There are many good reasons why your business should be considering leasing equipment. Here is a summary of the main reasons of why the businesses we deal with like leasing.
Leasing eases the strain on working capital by providing 100 percent financing without a down payment. Your lease payments are simply an operating expense. Therefore your existing lines of credit remain intact for your other business needs.
Cash Flow Management
Leasing smooths cash flow and budgeting by providing regular fixed repayments. You have the benefits provided by the equipment whilst you make you payments. Payments can be structured to meet business cash flows with monthly, quarterly, semi annual or annual payments.
100% Tax Deductible
Lease payments are a 100% tax deductible business expense.
Off-Balance Sheet Financing
Lease payments are an operating expense they are not capitalised to the Balance Sheet and eliminate asset accounting and depreciation schedules.
Your payments are fixed for the term of your lease protecting you if interest rates climb.