Equipment leases for your business allow you to lease current technology (computers, printers, servers, telephone systems), equipment, and machinery, and pay for it over time rather than making a large initial investment to purchase the equipment. Options for service and repair of the leased equipment, and periodic upgrades of the equipment are often included in equipment leases at an additional cost. Your lease payments are generally secured by the equipment, and the leasing company (lessor) will have the right to remove the equipment from your business if you fail to make the lease payments on time. And at the end of the equipment lease you may have the opportunity to purchase the equipment at an agreed price, or at a fair market value.

In North Dakota, equipment leases are contractual agreements that allow businesses to use technology and machinery without the need for a large upfront investment. These leases typically include options for service, repair, and periodic upgrades, which may incur additional costs. Lease payments are secured by the equipment itself, meaning that if a business fails to make payments on time, the leasing company has the right to repossess the equipment. At the end of the lease term, the business may have the option to purchase the equipment at a predetermined price or at its fair market value. It's important for businesses to carefully review the terms of an equipment lease, including the end-of-lease options, to ensure they align with the business's financial planning and equipment needs. State statutes and the Uniform Commercial Code (UCC), as adopted in North Dakota, govern these transactions, providing a legal framework for the rights and obligations of both lessors and lessees.