Higher Education Equipment Financing

Students and faculty rely on institutions to provide a high-quality, cost-efficient educational experience. Meanwhile, administrators are looking to obtain cutting-edge technology and equipment to serve the evolving needs of their institutions. Chase Equipment Finance understands the specialized requirements of higher education financing and can work with you to provide the resources necessary to acquire the equipment you need.

Specialty Areas

  • Energy management: Our equipment finance experts maintain strong relationships with leading energy services companies and have experience financing a range of energy upgrades.
  • Information technology: Chase provides financing options for computers, routers, servers, telecommunications equipment and other IT equipment to keep your staff current and connected.
 

Solutions for Public Entities

Solution Description
Tax-exempt lease purchase agreement
  • Gives a government client the ability to finance essential-use equipment on a tax-exempt basis
  • Client owns the equipment; Chase takes a security interest
  • Typically subject to annual appropriation
Taxable lease purchase agreement
  • When a transaction doesn't qualify for tax-exempt treatment, a taxable structure may be available

Solutions for 501(c)(3) Entities

Solution Description
Tax-exempt conduit lease
  • Allows a 501(c)(3) entity to attain tax-exempt borrowing status through a conduit issuer
  • Entity owns equipment and makes all lease payments; Chase takes a security interest in the equipment or ties transaction to a Master Trust Indenture
Conditional sales agreement/ equipment loan
  • Similar to bank term loan
  • Client owns the equipment; Chase takes a security interest
Tax lease
  • Also known as a "traditional lease"
  • Chase retains ownership
  • Client uses equipment in exchange for rental payments
  • Best for clients that cannot use depreciation benefits, seek to transfer the risk of equipment obsolescence or only need equipment for a specified period of time
  • Client can renew the lease, purchase the equipment or return the equipment at lease end

To learn more about Chase Equipment Finance,
please contact us or call your Commercial Banker.