- Provides a new source of funds for present and future needs. Often enlarging the pool of capital available to your company, which can be particularly attractive during periods of expansion or when “tight” money conditions exist.
- Overcome budget limitations – Leasing provides a monthly payment which can fit into tight budget constraints instead of having a large cash expenditure.
- Leasing conserves working capital to be used in other capacities.
- If funds are expected in the future, a lease will enable equipment to be acquired when it is most needed…now! Once funds are appropriated, the lease can be paid off.
- Master Credit Line – Equipment needs now or in the future, large or small, can be placed on the same contract. Only make one payment. (Takedown within 60 days).
- Hedge against inflation provides use of equipment at today’s cost while meeting payments with tomorrow’s inflated dollars.
- Leaves bank credit lines undisturbed. “The credit that doesn’t affect your credit.”
- 100% financing; not 70 to 80% as with conventional financing.
- Provides flexibility with regards to amounts financed, payment structures, and other terms.
- Frees funds for ownership of appreciating assets such as real estate.
- Allows for the payment of the equipment out of earnings rather than equity capital.
