1. Allow enough time. The process consists of planning the lease, soliciting and evaluating proposals, getting lease approval, and completing lease documentation. Don't rush. Avoid the hassle of poor leasing company selection, approval delays, documentation miscues or poorly negotiated lease terms.

2. Consider a lease broker. Lease brokers serve roles similar to insurance brokers - placing lease transactions with ultimate leasing sources. Beware, the entry bar for becoming a lease broker is very low and not all brokers are well trained or reputable. Find one with experience and integrity.

3. Get the best bid. Get at least three or four competitive lease bids from qualified bidders to ensure the best rates and terms.

4. Prepare an information package. Give lease bidders two or three years of financial statements, interim financial statements, projections, company marketing literature, bios on principals and key managers, three or four trade/credit references, company backgrounder and a description/cost estimate of equipment to be leased. Set your company apart by including a short history of the company, your company's value proposition, its achievements, and why you think your company is successful.

5. Contact your landlord. Many lease arrangements require landlord waivers. These waivers acknowledge that the landlord has no claim against the leased equipment. Let your landlord know ahead of time. It will save time and aggravation later.

6. Limit "soft" costs (such as software, installation costs, training, etc.) in your bid requests. Many leasing companies charge higher rates and offer tighter lease terms to compensate for significant soft costs.

7. Estimate fees and charges. There are numerous fees and charges that are possible in a leasing transaction. You can save a bundle by carefully going through each proposal/lease agreement to identify, quantify and compare likely charges.

8. Get copies of bidders' standard leases. Most proposal letters are silent regarding many of the obligations and conditions normally included in the lease agreement. In their standard leases, look for any onerous or non-standard terms that would otherwise eliminate your consideration of the proposals.

9. Tweak it. Don't be bashful about asking the winning bidder to improve the proposal in one or two of your high priority areas. You may get concessions or a counter proposal.

10. Hire a legal 'kick-boxer'. If you are inexperienced with lease contracts, hire a good attorney who has experience. Many experienced lease attorneys are associate members of the major equipment leasing trade associations. Contact one of these associations or check with business colleagues, CPAs or lending contacts.

11. Get a refund. Make sure any deposit or commitment fee is fully refundable if the leasing company is unable to deliver an approval of the transaction as outlined in the proposal within a date certain.

12. Avoid signing side letters. Most leases state that the lease represents the entire agreement between signing parties. Side letters may be unenforceable or fraudulent.

Equipment leasing transactions can offer great value to your company. They can also lead to costly pitfalls. Make sure that you refer to this handy checklist when approaching your next equipment lease.