Why should a business consider leasing equipment?

Leasing Advantages…

Financial experts agree that Leasing can make good business sense. Leasing is the answer to conserving cash while putting the best equipment available to work for you. Leasing promotes profit growth by providing you with the equipment necessary to go faster and improve quality at less cost.

Here are a few good reasons why a "Weslease" makes sense:

1. Lease almost any kind of equipment. Production and maintenance equipment, machines, tools, construction equipment, business machines, copiers, computers, medical/dental equipment. Small or large it's available through our leasing programs.
   
   
2. Freedom to choose the equipment you want. You make the arrangements as to price and specifications with the supplier you have selected. You retain all manufacturer's warranties and guarantees.
   
   
3. Longer terms, smaller payments. Typical lease terms are two to five years... usually somewhat less than the useful life of the equipment. Nearly always this term is longer than a normal loan period from a borrowing source, resulting in lower monthly payments. Click Here for Payment Calculator
   
   
4. Virtually %100 financing. Practically any other financing demands a substantial down payment, deposit or compensating bank balance. By leasing you can quickly acquire use of the equipment you want without major cash outlay.
   
   
5. Tax advantages. Lease payments are often 100% tax deductible. While subject to Revenue Canada guidelines this may mean a more rapid write off to you. Because the lease term is generally shorter than the depreciable life, payments can be expensed in a shorter duration.
   
   
6. Conserve cash while equipment generates profits. Cash and machines are working assets. With no cash tied up in the equipment, you have both assets working for you. Particularly important under conditions of high-priced money, inflation and cost squeezes.
   
   
7. Budget Management. Budget restrictions preventing purchase of equipment or acquisition of fixed assets still may often permit a workable lease arrangement. This may be true of branch operations of larger companies, for hospitals, non-profit organizations, and municipalities.
   
   
8. Hedge against obsolescence. With today's rapidly moving technology, some equipment can become obsolete relatively quickly. Leasing frequently enables you to acquire the new equipment you need without having to keep costly equipment working years beyond its profitable time.
   
   
9. Project costs more accurately. You have known payments over a specified period. There are no depreciation figures to be questioned, no varying interest costs to be estimated. Leasing helps take the guesswork out of budgeting.
   
   
10. Build your available credit. With leasing, you can get the equipment you need now without disturbing your present bank credit lines. Preserving your bank lines for other possible uses means the same thing to you as expanding available credit.
    
    
11. Alleviate dilution of equity. Leasing offers you a viable alternative to having to raise additional capital through adding more shareholders or partners, or limiting your lines of credit with loans on your fixed assets.
    
    
12. Flexible lease plans. Lease payments can be arranged to match your cash flow pattern, to match seasonal business, to match earnings generated by the equipment. Upon expiration of your lease, arrangements can be made for renewal, purchase, or return of equipment. We will structure a lease plan to fit your situation and specific requirements.
    
    
13. Protection from inflation. When you lease equipment, you pay for it as you use it. When you purchase, you pay in current dollars for future use of equipment. So, if inflation continues, leasing can help provide protection against future decrease in dollar value.
    
    
14. Least expensive way to get equipment. After examining the possibilities involved in cash purchase, a bank loan, or instalment purchase, and after considering the advantages you can derive from the use of freed-up capital, you often find leasing costs you less than other methods of acquiring the equipment you need. Click Here for More Information on Leasing.
    

Previous