Benefits of leasing
Equipment leasing provides businesses the financial flexibility and convenience to grow as needs change. It is through equipment use, not ownership of the equipment, that profits can be generated for your business. With leasing you only pay for the time you use the equipment rather than pay for the whole price of the equipment.
100% Financing
Leasing offers 100% financing, and unlike a bank loan, does not require a deposit. Delivery cost, installation, taxes and many other soft costs can be included into your lease. Other alternatives often restrict these types of expenses.
Conserve Working Capital
Equipment purchases can tie up your precious working capital. Leasing allows you to obtain the equipment needed while using working capital for other business needs.
Elimination of Equipment Obsolescence
Leasing allows your business to constantly upgrade your equipment to the newest technology. This keeps your business competitive without wasting cash and credit lines by purchasing new equipment.
Preservation of Existing Credit Lines
Leasing is a totally separate source of credit for your business so your existing credit lines will not be negatively impacted. You can lease your equipment and leave your credit lines open to grow your business.
Tax Benefits
Unlike loan payments, lease payments may be fully deductible as an operating expense of your business.
No Equipment Disposition Concerns
Your company will not have to worry about the hassle of disposing of equipment you no longer need. Leasing puts the responsibility for equipment disposition (when existing leased systems are replaced or upgraded) solidly on the shoulders of the leasing company.
Flexibility
Leasing offers a low fixed monthly payment that is unaffected by the fluctuating market or economy. Through leasing, you can structure your payment to match your business cash flows or cycles. Leasing also provides a variety of end of lease options to meet your specific needs and requirements. This level of flexibility is not normally available with other financing alternatives.
