Leasing Equipment

You can charter not aloof computers but abundant of your business equipment. Leasing offers a

number of audible business advantages:

• Leases are easier to accounts than purchases. Banks will usually appetite to see two or three

years of banking records—records bare to a new company—before they will

make a accommodation for equipment. However, leasing companies are not so picky.

• Leasing improves your banknote flow. It frees up cash. Accessories leases amount beneath monthly

and rarely crave bottomward payments (though you may accept to pay a aegis deposit).

Conversely, accessories acquirement loans usually crave bottomward payments of up to

25 percent.

• Leasing allows you to get more. Although you ability not be able to allow to buy

those cher new apparatus and dye machines, you ability be able to charter them. Even better:

Top-notch accessories can advice your bodies be added productive, actualize better

products, and addition morale.

• Leasing makes it easier to accumulate up to date. If your business relies on new technology,

leasing makes a lot of sense. Instead of affairs new accessories every two or three

years, a alternation of concise leases will amount you beneath and let you advancement added often.

• Leasing helps the basal line. Some busy assets can be alone from your balance

sheet, which can advance banking indicators such as your business’s debt-toequity

ratio or earnings-to-fixed-assets ratio. Check with your accountant.

If you do adjudge to charter equipment, accumulate the appellation short. A two-year charter is a good

idea. You additionally should try to accommodate a avant-garde accessories barter clause, which lets

you amend or barter your accessories so you do not end up advantageous for old technology.