Cash Flow is King
Effective cash flow management is an extremely important element to a successful business - small or large. Equipment financing offers business owners a means to acquire equipment based on an operating budget - not based on capital of cash on hand. Equipment financing is an option which enables any business to acquire new equipment - or upgrade existing equipment while avoiding the inefficiencies of obsolescence. Financing also means postponing the ultimate purchase decision for a piece of equipment until the end of the financing term.
Additional Benefits Include:
The tax incentives for purchasing new equipment have never been greater. By taking advantage of a lease to purchase option, the amount you save in taxes could be greater thant what you pay in the first year of a lease. Your new equipment could make money for you from day one!
Since a lease often doesn't require a down payment, its equivalent to 100% financing.
Flexible End of Terms Options:
There are typically three flexible options at the end of a term. You can return the equipment, purchase the equipment from the finance company or extend the financing for an additional period of time.