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Leasing is much faster and
easier that bank financing. We can provide approvals in 1-2
hours. |
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A true lease is 100% tax
deductible. Bank-financed equipment must be depreciated over a
period of years and only the interest portion is deductible. See other
Tax
Advantages of Leasing |
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Leasing Can Accelerate
Your Write-Offs. You can set the term of a true lease to a
shorter period than the I.R.S. loan/cash purchase depreciation schedule
permits--effectively
writing your equipment off FASTER! See other
Tax
Advantages of Leasing |
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No restrictive covenants
on future borrowing. Most banks attach broad restrictions on
your ability to seek future financing without their express consent. |
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No "cross
collateralization." Banks often require that you pledge
other collateral (assets). They do this by filing "blanket
liens" that effectively secure all of your
equipment and assets,
not just the equipment you are acquiring (like a lease). Your future financial
flexibility may be severely compromised. |
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Lower cash requirements.
Banks "typically" require 10-25% down payments while leases
require only one or two payments in advance. Sometimes, nothing
down utilizing First Capital's deferred payment programs. |
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Lease are 100% financing
and can include soft costs like installation and training, shipping,
pre-paid service contracts etc. |
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No "compensating
balance" requirements. Most banks want all of your
commercial business including checking and savings accounts with
minimum balance requirements. Leasing companies do not. |
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True leases are
("off-balance sheet"). Because you don't own the
equipment you needn't record the asset or the liability. (This
is important to many company's with bank lines that restrict debt and
liquidity ratios.) |
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No business plan
required/No loan committee runaround. |
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Lease Payments Are
Fixed...Bank Rates Float. Lease payments are easily budgeted
expenses. |
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Lease payments can be
tailored to your cash flow patterns: with step-up, step-down,
seasonally adjusted, skip payment and other payment stream options.
View all of our
Lease
Programs. |