Owning equipment does not make money for you: using it does.
Why do 80% of companies now lease their equipment?
The Leasing Advantage:
- Increased Cash Flow. Leasing does not require a large up front sum of cash, which conserves working capital. That means more money to invest back into your business. You also benefit from knowing that should interest rates rise, the lease payments will remain unchanged.
- Tax treatment. The government does not consider an operating lease to be a purchase, but rather a tax-deductible overhead expense. This can make the lease payments deductible from income. Leasing payments are treated as expenses on a company's balance sheet, and equipment need not be depreciated over five to seven years.
- 100 percent financing. With leasing, there is very little money down - perhaps only the first and last month's payment are due at the time of the lease. Also, all costs including installation and delivery can be included in the lease.
- Balance sheet management. Because an operating lease is not considered a long-term debt or liability, it does not appear as debt on your financial statement, these results is better financial ratios and can make you more attractive to traditional lenders when you need them.
- Flexibility. As your business grows and your needs change, add or upgrade at any point during the lease term through add-on or master leases.
Sheila Boyd
Account Manager
Accurate Leasing Ltd.
PH:800-595-1477 FAX:800-595-3922
For more information visit http://www.accurateleasing.com/