P.R.O. (Purchase, Renewal Option) - PRO leases are treated as "true leases" for federal income tax purposes. First Star Capital takes the depreciation and passes on the benefit to the lessee in the form of a lower rate. This structure is typically classified as an operating lease (as defined by FASB-13). At the end of the term, the lessee has the option to either purchase the equipment or renew the lease based upon a percentage of the original equipment cost.

TRAC (Terminal Rental Adjustment Clause) - A TRAC Lease is usually written to finance trucks, trailers, and motorized, self-propelled equipment such as farm tractors, combines, golf carts, backhoes, and forklifts. The lessee can return the equipment or purchase it for its TRAC value. For the best pricing, it is important to match the lease term with the MACRS life of the equipment. TRAC leases are treated as "true leases" for federal income tax purposes.

Equipment Finance Agreement (EFA) / Sale-lease back - An EFA is a loan to purchase equipment as in a sales contract. An EFA is also used for sale-lease backs for equipment that has recently been purchased (within 120 days). This type of lease is generally used when the customer desires additional cash for their business. Like the $1.00 Purchase Option Lease, this agreement may qualify for depreciation benefits.

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