ContractsCounsel Logo
Home Blog Equipment Lease Cost

Jump to Section

What does an equipment lease cost? This is a question that is often asked by individuals who own equipment that they would like to lease for profit. So let’s explore this question and review some general information about equipment leases.

How Much Does an Equipment Lease Cost?

An equipment lease is a legally binding contract executed by the owner, called the lessor. A person who wants to use the equipment is called the lessee.

The equipment lease will include vital information about the agreement between the lessor and the lessee like:

  • Description of the leased equipment
  • Duration of the lease
  • Cost of lease

Equipment leases are standard in all fields and industries, including technology, machines, or vehicles. It is common for owners to lease the following types of equipment:

  • Earthmoving equipment like excavators
  • Computers or printers
  • Vehicles
  • Diagnostic tools
  • Furniture
  • Restaurant supplies

Equipment owners take a risk when leasing property, so they need the protection of a well-written equipment lease agreement. Many lessees choose to hire an attorney to draft this document. The equipment owner must protect themselves from loss or damages when the lessee has possession of the equipment.

A lawyer familiar with equipment leases will know what provisions must be included to protect the lessor and ensure the contract is legally binding.

Based on ContractsCounsel’s marketplace data, the average cost of a project involving an equipment lease is $680.00.

What’s Typically Included in an Equipment Lease?

The contents of an equipment lease will vary based on the industry and type of equipment. However, it is common to include the following boilerplate terms:

  • Lease Duration. The amount of time the lessee will have access to the leased equipment.
  • Equipment Market Value. The market value is important so the lessee knows the amount of insurance they need and what it would cost to replace the equipment if it is damaged or stolen.
  • Costs. The equipment lease should include terms that include the cost of the lease, payment timelines, and how payments are to be made.
  • Renewal options: If the lessee wants to keep the leased equipment longer than the lease provides, a renewal option will give guidelines on renewing the lease.
  • Cancellation Provisions. Suppose either party wants to terminate the agreement early. In that case, provisions to end the lease and any penalties for early termination should be included in a termination clause.
  • Tax Responsibility. A lessee may need to pay taxes on the equipment, depending on the signed lease type.
Meet some lawyers on our platform

Darryl S.

44 projects on CC
CC verified
View Profile

Rhea d.

26 projects on CC
CC verified
View Profile

Steven S.

15 projects on CC
CC verified
View Profile

Daehoon P.

198 projects on CC
CC verified
View Profile

Types of Equipment Leases

There are two main equipment leases: capital leases and operating leases. If you are unsure what type of lease you should use, a business lawyer can help you make the right choice.

  • Capital Lease. A capital lease agreement is a long-term equipment lease. It sometimes even includes a provision for the lessee to purchase the equipment when the lease expires. Under this lease, the lessee must maintain the equipment and pay for the taxes and insurance associated with the equipment. The lessee will record the assets and liabilities of the equipment in their balance sheet for tax purposes.
  • Operating Lease. An operating lease agreement is used for short-term equipment leases. Throughout this lease, the lessor maintains ownership of the equipment and claims the equipment on their taxes.

Examples of Equipment Lease Projects

Equipment Lease Drafting Services

Some equipment leases deal with millions of dollars of the property, so many lessors hire a lawyer to draft their equipment lease. The lawyer will know what type of lease is needed and what provisions to include to protect the lessor.

State and local laws may dictate how property can be leased and how taxes work with leased property. An experienced lawyer will be familiar with these laws and educate the lessor on these laws and tax provisions.

Equipment Lease Services

It is typically understood that contracts tend to favor the drafter. Therefore, if a lessor hires an attorney to draft an equipment lease agreement, the lessee may want to hire an attorney to review the contract.

By hiring their attorney for review services, the lessee ensures that the contract is fair and that their interests are represented. The lessee is taking on a huge responsibility when they lease an expensive piece of equipment, so they need to understand the contract and be protected.

Equipment Lease Drafting Costs

Hiring a lawyer to draft an equipment lease will incur legal fees, and the lessor will be responsible for these fees. Drafting contracts takes the time and legal expertise of a licensed lawyer. Generally, the longer and more complex the document, the higher the legal fees.

ContractsCounsel’s marketplace data shows the average equipment lease drafting costs are $816.67 across all states and industries.

Equipment Lease Review Cost

If a lessee hires a lawyer for review services, they will be responsible for the legal fees. Review costs are generally lower than drafting costs, but lawyers must still be compensated for their time.

ContractsCounsel’s marketplace data shows the average equipment lease review costs to be $700.00 across all states and industries.

How Do Equipment Lease Lawyers Charge?

Lawyers that provide drafting and review services charge clients using two common fee structures: hourly rates and flat fee rates.

Hourly Rates for Equipment Leases

Hourly rate fee agreements are one of the most common ways lawyers bill their clients. A lawyer will have a set hourly rate, and they will periodically bill their client for time spent working on the client’s case or project.

This fee structure is beneficial for lawyers because they can bill for their time and employees to ensure they are fully compensated for a job. However, clients may be wary of an hourly fee structure because it is difficult to determine how much legal services will cost until the project is complete.

ContractsCounsel’s marketplace data shows the average hourly rate for an equipment lease lawyer ranges from $200 - $350 per hour.

Flat Fee Rates for Equipment Leases

When an attorney is hired for a specific project, like drafting or reviewing an equipment lease, they may charge the client a flat rate. Instead of billing hourly, the lawyer will estimate the project time and charge the client a one-time fee. Typically, the lawyer will want this payment upfront before they begin work.

Clients tend to prefer a flat fee because they know exactly what they will be paying for an attorney’s legal services. Therefore, the lawyer must specify what the flat fee rate includes and what legal services will incur additional charges.

ContractsCounsel’s marketplace data shows the average flat fee rate for an equipment lease is $680.00.

Get Help with an Equipment Lease

Do you need help with an equipment lease project? If so, post a project in ContractsCounsel’s marketplace to receive flat fee bids from business lawyers to handle your project. All lawyers on the ContractsCounsel’s platform are vetted by our team to make sure you are provided with top tier service.

ContractsCounsel is not a law firm, and this post should not be considered and does not contain legal advice. To ensure the information and advice in this post are correct, sufficient, and appropriate for your situation, please consult a licensed attorney. Also, using or accessing ContractsCounsel's site does not create an attorney-client relationship between you and ContractsCounsel.

Need help with an Equipment Lease?

Create a free project posting
Clients Rate Lawyers 4.9 Stars
based on 10,987 reviews

Meet some of our Lawyers

Terence B. on ContractsCounsel
View Terence
5.0 (45)
Member Since:
August 23, 2020

Terence B.

Free Consultation
Orlando, FL and New York, NY
13 Yrs Experience
Licensed in FL, NY
Georgetown University Law Center

Terry Brennan is an experienced corporate, intellectual property and emerging company transactions attorney who has been a partner at two national Wall Street law firms and a trusted corporate counsel. He focuses on providing practical, cost-efficient and creative legal advice to entrepreneurs, established enterprises and investors for business, corporate finance, intellectual property and technology transactions. As a partner at prominent law firms, Terry's work centered around financing, mergers and acquisitions, joint ventures, securities transactions, outsourcing and structuring of business entities to protect, license, finance and commercialize technology, manufacturing, digital media, intellectual property, entertainment and financial assets. As the General Counsel of IBAX Healthcare Systems, Terry was responsible for all legal and related business matters including health information systems licensing agreements, merger and acquisitions, product development and regulatory issues, contract administration, and litigation. Terry is a graduate of the Georgetown University Law Center, where he was an Editor of the law review. He is active in a number of economic development, entrepreneurial accelerators, veterans and civic organizations in Florida and New York.

Samuel R. on ContractsCounsel
View Samuel
5.0 (42)
Member Since:
October 2, 2021

Samuel R.

Free Consultation
Phoenix - Arizona
5 Yrs Experience
Licensed in AZ, PA, UT
Widener University Delaware Law School

My career interests are to practice Transactional Corporate Law, including Business Start Up, and Mergers and Acquisitions, as well as Real Estate Law, Estate Planning Law, Tax, and Intellectual Property Law. I am currently licensed in Arizona, Pennsylvania and Utah, after having moved to Phoenix from Philadelphia in September 2019. I currently serve as General Counsel for a bioengineering company. I handle everything from their Mergers & Acquisitions, Private Placement Memorandums, and Corporate Structures to Intellectual Property Assignments, to Employment Law and Beach of Contract settlements. Responsibilities include writing and executing agreements, drafting court pleadings, court appearances, mergers and acquisitions, transactional documents, managing expert specialized legal counsel, legal research and anticipating unique legal issues that could impact the Company. Conducted an acquisition of an entire line of intellectual property from a competitor. In regards to other clients, I am primarily focused on transactional law for clients in a variety of industries including, but not limited to, real estate investment, property management, and e-commerce. Work is primarily centered around entity formation and corporate structure, corporate governance agreements, PPMs, opportunity zone tax incentives, and all kinds of business to business agreements. I have also recently gained experience with Estate Planning law, drafting numerous Estate Planning documents for people such as Wills, Powers of Attorney, Healthcare Directives, and Trusts. I was selected to the 2024 Super Lawyers Southwest Rising Stars list. Each year no more than 2.5% of the attorneys in Arizona and New Mexico are selected to the Rising Stars. I am looking to further gain legal experience in these fields of law as well as expand my legal experience assisting business start ups, mergers and acquisitions and also trademark registration and licensing.

Ryon D. on ContractsCounsel
View Ryon
Member Since:
May 2, 2024

Ryon D.

General Attorney
Free Consultation
Washington DC
3 Yrs Experience
Licensed in DC
University of the District of Colombia David A. Clarke School of Law

As an esteemed attorney based in Washington, D.C., I bring a wealth of experience and expertise to the legal arena, specializing in a broad spectrum of legal areas including contract drafting, legal research, motions drafting, family law, and criminal law. I earned my Juris Doctor degree from the University of the District of Columbia, where I honed my skills and knowledge in the intricacies of the law. With a solid foundation in both theoretical understanding and practical application, I am equipped to handle the diverse needs of my clients effectively. Throughout my career, I have demonstrated a steadfast commitment to delivering exceptional legal services tailored to each client's unique circumstances. Whether it's crafting airtight contracts, conducting thorough legal research, or advocating vigorously in court, I am dedicated to achieving favorable outcomes for those I represent. My passion for justice, coupled with my dedication to upholding the principles of fairness and integrity, drives me to provide top-notch legal representation for individuals and businesses alike. With a keen attention to detail and a strategic approach to problem-solving, I am well-equipped to navigate the complexities of the legal system and advocate tirelessly on behalf of my clients. I take pride in my ability to build strong, trusting relationships with my clients, guiding them through every step of the legal process with compassion and professionalism. Whether you're facing a challenging legal issue or seeking proactive legal guidance, I am here to provide the skilled representation and personalized attention you deserve. Contact me today to schedule a consultation and take the first step toward resolving your legal matters effectively and efficiently.

Laura H. on ContractsCounsel
View Laura
Member Since:
May 2, 2024

Laura H.

Free Consultation
17 Yrs Experience
Licensed in MA
Pacific McGeorge School of Law

Laura is a Massachusetts attorney who is passionate about consumer protection, landlord-tenant rights, and family law.

Thomas C. on ContractsCounsel
View Thomas
Member Since:
May 3, 2024

Thomas C.

Free Consultation
New York, NY
20 Yrs Experience
Licensed in NY
Brooklyn Law School

I’ve been an attorney for over 20 years practicing mainly in the insurance industry. I’ve worked for law firms, insurance carriers, and insurance brokerages. I currently have my own firm where I help companies manage risk, insurance coverage issues and other business related matters.

Lisa C. on ContractsCounsel
View Lisa
Member Since:
May 8, 2024

Lisa C.

Free Consultation
Chicago, Illinois
27 Yrs Experience
Licensed in IL
Northwestern Pritzker School of Law

Lisa Copland Gordon is a seasoned litigator who has practiced law in Illinois for over 25 years. She is a graduate of Northwestern Pritzker School of Law, with a concentration in Civil Litigation and Dispute Resolution. Lisa earned her undergraduate degree from Princeton University. Lisa provides counsel to clients in real estate matters including purchasing, selling, HOA and lease issues. She also represents clients and small businesses in all Cook County courthouse locations.

Find the best lawyer for your project

Browse Lawyers Now

Quick, user friendly and one of the better ways I've come across to get ahold of lawyers willing to take new clients.

View Trustpilot Review

Need help with an Equipment Lease?

Create a free project posting
Clients Rate Lawyers 4.9 Stars
based on 10,987 reviews
See All Business Lawyers

Contracts Counsel was incredibly helpful and easy to use. I submitted a project for a lawyer's help within a day I had received over 6 proposals from qualified lawyers. I submitted a bid that works best for my business and we went forward with the project.

View Trustpilot Review

I never knew how difficult it was to obtain representation or a lawyer, and ContractsCounsel was EXACTLY the type of service I was hoping for when I was in a pinch. Working with their service was efficient, effective and made me feel in control. Thank you so much and should I ever need attorney services down the road, I'll certainly be a repeat customer.

View Trustpilot Review

I got 5 bids within 24h of posting my project. I choose the person who provided the most detailed and relevant intro letter, highlighting their experience relevant to my project. I am very satisfied with the outcome and quality of the two agreements that were produced, they actually far exceed my expectations.

View Trustpilot Review

Need help with an Equipment Lease?

Create a free project posting
Clients Rate Lawyers 4.9 Stars
based on 10,987 reviews

Want to speak to someone?

Get in touch below and we will schedule a time to connect!

Request a call

Find lawyers and attorneys by city