Why Lease?
In today’s marketplace, more companies acquire capital equipment with leave financing rather than term loans. In fact, according to the Equipement Lease and Finance Association, eight out of ten US companies finance some or all of their equipment. No matter what your business size, industry or objectives, financing is a strategic decision and is one that provides ample financial and technological advantages for all acquisitions.
Advantages of Leasing
Leasing
Buying
Down Payment
Leasing
None, 100% Financing
Usually Between 10-20%
Monthly Payment
Leasing
Fixed Rate: Even if inflation occurs, payments stay the same
Variable Rate: If market interest rates rise, so do payments
Tax Benefits
Leasing
100% Deductible
Tax Depreciation on life of asset. Principal not deductible
Cash Flow
Leasing
Customizable programs allow for manageable budget and cash flow
Large upfront capital required
Opportunity Costs
Leasing
Frees bank lines and cash for future investments
Ties up credit lines, prohibiting other investments
Reporting
Leasing
Off-Balance Sheet Financing
Carried on Balance Sheet as debt
Future Value
Leasing
Lessee bears no risk of future market value
When disposing of equipment, owner bears risk of future market value
Flexibility
Leasing
Can upgrade or replace current equipment to keep assets technologically up-to-date
The equipment is owned, with no options for flexibility
Interested in financing? Get in touch!
SaviorLabs is happy to offer financing options through Marlin Equipment Finance.
