Lease or finance grip and lighting gear in Canada—terms, approvals, tax/GST tips, and how lenders underwrite film/TV equipment packages.
If you’re buying lighting, grip, power, and support gear for film/TV, the safest Canadian play is usually leasing-first: match your term to gear lifespan, keep cash for crew and deposits, and structure the deal around what underwriters actually care about—resale value + current cash flow + contracts (not just your credit score).
Key point: Film/TV cash flow is project-based, seasonal, and sometimes “lumpy,” so approvals hinge on proof of work and how liquid the gear is if a lender ever has to recover it.
Film/TV borrowers usually fall into three buckets:
Each bucket gets underwritten differently because the lender is quietly asking:
Key point: The more standardized the equipment and the stronger the resale market, the easier the approval and the better the pricing.
Typical financeable categories:
If you’re also building a broader production package (cameras/editing/etc.), see Mehmi’s location-specific example guide: Film Production Gear Financing (Vancouver, BC).
Key point: Structure matters as much as rate—because structure is how lenders reduce risk without killing your cash flow.
If you’re adding gear repeatedly (new lights every quarter, more distro, another cart build), a master lease can work like a line—one main agreement, multiple schedules as you add equipment. In equipment finance training materials, a master lease is described as essentially a line of credit that makes adding equipment more convenient.
For the basics of how leases work in Canada (plain language + examples), read Equipment Leasing Canada.
Key point: Lenders still think in the 5Cs—and film/TV buyers win approvals by packaging the story around those 5Cs.
A well-known credit framework is “5C analysis”: character, capacity, capital, collateral, conditions.
What helps:
What underwriters actually use:
A practical checklist that speeds files up: Pre-approved fast: documents you need (Canada).
Down payment is not just “money down”—it’s risk sharing.
This is huge in grip/lighting.
If you’ve had past credit issues, this is where leasing often still works because lenders lean harder on the equipment itself. See Equipment financing with bad credit in Canada.
For film/TV:
Key point: Many Canadian productions rely on refundable credits, but those programs are generally labour-based and take time—so you still need a cash-flow plan.
A few examples (always confirm eligibility with your tax advisor + program guidance):
How this affects financing: lenders will usually treat expected credits conservatively (discounted, timed later than you want, and sometimes excluded unless there’s a track record). So the lease needs to stand on its own—credits are a bonus, not your only repayment plan.
Key point: Lease payments are often deductible when used to earn business income, and GST/HST is typically paid on payments—timing and registration status matter.
Practical tip: if you’re a newer production company and not registered (or you’re slow on filings), the “GST/HST on every lease payment” becomes a cash drain. Fixing registration/filing discipline can feel boring—but it directly improves your financing runway.
If you want to compare pricing like an adult (not by guessing APR from a “lease rate”), use Equipment lease rates in Canada (guide + tips).
Key point: Vehicles are underwritten differently than lights and grip—because condition, mileage, and resale are everything.
Most successful mobile-kit deals:
If you’re shopping the market, this benchmark is useful: Best truck financing companies in Canada (guide).
And because this comes up constantly for film service companies:
Are you looking for a truck? Look at our used inventory (https://www.mehmigroup.com/inventory).
Key point: Underwriters approve what they can verify—so give them verification, not vibes.
In commercial lending documentation, conditions precedent are things that must be met before funds are lent, and covenants are clauses that allow monitoring after funds are lent.
Translated for a film gear lease, common “must-haves before funding” are:
And common monitoring expectations look like:
Key point: If you already own gear, sale-leaseback can convert that “metal equity” into cash—but it should be used intentionally (not to patch a permanently broken margin).
Sale-leaseback is described in equipment leasing training materials as a way to raise working capital by selling acceptable equipment to a lessor and leasing it back, with lenders structuring loan-to-value carefully because it can be riskier.
For the mechanics and what lenders look for, see:
Key point: If you’re profitable but constantly waiting on receivables, the right tool may be working capital or factoring—not loading everything into equipment payments.
Two practical reads:
Business (anonymous): Owner-operator (gaffer) with a small incorporated service company in Ontario
Goal: Build a reliable, bookable package (lights + grip basics + distro) and stop losing gigs due to rental shortages
Takeaway: In film/TV, “can I get approved?” is often less important than “can I survive the slow months while still looking strong to lenders?”
If you want a financing plan that fits how film/TV actually operates—project cash flow, seasonal gaps, gear resale realities—Mehmi Financial Group can help you structure a leasing-first package (and, when needed, pair it with working capital tools) so you can take more gigs without turning your balance sheet into a stress test.
Often yes—especially if the gear is recognizable, has clear resale value, and you have clean invoices/serials. Used gear may require more documentation and sometimes more down.
Lease payments are generally deductible when the property is used to earn business income, and CRA guidance explains you deduct lease payments incurred in the year (subject to rules). (Canada)
Typically GST/HST applies to payments and fees, and GST/HST registrants can generally claim ITCs for GST/HST paid on purchases used in commercial activities (subject to eligibility). (Canada)
They can support the overall story, but most lenders underwrite primarily on verified cash flow and collateral. Credits are often timed conservatively because claims and processing take time. (Canada)
It depends on profile and collateral strength. Strong, established files may see low or even zero down; newer or tougher files often need 10–30% to reduce risk.
A master lease / equipment line style structure can reduce paperwork and make add-ons easier, since it’s designed for continuing equipment needs.
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