In addition to capital conservation, leasing provides businesses with some of the benefits outlined below.

Leasing….

-Improves Cash Flow
(#1 REASON Why 4 out of 5 U.S. Companies Lease Equipment)
Leasing provides 100% financing with no required down payment. Lease payments are a fraction of the total purchase price. No compensating balances are required and lease payments can be scheduled to coincide with income fluctuations.

-Preserves Other Credit Sources
Leasing keeps bank lines and other sources available to meet short-term requirements such as inventory buildup and increased receivables.

-Helps Hedge Against Inflation
Each dollar paid in lease payments five years from now will probably have substantially less purchasing power than today’s dollar.

-Keeps Money in Motion
By leasing, your customers can keep their money working for them. Consider what $100,000 can do when it is actively invested in inventory rather than languishing in fixed equipment.

-Simplifies Budgeting
Budgets can more readily accommodate monthly lease payments than large cash expenses for purchasing fixed assets.

-Offer Fixed Rate Financing
Leasing allows your customer to know exactly what their expenses will be over the term of the lease.

-Helps the Equipment Earn Its Keep
Employees are expected to earn their pay as they perform-why not equipment? With leasing, your customers pay for the equipment as it benefits their business.

-Lets Your Customers Choose the Equipment
They can specify the equipment they need, and the source-as if they were purchasing it directly. All normal manufacturer warranties are passed through them.

-Makes More Equipment Available
Since the monthly payment is a small portion of the total cost of the equipment, leasing allows your customer the use of a greater amount of equipment for the given dollar allocation.

-Provide Flexibility
When structuring a lease transaction, the lease can accommodate requests by your customer for no money down, deferred and seasonal payments. Leasing can also be structured as step-up or step-down payments.

-Offer Tax Advantages
Depending on the structure of the lease payments, your customer may be able to assume tax advantages on their new equipment. Your customers CPA or accounting firm can provide them with details.