13 Mar Is Equipment Leasing a Viable Option for Small Businesses? Find Out More
Equipment leasing is a game-changer for small businesses. With the ever-changing technological advancements, it becomes costly for small businesses to keep up with these changes. Leaving them with the option of leasing. Better still, businesses with financial constraints, can secure funding from lenders with flexible terms which facilitates a smooth operation. If you are wondering if leasing equipment is feasible, here are reasons why you should consider it.
But before then, let’s have a look at what equipment leasing involves.
What is Equipment Leasing?
As the name suggests, equipment leasing is paying rent for equipment rather than buying it. When a business decides to lease equipment, they source for a reliable vendor or a financial expert to initiate the lease. A lease agreement is prepared with all the lease terms and payment terms between both parties.
Once the lease expires, the business can renew its lease or return the equipment to the vendor. If the business decides to purchase the equipment, they have the privilege of doing so at a reduced market price.
Now, let’s dive into the benefits of equipment leasing financing.
Quick Approval
As a small business or startup, you have a higher chance of getting faster approvals than banks. Helping you run the business without incurring much expenses.
Flexible Terms
Equipment leasing organizations have flexible terms, which allows small businesses to choose lease terms that match their cash flow and business needs.
Access to the Latest Equipment
Technology keeps changing, and as a small business, you may need more financial muscle to adapt to the rapid changes. With the equipment leasing option, you can access the latest tools in the market for smooth operations.
Saves Money
Leasing equipment is cheaper than buying it. Businesses can acquire the equipment with less money, saving cash.
Maintenance Costs
Most equipment leasing businesses offer maintenance services to help ease financial burdens. Businesses can allocate these funds to other organizational needs.
Tax Benefits
Lease payments are tax-deductible, which provides a tax benefit to the business.
Wrapping Up
Equipment leasing is an excellent way for small businesses to acquire necessary equipment without incurring high costs. In addition, businesses also enjoy the latest equipment, faster loan approval, low maintenance costs, flexible terms, and tax benefits. At Countrywide Financial Solutions, we offer equipment leasing financing for businesses.
