Farmers are now technically dependent on the new farm machines to increase the yield. Investment in the machines for the income; comes in mind right away. Some can easily meet the expense of the required machine and other have to manage while getting revenue from the same machine.
The main question is- “lease or buy?”
Farmers in recent years are working more analytical on fields as they utilize their money by taking the machines on lease. The machinery leasing has increased in the villages as many invest by leasing two or more machines simultaneously and employ the same.
The one who buys the machine gets good benefits i.e. the payment is cheaper than the leasers and they can immediately use the equipment while owning the same. They have no monthly hassle to pay their income to anyone. The buyer owns 100 percent and has total control of it.
When equipment is leased, the lessee contracts to keep the equipment for a fixed amount of time, usually 3 – 4 years. During that time he has control of its use, but he cannot set out. In the leasing farmers can choose the latest technology for their purposes. This allows leasers to get hands-on with the nearly all current progression in their selected ground. Leasing is better as it increases the cash flow. The buyer owns the farming machines/ equipments forever; and leaser owns for few years can get benefits alike the buyers without paying all amount in one go.
Thus, considering factors like income, costs and market value which can easily change; many farmers leverage leasing the Farm Machinery and want to avoid the hazard of being overstrained and for them leasing is a feasible option.