Purchasing Power. Lease financing allows the lessee to acquire
more and/or higher-end equipment.
Balance Sheet Management. Certain types of leases help the lessee
better manage the balance sheet and improve the overall financial picture, by conserving
operating capital and freeing up working capital and bank credit lines for inventory,
expansion and emergencies.
100 Percent Financing. With leasing, there is no down payment.
The term of the lease can be matched with the useful life of the equipment.
Asset Management. A lease provides the use of equipment for
specific periods of time at fixed payments. It assumes and manages the risks of equipment
ownership. At the end of the lease, the lessor disposes of the equipment.
Service Additions. Many lessees choose to structure their leases
to include installation, maintenance and other services, if needed.
Tax Treatment. Leasing offers the option of deducting 100 percent
of the lease payment as a business expense.
Upgraded Technology. Leasing provides companies with the ability
to keep pace with technology. The lessee can upgrade or add equipment to meet
ever-changing needs.
Proven Equipment-Financing Option. Over 30 percent of all capital
equipment in the United States is acquired through leasing. In fact, eight out of 10
companies lease their equipment.
