Equipment finance & lease guides
Equipment leases bind you with a hell-or-high-water clause and end-of-term options that decide whether you own the equipment or owe a surprise residual. These source-cited guides cover the clauses that matter before you sign.
Last reviewed: May 26, 2026 by the BizLeaseCheck Editorial Team. General information, not legal advice.
A practical review order for an equipment lease or finance agreement — starting with the clause that keeps you paying even if the equipment fails.
Read guide Equipment finance guideHell-or-High-Water Clauses in Equipment LeasesA hell-or-high-water clause is why you can owe every payment on equipment that never worked — and the law often backs it up.
Read guide Equipment finance guideEquipment Lease vs Finance Agreement: True Lease or Loan?Whether your "lease" is really a purchase changes who owns the equipment, how you are taxed, and what rights you have on default.
Read guide Equipment finance guideEquipment Lease End-of-Term Options: $1, FMV & PUTThe end-of-term option decides whether you own the equipment, pay an uncertain residual, or are forced to buy — know which one you signed.
Read guide Equipment finance guideEvergreen & Automatic Renewal in Equipment LeasesMiss a narrow notice window and an equipment lease can renew for another full year — for equipment you meant to return.
Read guide Equipment finance guideWarranty Disclaimers in Equipment Finance LeasesThe finance company disclaims every warranty — so if the equipment fails, your only recourse is the manufacturer.
Read guide Equipment finance guideInsurance & Stipulated Loss Value in Equipment LeasesIf leased equipment is destroyed, a "stipulated loss value" clause can make you write one big check — read it before disaster strikes.
Read guide Equipment finance guideDefault & Acceleration in Equipment Finance AgreementsA single late payment can accelerate the entire lease — all remaining payments plus the residual — and trigger repossession.
Read guide Equipment finance guidePersonal Guarantees & UCC Liens in Equipment FinanceEquipment finance usually adds a personal guaranty and a UCC-1 lien — and cross-collateral language can pull in more than the financed equipment.
Read guide Equipment finance guideEquipment Lease True Cost & Money FactorA low monthly payment can still hide a high effective rate — estimate the real cost before you compare offers.
Read guide Equipment finance guideEquipment Finance Red Flags: A Lessee’s ChecklistA fast checklist of the clauses that most often trap a business in an equipment lease or finance agreement.
Read guideEquipment Finance Agreement Analysis
A representative equipment finance sample report — danger score 94/100, 8 red flags with verbatim evidence quotes, no signup needed.
Frequently asked questions
What is a hell-or-high-water clause?
A clause making your equipment-lease payments absolute and unconditional — you keep paying even if the equipment is defective, destroyed, or never delivered. Under UCC Article 2A, a finance lessee’s promises become irrevocable once the equipment is accepted.
Is a $1 buyout lease really a lease?
Usually not. Because you can own the equipment for a token amount, a $1-buyout "lease" is generally treated as a financed purchase (a security interest) rather than a true lease, which affects ownership, tax, and your rights on default.
How do I avoid an equipment lease auto-renewing?
Find the evergreen notice window (often 90–180 days before the end of the term), calendar it when you sign, and send written notice in the required form with proof of delivery. Consumer auto-renewal laws generally do not protect commercial leases.
Review it before you accept
Upload the equipment finance agreement or lease. The report flags the hell-or-high-water clause, end-of-term option, the real cost, and default remedies, each tied to a quote from your document.