Cash Flow
Whose Money is it Anyway? Banks typically require you to maintain a gjnmfoiuhjgf minimum account balance (often up to 30% of the loan amount) tied up for the bank to use throughout the term of the loan. The Fine Print… Banks will file a blanket lien against all of your assets. Additionally, can call the loan or increase your payment at any time, for any reason, without notice. With lease financing, only the equipment or technology itself is secured as collateral and the finance agreement is locked in for the term. Weakening of Balance Sheet. With a bank loan the total finance amount will be listed as debt on your balance sheet. Leasing the purchase will allow for off balance sheet accounting, enabling you to treat your acquisition as a tax deductible operating expense. Anything but 100% Financing… Banks rarely finance essential intangible (soft) costs, including: training, delivery/shipping and installation or maintenance agreements. Lease financing allows for soft costs of up to 20% the total amount financed.
Cash Flow As a business owner, you know the importance of weighing all options when it comes to acquiring needed technology and equipment for your business. Whether choose lease or loan financing, your decision will have a vital impact on the cash flow, balance sheet and budgeting aspects of your business. Currently, over 80% of U.S. businesses make the strategic choice to lease finance some or all of their capital purchases. By taking a closer look at traditional bank loans, and what your bank may not be telling you, it is clear why smart businesses lease equipment.
Daniel E. Marquette “By taking a closer look at loan financing, and what your bank might not be telling you, it is clear why smart businesses lease equipment.”
Equipment Finance & Leasing Director
-Daniel E. Marquette
[email protected]
Phone: 603.471.3282
Cash Flow As a business owner, you know the importance of weighing all options when it comes to acquiring needed technology and equipment for your business. Whether choose lease or loan financing, your decision will have a vital impact on the cash flow, balance sheet and budgeting aspects of your business. Currently, over 80% of U.S. businesses make the strategic choice to lease finance some or all of their capital purchases. By taking a closer look at traditional bank loans, and what your bank may not be telling you, it is clear why smart businesses lease equipment.
Daniel E. Marquette “By taking a closer look at loan financing, and what your bank might not be telling you, it is clear why smart businesses lease equipment.”
Equipment Finance & Leasing Director
-Daniel E. Marquette
[email protected]
Phone: 603.471.3282
