Did you know 7 out of 10 companies finance business equipment? Plus, the number one reason companies finance is to enhance cash flow. Experience all the benefits:

Benefits of Financing

100% financing. With financing, there are very little upfront costs. Zero to two month's payments may be due at the start of the finance contract. And, you can cover soft costs such as installation and shipping. Conversely, a typical bank loan does not cover soft costs and may require as much as 10 - 20% down.

Tax and accounting benefits. The IRS does not consider Tax Leases (FMV, 10% Option, TRAC) to be a purchase, but rather a tax-deductible overhead expense. Therefore, you can lower your taxable income by deducting the lease payments. Non-tax ($1.00 Buyout, 10% PUT, SD=BO, EFA) are attractive to business owners who want the tax benefits of ownership - use of IRC 179, accelerated depreciation. Consult a tax advisor on the specific impact.

Balance sheet management. Because a Tax Lease is not considered a long-term debt or liability, it does not appear as debt on your financial statement - making you more attractive to banks by improving ROA due to a lower asset base.

Flexibility. Unlike loans, you can structure payments to meet your cash flow including deferred and seasonal payments. Convenient end of financing options exist too: purchase equipment, return equipment or renew the contract. If you need to terminate the finance contract, a buyout can be figured.

Upgrade technology. If your industry demands that you have the latest technology, financing can lower obsolescence risk because you can upgrade or add equipment to meet your ever-changing needs. And, it’s simple with a Master Agreement!

Speed. Respond quickly to new opportunities with minimal red tape – less than a loan. Your application can be approved promptly and you can have your equipment quickly.

Improved cash flow and forecasting. Lease payments are historically lower than loan payments, conserving cash for other uses. With leasing, you know the amount and number of lease payments over the life of the lease, so you can accurately forecast cash requirements.





Conserve credit lines. A loan immediately reduces your credit line. A lease doesn’t affect your credit line.