Small business equipment leasing is it worthwhile for your business?
Small business equipment leasing programs provide many benefits to business owners compared to the outright purchase or regular financing of equipment. These benefits include tax savings, no down payments, less hassle, and minimal risk of the item being obsolete.
Small business equipment leasing allows you to deduct 100% of the amount you pay on the lease each month. This is important because bank financed equipment must be depreciated over a longer period of time with only the interest payment being deductible. Many businesses discover that after taxes they save money purchasing leased equipment.
The no down payment option is also attractive to most businesses. This no down payment policy will allow your business to finance 100% of the cost. This 100% financing often includes extra expenses like taxes, installation, delivery, and maintenance. By not having to pay money down businesses can use that money for advertising or other working expenses within the business.
Leasing equipment also isn’t as difficult as trying to obtain another form of financing. For equipment purchases under $100,000 you typically will not have to provide financial statements, tax returns, or a business plan. The form you fill out is a simple one page form that is similar to filling out a credit card application. The approval process is also rather quick as compared to a loan which can take days or even weeks before you are finally approved for the financing.
To find small business equipment leasing companies you can browse our free business capital search engine which will connect you with the right lenders that are ready to help you find the equipment your business needs.