Lease Equipment Return Services

---

With all Lease returns Weather Full Service or Finance All leases have conditions or return. The phrase “Normal Wear and Tear” is stated. The confusion comes in understanding what this phrase means from the perspective of a lease vs. ownership. In ownership many conditions are present on equipment such as rock chips, nicks and dings in paint, overhead damage, under carriage damage, minor box or fairing damage, Box interior damage, Interior cab damage, non-OEM repairs (completed throughout the lease) and none of these are acceptable under a lease. These are all considered Physical Damage. The typical customer turns the leased units in and in short order is presented with a Repair Estimate at which point they are also notified that the unit or units in question will remain on lease until repairs are completed. ALC can save thousands of turn-in costs per unit by identifying and outlining low-cost repairs which allow units to be returned without lease termination delays or staggering Retail Repair cost. Control can be employed to identify damage as they occur and hold people causing these damages accountable. At minimum understand and allocate funds for repairs prior to return.

Average Five-year lease turn in expense for larger fleet operations are as follows:

Dry Van Box Truck        $3,200.00 

Refrigerated Box Truck $5,700.00 

Non-Sleeper Tractor     $4,300.00 

Sleeper Tractor            $4,800.00 

Dry Van Trailers           $2,200.00 

Refrigerated Trailers    $3,000.00 

Large Fleets feel immune to these cost until the bills arrive, a nationwide food distributor call to review turn-in experienced this year and felt they had no options but to allow the lessor to complete the repairs on the fleet of 22 tandem axle sleeper tractors with a high of $22,000 and general expense per unit $8,000.00-$11,000.00 per unit. This cost doesn’t include the additional fixed cost for each unit while being repaired averaging three weeks per unit or $1,800.00 per unit.

For a brief review of your Lease Rental situation please feel free to contact Jerry Via Text, Call or Email.