ATop 10 Ways Leasing Can Benefit Your Business
Every year it seems more companies choose to procure new productive equipment through leases rather than loans. Leasing can make sense for any size company.
1. Purchasing Power
Equipment lease financing can help you acquire more and/or higher-end equipment - equipment that drives growth of your company.
With a variety of leasing plans available, you can customize your program to address your specific needs and requirements - cash flow, budget, transaction structure, cyclical fluctuations, etc.
3. Upgraded Technology
Leasing can give you the ability to keep pace with changing technology. Take advantage of leasing to upgrade or add equipment to meet ever-changing needs.
4. Balance Sheet Management
Certain types of leases can help you better manage your balance sheet by conserving operating capital and freeing up working capital and bank credit lines for inventory, expansion and emergencies.
5. Low Equity Contribution
Usually normal terms are the first and last payment due at time of lease.
6. Service Additions
Many businesses choose to structure leases to include installation, maintenance and other services. Even software can often be included in the lease.
7. Asset Management
A lease provides the use of equipment for specific periods of time at fixed payments. It assumes and manages the risks of equipment ownership. Companies leasing the equipment avoid the hassle of disposing of the equipment when it has passed its useful life.
8. Tax Treatment
The proper lease structure offers the option of deducting one hundred percent of the lease payment as a business expense. Consult with your tax advisor for eligibility.
9. Specialized Assistance
Commercial lease providers are not only specialists in equipment leasing and financing, they also understand capital equipment markets.
10. Proven Equipment-Financing Option
Over thirty percent of all capital equipment in the United States is acquired through leasing. In fact, eight out of ten companies lease a portion of their equipment.