Why Leasing Might be Your Best Option...
Leasing is Flexible - With leasing, you are able to customize a program to address your needs and requirements - cash flow, budget, transaction structure, cyclical fluctuations, etc. For example, some leases allow you to miss one or more payment without a penalty, an important feature for seasonal businesses.
100% Financing - With leasing, there is very little money down - perhaps only the first and last month's payment are due at the time of the lease. Since a lease does not require a down payment, it is equivalent to 100 percent financing.
Leasing is Fast & Convenient - Leasing allows you to add equipment or upgrade equipment under similar terms. Leasing can also allow you to respond quickly to new opportunities with minimal documentation. Geneva Capital may approve your application within 24 hours.
Tax Benefits - The IRS does not consider an operating lease to be a purchase, but rather a tax-deductible overhead expense. Therefore, you can deduct the lease payments from your corporate income. Also, because lease payments are treated as expenses on a company's income statement, equipment does not have to be depreciated over five to seven years.
Improves Cash Flow - Lease payments are historically lower than loan payments, hence conserving cash for other uses. Also, by leasing equipment you know the amount and number of lease payments over the life of the leasing period, so you can accurately forecast cash requirements for your equipment.
Manages Obsolescence - A lease allows equipment to be returned to the lessor at the end of the lease term. You can then upgrade equipment without having to manage disposal and other ownership burdens. You don’t risk getting caught with obsolete equipment.
Balance Sheet Management - Liability, it does not appear as debt on your balance sheet, thus making you more attractive to traditional lenders when you need them.
Leasing is Smart - Eight out of 10 companies lease some or all of their equipment, according to industry research. Why do they lease? Because the flexibility provided by leasing allows them to have the most effective operation possible. Companies that lease tend to be the most entrepreneurial and competitive.
I have been working with Foundation Fitness for the last 10 months and find my sales rep and the staff in the office to be very knowledgeable about their product. ...I am very happy to say that I work with Foundation Fitness and that they can work for you as well.