Why Lease?

 

Leasing

Borrowing

Credit

Cash

Interest rates

Fixed Rate.

Can fluctuate with the market.

Fixed or Floating

None

Speed of Approval

Within 4 hours after a bid has been selected for most amounts

Days to Weeks.

Days to Weeks.

Instant

Down Payment

Typically, only 1 to 2 payments upfront (first & last) which are applied to your balance.

Typically 10% - 20% of the total running amount

Typically 10% - 20% of the total running amount

100%.

Financial Statements

Generally unnecessary for transactions under $35 000.00

Generally needed regardless of amount requested.

Generally needed regardless of amount requested.

None.

Tax Benefits

Maximized tax benefit. Lease payment can be tax deductible when shown as an operating expense. Asset can be written off over the term of the lease.

Depreciation can be taken over the useful life of the equipment.

Depreciation can be taken over the useful life of the equipment.

Depreciation can be taken over the useful life of the equipment.

Equipment Obsolescence

Used as a hedge against equipment obsolescence. Why own when you can lease?

You own the Equipment.

You own the Equipment.

You own the Equipment.