Articles

Top Reasons Why You Should Consider Getting a Small Business Equipment Lease

by Irish Taylor Business Consultant
Here are some of the reasons why small business owners, like you, are encouraged to lease manufacturing equipment, vehicles, and office machines, furniture, and fixtures:

- To get the best equipment for your enterprise. When purchasing equipment, some business owners find it difficult to pick the best machines. After all, the specifications of manufacturing or office equipment tend to vary from one supplier to another.

Such dilemma is never experienced by those who rent or lease small business equipment. After all, they can always get the latest and best vehicles, machinery, and office furniture, once their lease terms end.

So, if you wish to use the best equipment to produce the best products then, leasing might be the best option for you and your enterprise.

- To use just a small percentage of your working capital in acquiring much-needed machinery. That’s because you will only make smaller payments to your equipment suppliers, on a monthly basis. Thus, you can use a bigger percentage of your working capital for more urgent expenses and even for scheduled purchases.

- To enjoy 100% financing. Unlike traditional forms of business financing, which require business owners to submit down-payments; an equipment lease actually frees you up from such upfront costs. That way, you can make the most out of your working capital, and use it for settling the start-up costs you will incur, or save it for your future marketing and promotional activities.

- To avoid incurring the costs involved in equipment ownership. For instance, there’s no need for you to worry about incurring depreciation and obsolescence costs. After all, your business doesn’t own the vehicle, production machinery, or office furniture you use, in the first place. Hence, you don’t need to set aside funds to cover these expenses. Furthermore, the cash you can save from leasing business equipment can soon be allocated for urgent expenses and even for your business contingency fund.

- To enjoy flexible payment terms. Traditional bank loans and credit card programs usually come with stringent payment terms. But that’s not the case for leasing small business equipment. In fact, a lot of machine and equipment suppliers today are more than willing to work out a payment arrangement with their prospective lessees that will match the financial capabilities of their respective businesses.

- To get technical assistance, all throughout your lease period. Most leasing companies today do not just provide their clients with equipment delivery, installation, and machine-handling support. They also offer technical assistance, especially in case of equipment breakdown. Some can even guarantee an immediate replacement for malfunctioning parts and machinery, as soon as the problems have been reported to them.

So, you will not just enjoy using the best equipment. You can also have the assurance that your commercial operations won’t be hindered by problems in the equipment you use.

- To enjoy tax benefits. Did you know that leasing business equipment is 100% tax deductible? So, just imagine how much cash you can save from your business income tax alone! And in time, you can use such funds to support your long-term goals of expanding your business in nearby cities and towns.

Sponsor Ads


About Irish Taylor Innovator   Business Consultant

17 connections, 0 recommendations, 54 honor points.
Joined APSense since, March 26th, 2013, From Las Vegas, Nevada, United States.

Created on Dec 31st 1969 18:00. Viewed 0 times.

Comments

No comment, be the first to comment.
Please sign in before you comment.