms designed to serve this group in a more efficient and swift manner.
Should Your Business Undertake a Big Renovation to Boost Sales?
Silver Chef enable you to free up your budget by renting the chairs and tables your restaurant needs. You can also wait till you’re certain your fit-out is ideal before deciding whether to purchase furniture or go on renting it. You can also begin with a more manageable fit-out and then upgrade whenever you see fit.
Silver Chef are committed to enabling you to obtain funding easily and conveniently.
Speak with your Nextrend Furniture Account Manager at 1300 559 965 to find the best solution for you.