Published By Credit Suite at October 30th, 2015
You can easily get the equipment you need for your business. One of the best and smartest ways to get the equipment you need is by using equipment financing.
You can deduct the interest you pay on the lease. And you won’t need a large down payment to get approval.
This is one of the reasons over 80% of U.S. businesses use equipment lease financing to get equipment for their businesses.
Using equipment financing, you can improve your business cash flow and increase capital.
You can keep your normal cash flow, and leave your money in the bank. So, you can avoid major out of pocket expenses incurred by buying the equipment up front. And you can benefit from multiple tax advantages.
Equipment leasing is one of the most common types of business funding available today.
When leasing machinery, you will find most leasing options offer you fixed-rate funding. This means your interest rate and payments will stay the same from month to month during the term of your lease.
Whether you need office machinery or large commercial machines used for manufacturing, equipment financing is a perfect option for you and your business.
You can also use this form of financing if you are starting a new business which needs equipment to operate.
So, there is typically no down payment required on equipment leasing loans. The lender will collect 1 to 2 of your monthly payments upon approval.
This amount of money you need is usually equal to 3 to 7% of the total equipment cost.
You will have low monthly payments available. And the financing company can tailor your payments to fit your company’s individual needs.
You can also include taxes and other charges such as installation charges into your new equipment lease.
With better cash flow, you’ll be better able to keep up with credit payments. This means a better PAYDEX score and more.
Equipment loans are perfect for any business owner looking to purchase equipment.