Equipment Leasing

Equipment Leasing: Getting A Quick Lease Approval

2010-10-05T03:34:00.000-07:00

Are you considering leasing equipment for your firm, but you are running out of time? Here are a few tips to make sure your company's lease gets approved quickly:

Guard Your Company's Credit Standing

Establish a pattern of paying invoices and bills on time. As with personal credit, a history of prompt payment is one of the most important criteria in extending lease financing. If your company has a dispute with a vendor or credit provider, try to resolve it quickly. Be prepared to discuss the status and reasons for the dispute in detail with the leasing company. Because many leasing transactions require personal guarantees of the principals, it is important that the principals also maintain good credit standing.

Prepare A Lease Package

Include information in the lease package that the leasing company might require. You should include a background write-up discussing your company. Discuss your company's history, the business background of the principals and a detailed discussion of what your company does. Also include a discussion of the competition and your company's accomplishments. Include company financial statements and tax returns, if available. Include a list of credit and trade references. Also include a list of the equipment you intend to lease along with some equipment literature. Finally, include a summary of the lease terms you are seeking.

Identify Credit Enhancements Ahead Of Time

Although you might not need credit enhancements for your lease, it will not hurt to identify them in case they are needed. Possible credit enhancements include: additional equipment collateral; cash equivalent collateral such as CDs, stocks, bonds and cash; other assets such as real estate, revenue contracts, intellectual property rights; personal guarantees.

Have Updated Financial Statements

Although financial statements may not be needed for transactions under $75,000, they are often required for larger transactions. Where possible, these statements should be prepared by a C.P.A. and audited. Most lessors want to see financials covering at least three years of operations and the most recent interim financial statements.

Have an updated business plan with projections. Show a forecast of revenues, expenses and earnings. Include the lease payments as an expense item under the assumption that the lease is approved. Include the key business assumptions used for the plan. Offer a summary of the projections, comparing them to historical performance.

Get Bids From At Least Three Leasing Companies

If you want a competitive lease transaction, it makes sense to get lease quotes from several reliable leasing companies. Look for leasing companies that specialize in the type of lease transaction that you are seeking. There are lessors that specialize in lease transactions under $ 75,000 for instance. Others specialize in certain types of equipment like cars, medical equipment or copiers. Investigate each lessor's background and reputation. Establish a deadline for all bids. Once the bids are in, compare them carefully and look for any terms or conditions that might prove problematic.

Offer To Make Lease Payments Using ACH Debiting

ACH debiting is an automatic payment mechanism established by your firm, the leasing company, and your firm's bank. It permits the leasing company to receive lease payments from your firm's bank account on specified payment dates. This set-up is attractive to leasing companies because it reduces the cost of billing and collecting. Additionally, ACH helps alleviate collection concerns since it creates automatic, on-time payments.

Provide Credit References

Most lessors want to talk to at least three or four vendors or creditors about your company's payment performance and adherence to other business terms. If you have done business with other lessors or lenders, include one or two of these as references. Provide the name and address of each creditor, the contact person and a phone number for each contact.

Getting an approval on your next lease transactions should not remind you of watching grass grow. You can expedite the process considerably by following these easy steps. Be prepared for a quick lease approval.

Source:- http://ezinearticles.com/?Equipment-Leasing:-Getting-A-Quick-Lease-Approval&id=163819

Equipment Leasing - 5 Reasons Why Business Owners Prefer Equipment Leasing

2010-09-20T00:24:00.000-07:00

Within the past decade, equipment leasing has mushroomed into a multi-billion dollar industry and currently accounts for over one-quarter of all capital expenditures in the United States.

There are five major reasons, or category of reasons why lessees prefer equipment leasing versus a loan for equipment acquisitions.

Economic or Financial

Financial Reporting

Income Taxes

Technological

Flexibility

Let's examine each of these more closely.

A) Economical. The economic attributes of an equipment lease can be considerable. The monthly rentals in the lease can be quite low when compared to the loan payments levied by a bank, due primarily to the impact of the residual value in a lease.

The tax benefits alone that are generated in the transaction will influence the lease payments as well. The lessor can lower the equipment lease payments when receiving value from tax benefits, although, the lessor may use tax benefits to increase its yield.

Longer lease terms also help to lower the lessee's lease payments. The repayment of the equipment cost is spread out over more periods so less payment needs to be charged each period to recover the entire cost.

Equipment leasing also requires little, if any, up-front cash outlays when compared to a bank loan. Many leases require just one payment up front versus the normal down payment requirement on an installment loan for a lessee with a good credit history. The combination of lower up-front and lower subsequent payments helps to preserve working capital.

Additionally, equipment leasing provides the business owner with another source financing, thus allowing them to diversify their funding options.

B) Financial Reporting. Entities are constantly striving to have their financial statement look as strong and healthy as possible to their shareholders and lenders. When a company purchases equipment and finances it with a loan, an asset, as well as the corresponding liability, appears on the balance sheet. If, however, the company chooses equipment leasing over a loan, and that lease is classified as an operating lease, then no asset or liability would appear on the company balance sheet. Hence, the term operating lease has become synonymous with off-balance-sheet financing.

Off-Balance-Sheet financing is sought after for a variety of reasons: to keep debt off the balance sheet, to improve the financial ratios of a company, and to potentially enhance the company's ability to borrow in the future. It is also conceivable that in the early years of the lease, the operating lease will improve the company's reported earnings when compared to a capital lease or purchase.

C) Income Taxes. The value of tax benefits to the lessor can influence the lease payment charged to the lessee. A built-in reciprocity exists in tax leasing, in that the lessor-owner in a tax lease receives the tax benefits given up by the lessee-user and, in return, may pass those benefits on to the lessee in the form of a lower lease payment. The lessee also receives a tax benefit since the lease payments are fully deductible.

Another income tax factor to consider is the Alternative Minimum Tax or AMT, which is very complex. AMT is a penalty tax imposed by Congress. Equipment leasing, not purchasing, helps an organization avoid falling into this penalty situation, thereby saving taxes.

D) Technological. In today's rapidly changing environment, there is always the risk that high technology equipment will become obsolete. Indeed, the risk of technological obsolescence is one of the primary reasons for leasing. Equipment leasing can help lessees transfer the risk of owning equipment which is no longer technologically useful.

The transfer of risk can be accomplished in several ways. The most obvious would be for a lessee to enter into a short-term agreement, thereby requiring the lessor to assume the technological risk through residual value. If the equipment is still useful at the end of the lease term, the lessee could then renew the lease. If the equipment becomes obsolete during the lease term, the lessor may replace it with newer technology through what is know as a takeout, or an equipment upgrade.

In a takeout, the lessor, through its access to the secondary market, will find a new home for the original equipment because equipment that is obsolete to one entity is not necessarily obsolete to another. For new and untried technology, many lessees prefer leasing the equipment on a short-term or experimental-use basis.

E) Flexibility. A company may simply need the use, not the ownership, of a piece of equipment. Leasing can help a company avoid many of the headaches associated with equipment ownership. For instance, leasing can transfer the burden of disposing of the equipment o the lessor, who typically has better access to the used equipment market. The lessee can also contract with the lessor to take care of the other aspects of ownership, such as insurance, maintenance and property tax, by bundling these costs into the lease payment. Many lessees appreciate this one-stop shopping aspect of equipment leasing.

Many owners/managers prefer equipment leasing, as opposed to purchasing, because leasing enables them to acquire needed equipment out of their operating budgets, without the necessity of going through a lengthy bureaucratic capital budgeting and approval process. Lessees may also benefit from very flexible structuring practices such as step or skipped-payment leases. These type of payment schedules are useful to businesses in industries that are seasonal and disruptive to cashflow.

Source:- http://ezinearticles.com/?Equipment-Leasing---5-Reasons-Why-Business-Owners-Prefer-Equipment-Leasing&id=765377

Save Pocket Expenses by Purchasing Municipal/Equipment Lease

2010-09-10T02:31:00.000-07:00

To grow your business without significant out of pocket expenses Equipment leasing is an excellent way. It is best alternative to traditional ways of financing. Municipalities are discovering that municipal leasing is a very attractive and viable way to fund new equipment, technology and infrastructure upgrades. It provides a simple methods which improving the state of cash flow by providing services like education, public safety, water ambulance etc .

Leasing can also include the full amount of the equipment, as well as the service, shipping, installation costs in most cases .Unlike a loan, leasing requires no down-payment and can often be completed by filling out a simple single page application. Cost-effective financing option is better than in today's budgetary challenges. Tax-exempt Municipal lease financing is used to help to meet the needs of your community. Municipal Lease Consultants (MLC) can help you to get the lighting, traffic control, and parking management equipment .It offers municipalities a method of Equipment Financing and Equipment Leasing that is less expensive than bond debt and much quicker.

Leasing is the perfect solution for businesses who want to:
1 Expand and modernize more quickly
2 Install the latest and most efficient equipment
3 Use tomorrow's dollars to improve your business
4 Take advantage of the huge tax benefits
5 Keep your cash liquid, while getting the equipment you need

Benefits of a Municipal Lease Purchase:
1 No long-term debt created
2 Flexible repayment terms and structures to meet budget needs
3 Escrow funding and master lease programs
4 Lower rates resulting from tax-exempt basis
5 Offers an alternative financing option without voter approval
6 Provides project financing
7 Spreads out the cost of an asset or project over the useful life
8 Save capital dollars for other projects for which leasing is not an option

Municipal Leasing is essentially an installment sales contract. It constitutes a current expense of the municipality and does not create debt. In the period of tight operating and capital budgets it is an effective and simple method for providing the capital equipment which needs to provide essential services like: education, public safety, water and sewer etc, while improving cash flow management.

To know more about equipment leasing, office equipment lease, municipal leasing, computer equipment leasing and medical equipment lease, visit http://www.leasewithcrystal.com.

Understanding Asset Finance Leasing

2010-09-03T00:20:00.000-07:00

Running a business in a smooth track is not easy if it is not powered by money. Very often money tends to be the determinant factor in upholding and fostering the success of business. The same goes when you want to buy any machinery or equipment for your business. Because of unavailability of sufficient money, you may not want to buy any equipment for business directly from your company's fund.

With the help of asset finance leasing, you can access your desired product without purchasing it. In this way you can say asset finance leasing helps a company to own any asset without investing money for it from their own fund.Asset finance leasing can be best accessed if applied through World Wide Web. It is the platform to reach to unlimited leasing companies of your choice. Just go to any search engine and type your desired question.

You can access asset finance leasing in to two types namely direct leasing and sale and lease back. In direct lease, what you have to do is to select the asset you want and ask a leasing company to purchase it. Now, under sale and lease back, you sell an asset to any leasing company which is already owned by you. The leasing company will then leases it back to you. In both of these two cases, a leasing company itself owns the assets and you are required to return the asset to the leasing company.

Source:- http://ezinearticles.com/?Understanding-Asset-Finance-Leasing&id=529918

Advantages of Equipment Leasing Services

2010-08-27T02:19:00.000-07:00

Leasing is a process by which a firm can obtain the use of a certain fixed assets for which it must pay a series of contractual, periodic, tax deductible payments. With leasing services, your business can get access to all the high end equipment with less investment. Business needs proper equipment to function. You can grow business without investing money from your pocket. Equipment leasing provides funds to purchase them.

There are many advantages of leasing equipment. Some of which are listed below:
1.Purchasing equipment with Lease is more beneficial than purchasing it with cash.
2.It is flexible payment plan which suits your operational requirement and allows balancing of the cash flow.
3.No down payment is required
4.You do not have to invest all to get the best equipment.
5.Leasing provides businesses with beneficial stepped payment plans, custom and flexible terms, and seasonal schedules.
6.Even in long term leases, the lessee has to pay only the same interest.

Lease is an ideal solution for start-up companies. Some companies upgrade their equipment periodically and some cannot afford these costs. But with the help of leasing all types of companies can easily upgrade and maintained their equipment if necessary. Before signing the contract you should make sure that the lease period of the equipment is not longer than the life time of the equipment, and the rent paid for lease should not more than the buying cost. Also make sure that the payment made for the lease is also tax deductible.

Source:- http://ezinearticles.com/?Advantages-of-Equipment-Leasing-Services&id=4888802

You Get What You pay For- Equipment Leasing

2010-08-25T21:00:00.000-07:00

Leasing an equipment is a financial statement and understanding it is just one part of the equation. Take another one!!

Understanding and choosing the best leasing option for your business is another part of the whole equation. The leasing business is growing -With ample number of new businesses and old ones turning to new assets. But the sad point is (not that much sad) that there are few to help to judge a good lease.

YOU GET WHAT YOU PAY FOR- This is true for leasing too. Leasing is a process where you should know your responsibilities as well as the lessor’s responsibilities. So how do you choose the best type of lease for your business?The first thing you can do is search. Shop all the options you can have. You know about the equipment you want to lease, search related to that and compare the options with different companies. There are some basic figures that are included in any lease option. Few of which are listed below:

• Monthly Installment
• Cost of Maintenance Contract
• Training Available
• Customer Service
• Availability for Software and Hardware Support
• Obsolescence Upgrades
• Term of Contract
• Renewal Terms

In case you want to deliver the best possible results to the company overhead, it is better if you set the terms from the outset. And this is beneficial for long- term leases. Apart from above numbered figures, you should be aware of the hidden cost. Try to get the information at up front. Equipment leasing offers great benefits when it comes to business growth.

For more information read http://equipmentleasing.viviti.com

Future of Equipment Leasing

2010-08-19T06:31:00.000-07:00

The future of equipment leasing is firmly hand in hand with business development, small, large and everything in between. Equipment leasing is synonymous with possibilities and what business does not benefit from possibilities? Equipment leasing offers businesses:

Financial Options
Growth or Expansion Options
Business Potential

Financial Options

Businesses need financial capital to grow. Capital provides a business with options from loans to investments. Equipment leasing is tax deductible, whereas initial large investments are deductible the first year but only a percentage thereof is after that. Businesses hire accountants and tax experts to help them maximize their capital. The future of equipment leasing is in the financial options they offer to businesses, large and small.

Growth & Expansion Options

Small businesses and the self-employed may find their growth and expansion options limited without the options equipment leasing can provide them. From construction to accounting to medicine, equipment leasing provides a future for both. The rapid growth industry for equipment lessors is matched only by the needs of lessees.

What a company needs more than anything else is capital to invest not only in themselves, but also their future. Equipment leasing keeps the capital in their pockets and helps physicians, engineers, computer specialists and even writers develop their businesses. The future of equipment leasing is tied firmly to the package that is the American Dream.

Business Potential

While financial, growth and expansion options are definitely part of the future of equipment leasing. There is an untapped source that will find its future in equipment leasing. That source is the business potential in the entrepreneur. More and more business entrepreneurs are leaving the wildly hectic corporate world to start their own business.

When you go into business for yourself, there are a lot of trepidations. First and foremost, starting a business can be a risk for the individual and the family. Equipment leasing can help an entrepreneur minimize their risks, plan for a future and deal with unforeseen eventualities.

Equipment leasing can be the difference between achieving a dream and being stuck in a dead-end job. There is a surge in the growth of small business in the country, specializing in personal services from web building to direct marketing to selling homemade clothing. Equipment leasing can make all those possibilities happen and for fraction of the cost it would take to purchase the equipment outright.

Farmers and Other Opportunities

There's a lot of focus placed on equipment leasing for private physicians, medical practices, construction companies and computer and Internet technologies. Another untapped market that benefits from equipment leasing is farmers that work small and large farm operations. Equipment leasing can keep the small farmer moving on a tractor or helping to rebuild a damaged barn.

Large equipment like tractors, backhoes, ditch witches and scoops are a hefty investment. Farms are a tricky operation and take a lot of backbreaking work and labor investment. When a piece of heavy equipment breaks down, farmers have a choice to repair it or do without. If they can't affect the repairs themselves or afford them, then it is more than likely they can't afford to go out and buy a new one. Equipment leasing would provide the farmer not only with the equipment to get the job done, but also to the maintenance support without the huge output of cash.

The future of equipment leasing is in business, industry and primarily people. It only takes a small investment to get started and that small investment returns the dividends to the lessee as their business and financial opportunities grow.

Source:http://ezinearticles.com/?Future-of-Equipment-Leasing&id=230881

A Brief Look at Equipment Finance Lease

2010-08-12T00:22:00.000-07:00

Equipment lease takes many forms. Equipment finance lease is one of these forms, which differ from the ordinary lease in that, the equipment is bought specifically for the company intending to lease it.

Sometimes you find companies requiring certain equipment. However, due to different factors the company might not be able or willing to raise the capital amount required to cover the cost. Normally a business will not function properly without the necessary capital equipment, which can range from simple office furniture to heavy plant machinery. The company might also need the equipment only for a limited period and therefore purchasing them would be a waste of resources. Finally, there might be some benefits associated with leasing the equipment rather than purchasing them leading the company to opt for the lease. Some of the common benefits that would lead to such a decision include tax benefits and elimination of unexpected repair costs that keep on coming up.

There is also the option to upgrade to new or more advanced equipment if you can afford the new rates charged. This arrangement favors the company because the equipment will not appear in the balance sheet and it will enjoy the benefit of no depreciation. This makes it quite different from the equipment finance lease, which allows one to claim depreciation, running costs and interest payments from the running costs of the business.

Source:- http://ezinearticles.com/?A-Brief-Look-at-Equipment-Finance-Lease&id=4669997

USED EQUIPMENT

2010-08-06T05:32:00.000-07:00

Whether your company is well established or just starting out, sometimes it makes sense to buy used equipment... like when it's just too expensive to buy new. Or when you discover a used vehicle in mint condition or a sturdy piece of pre-owned equipment with years of service left in it.

Now you can take advantage of those deals when they come along without cracking open the piggy bank or blowing the budget. You have a better option: used equipment financing from LFC.

What would happen if suddenly an important piece of equipment broke down, got stolen, or otherwise became unavailable for use? Could your budget sustain a major hit like that? Would the bank be able to help you with a loan fast enough?

A quick source of used equipment financing would allow you to replace that item and get back to work within days. Used equipment leasing from Landmark is the fastest, most budget-friendly financing you can get:

Credit applications are approved in as little as 24 hours, much faster than banks.
Monthly payments are easier when you buy used equipment.
Flexible repayment plans can be customized to your financial situation.
Collateral programs are available.
Used equipment leasing frees up cash for other expenses.

So now you know all the good reasons to consider used equipment finance and lease programs.

Source:- http://www.lfcinc.com/services/used.php

Bad Credit? Need Heavy Construction Equipment? Try Leasing!

2010-02-07T20:54:00.000-08:00

You've begun a new chapter in your life. Things are looking up and nothing could be better. That little black area in the center of your eye where your pupil used to reside, now houses dollar signs. Imagine this-you're a contractor and everywhere you look you see money. From the dilapidated store front of the neighborhood shoe store to the water damaged roadways to the empty lot next door to your office, you see potential. It may be in the form of that new building that will soon be erected on that empty lot next door to your office. It might be in the form of outbidding all the other contractors and scoring that tenant improvement job for the neighborhood shoe store. You get the idea-all you have to do is open your eyes and there is potential business. Your potential business!

There's one catch. You've exhausted most of your cash reserves and most of your available credit, but you still need that one essential piece of heavy equipment. "How do I get my hands on it", you say. You've got your hands on the wheel and your foot on the gas pedal as your truck hums down the road and you think to yourself-"Credit-wise, I've done some damage & I don't have much cash for a down payment". You go motoring by the neighborhood coffee shop (by the way you notice that the coffee shop is in need of a T.I. job too) on your way to the office and again you think-"How can I get that piece of equipment now that my credit is bad"? The answer is simple, try leasing if you've got bad credit.

As always, it is better to have strong credit, but if that's not the case there is hope. When you start a business, it's not out of the ordinary to run into some credit snags. This is especially true for contractors. Sometimes clients don't pay up for 60, 90, or even 120 days. It takes cash to keep your business going. That's the beauty about leasing. You don't need to put nearly as much money down as you would if you were buying that same piece of equipment and using a traditional loan. Not only does leasing require a smaller down payment, but the credit requirements are not as tight as they would be for a bank loan.

What happens if you go to the bank and apply for an equipment loan and they pull your credit and your FICO score is 599, 550, 500 or 450? What if you've only been in business for 14 months? The answer is, you don't get that loan. If this has happened to you, try leasing. The credit and down payment requirements are much more contractor friendly than your local banker's requirements.
Make no mistake; leasing isn't just for those that have credit challenges. If you're credit is good or even excellent, try leasing. There are significant tax advantages to leasing your heavy equipment that can far out-way that of a bank loan.

Source:- http://ezinearticles.com/?Bad-Credit?-Need-Heavy-Construction-Equipment?-Try-Leasing!&id=933832

Business Equipment Leasing vs Buying - Why One Choice Is So Much More Profitable

2010-01-31T22:56:00.000-08:00

A common mistake that many first time business owners make is choosing to buy their businesses equipment with a bank loan. In fact, a lot of business owners don't know that there is any other way to get equipment other than buying it. However, those who are seasoned in business know that equipment leasing is by far the more economical choice for a variety of reasons:

How Leasing & Financing Saves Companies Money:

-Lease payments are tax deductible

-Trade in outdated equipment for brand new equipment

-Always have the most productive equipment

-Tax write offs for full depreciation

-Deferred payment options

When you buy equipment with a bank loan, you're stuck with it while it loses value and productivity. When you want to purchase a new piece of equipment, you've first got to find a buyer for the old equipment, most likely taking a loss on the sale, and then get another loan for the new equipment and begin the cycle again.

In the world of business, where productivity and innovation are critical, it just makes sense to ensure that you have the opportunity to upgrade your equipment quickly, easily, and without added cost. While buying and selling can be a cumbersome and expensive process, leasing allows a company to rapidly grow and innovate.

How to Find Business Equipment For Lease

Finding the best deals on equipment leasing for your particular need is really a numbers game. The more you shop around, the better the deal you're likely to find. There are a few things to consider when shopping equipment leasing companies:

-Payments

-Leasing terms

-Conditions

-Approval time

-Option of payment deferral

Finding the company with the right match of criteria for your particular business needs can mean the difference between struggling each month and having plenty of flexibility to grow your business the way you desire.

Instead of attempting to track down and comparison shop scores of leasing companies, most business owners rely on leasing brokers to find the best deals out there for the type of business equipment they need at terms that are idea. Leasing brokers don't cost YOU any money, their earnings come from the company leasing out the equipment.

Choosing a Broker

Because there may be monetary incentives for an equipment leasing broker to steer you in the direction of a particular equipment leasing company, look for equipment leasing brokers who are willing to provide you with multiple options from which to choose. This allows you to compare the terms and conditions of multiple qualified companies, without having to do the time consuming legwork to get the quotes in the first place.

You'll want to look for an equipment leasing broker that works with a large network of leasing companies. The real value of going with a broker is that they know the industry inside and out and have the contacts to quickly match an equipment leasing company to your needs.

Source:- http://ezinearticles.com/?Business-Equipment-Leasing-vs-Buying---Why-One-Choice-Is-So-Much-More-Profitable&id=691301

Dental Equipment Financing

2010-01-24T21:58:00.000-08:00

Of late, dental equipment has become more sophisticated and requires the use of all latest technologies. dental equipment financing is the most sought after option for most dental clinics and institutes as most industry equipment is extremely expensive.

The success of dental equipment relies highly upon the advanced dental equipment. Hence dental equipment leasing/financing is not an expense but an investment. Nowadays computer technologies have been included to detect the problems in mouth. These advanced technologies increase the cost of the l equipment and so many institutes look for financing/leasing.

Air and vacuum system help in certain dental works. It helps in keeping the mouth of the patients clean. The vacuum system removes water and fluids from the patient's mouth. The compressed air system helps to power the equipment. In olden days, these two purposes were served by two different devices. But now they are combined to form a compact single device. However this equipment is expensive and thus financing/leasing is often a sought after option.

Dental tables are important for any dental clinic. They perform the similar functions of dental chair. This is particularly useful in veterinary clinic to assess the dental health of animals. Tables are essential in such clinics as it is not really possible to place the animals on chairs. However the equipment is quite pricey and so dental table leasing/ financing is often essential.

Dentists require adequate lighting system to diagnose the dental health problems in a patient's mouth. The lights need to be adjustable to show the patient's mouth clearly. The light system offers invaluable service in a dentist's clinic and so it is essential to acquire this expensive equipment. The light system equipment can be easily purchased through leasing/ financing.

Dental chair in a dentist's clinic helps to diagnose the dental health issues in the patient's mouth. The height of the chair can be adjustable and can support even the heavy weight patients. It also comes with extra features like overhead lights, hydraulics, patient sinks and so on. These extra features are added to the cost of the chair thus making it extremely expensive. Hence many dentists look for dental equipment financing to acquire dental chairs.

Examination room equipment which is essential in a dentist's clinic includes dental chairs, overhead lights, office furniture, LCD screen and other equipment that assists in examining the patient's mouth. Dental examination room equipments can be pricey and thus call for help of reliable financing companies.

There are some genuine leasing companies that have vast experience in medical equipment financing/leasing. They can understand the need for dental equipment in a dental clinic and are willing to provide financing for the dental equipment at low interest rates. It is easy to apply for the desired amount. Even an online application is enough to acquire the financial assistance from them. They process the application immediately and provide fast approval of the amount. Since dental equipment is indispensable in the dentist's clinic, it is often advisable to go for financing/leasing to acquire the necessary equipment.

Source:- http://ezinearticles.com/?Dental-Equipment-Financing&id=1192873

Heavy Equipment Leasing

2010-01-17T23:03:00.000-08:00

When it comes to heavy equipment leasing, it’s always good to know what kind of equipment you are planning to lease. Associations, such as medical associations are always looking for heavy equipment. Heavy equipment can contain such items as MRIs, CAT scanners, and CT scanners. This heavy equipment will help with the ever growing need for medical healthcare in an ever changing world. Different equipment leasing programs will offer different rates, incentives, and leasing options for hospitals needing different equipment. These programs are also helpful in leasing out equipment to other countries truly in need of the machines for people who are desperately in need of healthcare.

Industrial programs also need heavy equipment leasing because getting important equipment for industrial business is very important for growing companies. You can provide be services like trucks and tractor trailers. Tractor trailers are extremely important in delivering products to the masses. Selling products is the key to business and with heavy equipment leasing it’s always easy to get the best vehicle at the lowest interest rate and the best price. Industry is driven by product sales, and your business can profit from having good men behind the wheel of a decently priced truck delivering your products across the nation. Companies can help in getting your business to the next level with the proper trucks and industrial equipment.

It’s sometimes difficult to support a farming lifestyle or a farm equipments, but with these kinds of leases it’s easy to eventually own your own equipment or even lease it out temporarily. With lowering interest rates it’s never been easy to farm in the United States. It’s always best to consult the bank when getting the best loan and finance rate, and make sure you speak to a dealer.

In today's fast pace world it can definitely be difficult to start a business, manage a hospital, or even own your own piece of equipment for freelance work. With leasing plans it’s easy to own your own equipment as well as to be able to start your own business. Make sure to consult calculators, consultants, and dealers putting together a lease proposal for your next piece of heavy equipment. Financing is also available for those who qualify for these leases; always giving a fair finance plan is the policy of many different equipment dealers. It’s easy to get the best name brands in farm, medical, and heavy equipment.

Source:- http://ezinearticles.com/?Heavy-Equipment-Leasing&id=1207626

Investing in Used Medical Equipment is a Wise Choice

2010-01-13T21:52:00.000-08:00

Can you remember how much you spent on the most expensive item you have every purchased? For most people this is a house or a car and, because of the multi-thousand dollar price tag, one has to spend several years making the payments. Purchasing a house is one thing, however, but furnishing it is another! The price for furniture for your living room, bedrooms, and bathrooms adds up very quickly but all of us would agree that they are necessary investments. Owning a house would not do you much good if you did not have any items with which to furnish it! The same goes for a business. An office would do very few people any good if there were no computers, desks, or a coffee machine. The one building that would not survive without any equipment, however, is a hospital. If you thought furnishing your home was expensive, then you should be glad you do not need to equip a medical facility!

Hospital machines are incredibly expensive. Due to the high prices, many clinics and hospitals purchase used medical equipment at the beginning. An electrocardiogram machine (EKG) averages about $5,000. When you consider that a hospital needs at least one of these machines for every patient, the numbers skyrocket immediately! The more specialized machines such as an MRI, magnetic resonance imaging machine, cost a good deal more. When you add in price of purchase, consultation, delivery, installation, and training fees, machines of this caliber often end up costing around one million dollars.

In order to save costs, clinics will try to find refurbished medical machines. These pieces usually come from clinics or hospitals that are closing down or growing smaller due to fewer patients. Instead of throwing out perfectly good used medical equipment, these machines are taken to specialized technicians who know how to repair them. Once a machine is thoroughly checked over and all the necessary repairs have been made, they are often in better shape than they were before! Hospitals can receive amazing discounts on these pieces of equipment and they help the environment by recycling these used machines.

If you are interested in finding refurbished machines for your practice or clinic, do some research online. You can save thousands of dollars and have quality equipment that will last you for years.

Source:- http://ezinearticles.com/?Investing-in-Used-Medical-Equipment-is-a-Wise-Choice&id=1680126

Heavy Equipment Leasing Advice

2010-01-03T23:28:00.000-08:00

If you are considering leasing the heavy equipment that you need for your business – you are not alone. The majority of heavy equipment that is in operation today was obtained under a leasing agreement. Leasing your heavy equipment can allow you access to the equipment you need without being out a huge amount of money upfront. Heavy equipment leasing also has great tax ramifications – in certain instances you can deduct the entire expense of leasing as a business deduction, or either deduct the interest your pay and the depreciation of the piece of equipment to reduce the amount of tax you owe each year. Leasing your heavy equipment can also give you the ability to acquire updated equipment as technology is upgraded.

No matter what size of business you are operating, heavy equipment leasing can be a great way to obtain the heavy equipment that your business requires without a huge investment of your own capital. Having the right heavy equipment in place can go a long way towards maximizes both your profits and your business’ productivity. Educating yourself well in advance of going into an equipment lease about the type of heavy equipment would best suit your needs and what leasing options are available to you will help ensure that you are pleased with both your choice of equipment and your choice of leasing companies.

By getting to know your equipment options, you will be better able to make a determination of what type of heavy equipment leasing option best suits your needs. Have several different machines and models in mind, and compare the pros and cons of each. Keep in mind that price does not always determine the quality of the heavy equipment that you are interested in. Research the safety features of each model, and the frequency of repairs that the model of heavy equipment you are looking at is historically known for. By comparing several models, you should be able to eliminate those models that have options or features that are not needed for the proposed applications and uses you have planned for the heavy equipment – and therefore reduce costs.

Once your heavy equipment wants and needs have been established, you can move on to determining how much money you want to be out, what type of leasing you will obtain and what the lease will cover, and also how you will fit your lease payments into your any budget you have established. You should look for a leasing company that gives you the flexibility of being able to change your leasing agreement if your business needs and requirements change – including leaving open the options to pay out of your heavy equipment lease earlier than anticipated if needed without paying penalties and fees. It is best practice to only deal with companies that have great customer service and who want to work with you to find solutions to your business needs that you can afford. You should also deal only with leasing companies that are easily reached by telephone, both before and after you sign your heavy equipment lease.

Source:- http://www.setthestageforsuccess.com/articles/24808/1/Heavy-Equipment-Leasing-Advice/Page1.html

What is a Commercial Leasing Agreement?

2009-12-31T01:57:00.000-08:00

It is responsible for hitting the right audience market. A company, who takes the option for commercial leasing must consider the advantages of having it.

Now when you have thought of it, it is crucial to understand, practically and legally speaking, the oceanic depth of commercial leasing. These are long- term bindings. There are few points that you should know about any lease. These are:-

Lease Term
Security Deposits.
Terms and Condition for the return.
Option to renew the lease
Additional payments including taxes, utilities and maintenance.
Maintenance of the premises
What is the process for lease termination, if circumstances force?
Are there any disputes?

The next big thing that comes into picture is the for used medical equipments. It is a thorough written document (a legally one) between a Lessor of a property and a Lessee. A Lessor is the owner and Lessee is the one who want to have temporary possession for a certain period of time in exchange for money paid. A store, office, industrial and commercial buildings are covered under this. It has no pre-defined form. It all depends upon the Lessor on what terms and conditions, he wants to put the lease in front of the lessee.

There are few common fields of any commercial leasing agreement:-

The address of the property.
Start and termination dates of the lease.
Signatures and names of all parties involved.
Mode of payment (installments, if any).
Lease amount.
Provision of lease renewal of the lease.

These leases are made in such a way that the obligations, rules and conditions are followed by both the parties. It is a contract that makes

Lessee to pay the lease amount on time
Lessor to allow changes in the leased item.
Lessor and Lessee to understand and follow the conditions related to the lease.
Complete details of the both parties.
Important dates related to the lease.

The agreement should be efficiently and skillfully made. If it is agreed upon by the two parties involved. There is hardly any chance of having legal problems. The implementation will be successful.

Sanjana Sharma is the author of this article. For more information about used medical equipments, commercial lease, commercial finance, equipment lease calculator, used medical equipments please follow this link medical equipment lease.

Source:- http://www.articlesbase.com/investing-articles/what-is-a-commercial-leasing-agreement-1644483.html

Types Of Trailers Available For Rental Purposes

2009-12-20T22:57:00.000-08:00

Trailer rental offers a low cost budget ride for moving large items that cannot be accommodated in your car. It is a great option in lieu of expensive truck rentals, purchasing a trailer itself or leasing a truck to haul your belongings. Trailer generally refers to vehicles that are used for transport of goods and materials. There are different types of trailers available depending upon the size and requirement of the customer.

Travel trailers: These are also called recreational vehicles (RV).This type of trailer provides temporary accommodation for living, travel or recreational use. There are two types of travel trailers mainly

Towable RVs: Towed by vehicles like auto, van or pick-up truck. They have all living facilities like kitchen, electricity, water, bedding etc.
Motorized RVs: This type of travel trailer is an integral part of a self-propelled vehicle that combines living and transportation into one.

Semi- trailers/ Semi-trailer trucks: This type of trailer is used for commercial purposes. Their carrying capacity is big and requires a car, van or truck to tow it.

Open trailers: This type of trailer is used for disposing off the materials. It is not used for materials that can break but instead for big machines and equipments like farm equipments, medical equipments.

Motorcycle trailer: This type of trailer is used for towing motor cycles or any two wheels. This can be towed behind trucks. Such trailers may be open or enclosed. This depends upon the size range and the carrying capacity.

Tanker trailer: This type of trailer is used for the transportation of liquids that are highly inflammable such fuels. While transporting the liquids, these trailers require extra caution.

Trailer pushers/ Powered trailer mover: This type of trailer is used for lifting on one end before maneuvering. Mostly, it is capable of lifting boats, trees, Cars or any equipment trailer.
Flatbed trailers: This type is used to transport very heavy materials. To load or unload the material on to the trailer, one requires a crane. One has to be very careful while using flatbed trailers.

Trailer winches: This type of trailer is mainly used on ports for loading and unloading of materials to and from the boats.

Van semi trailers: This type of trailer is used for transporting small machines that require care.

Livestock trailer: This type of trailer is used to haul livestock such as cattle and horses. They are designed in such a way that it has openings at approximately the eye level of the animals to allow ventilation.

Before you rent a trailer, apart from the type and size of the trailer what matters are the weight, the length and height of the trailer.

Source:- http://www.articlesnatch.com/Article/Types-Of-Trailers-Available-For-Rental-Purposes/860824

Medical Equipment Acquisition and Leasing

2009-12-14T20:00:00.000-08:00

There are a wide range of options that healthcare providers can utilize to acquire much-needed equipment. This article summarizes these choices and offers advantages and disadvantages to each option.

Options for equipment acquisition:

1. Cash Payments
This option assumes that there is enough cash available.

Advantages:
* It's simple and quick.
* Everybody accepts cash
* Cash purchases minimizes paperwork and may help reduce purchase price.

Disadvantages
* It's generally not a good use of funds because it ties up much needed capital that can be utilized in other profitable ways.

In today's market, you can often obtain a yield on your money in excess of the interest charged for financing the equipment purchase. The only rationale for paying cash for the purchase is if your funds are in a low-paying account whose yield is less than the interest on a loan or lease. In that case, taking the funds from a low-yield account in order to avoid paying 9% or 10% is a sound financial decision. Of course, having significant funds in a 3% account is not wise cash management.

2. Financed Purchase
In this method of purchase, a lender provides funds for the purchase and generally obtains some form of lien or other encumbrance on the equipment until the funds have been repaid.

Advantages
* It does not deplete cash flow. Usually a 10% to 20% down payment of the total purchase price is required. In many cases, the income generated by the equipment can exceed the payments.)
* Funds not expended for a cash purchase can possibly earn a higher-income yield than the interest rate of the loan.

Disadvantages
* Interest rates may be high.
* The down payment may be high.
* The equipment is encumbered by a third party unless the funds are borrowed from a source other than a financial institution such as a pension fund.

3. Leasing
A lease offers an alternative to traditional financing. With a lease, the equipment is owned by the leasing company. The practice makes payments to the leasing company in exchange for being able to use the equipment (i.e., essentially rental payments). Leases can be closed-ended, in which case the leasing entity retains the equipment at the end of the lease term. There are also open-ended leases, where at the end of the lease term a predetermined amount is paid to the leasing entity, and the practice attains ownership of the equipment.

As a general rule, the higher the residual value (balance owed) at the end of the lease, the lower the monthly payments.

Advantages
* Generally little or no down payment is required.
* Leases are often supported by the equipment manufacturer, which can lower the interest rate or the residual payment (the amount required to attain ownership of the equipment at the end of the lease term).
* Equipment leasing can give you the ability to obtain more purchasing power from a given amount of available cash.
* Sometimes equipment becomes obsolete in a relatively brief period of time. A closed-ended lease may allow you to use the equipment during its useful life and return it to the leasing entity at the end of the lease term. This arrangement could result in lower total expenditures than an outright purchase would have required.

Disadvantage
* In general, more interest is paid than in any other form of acquisition.

Other Leasing Considerations

1. Trade: An equipment manufacturer may have a lease program that makes it easy for the lessee to upgrade. The program can make sense for the lessee if the lessor grants significant credit for the older equipment. This can alter the calculation of the best option for acquisition.
2. Supported Leases or Financing: An equipment manufacturer may support the interest rate of a lease or financing plan. They may lower lease payments by increasing the residual value of a closed-ended lease. Again, these special offers may significantly alter the assessment of the best acquisition option.
3. Purchase Price: No matter what financing option you choose, do not ignore the purchase price. Negotiate your best price before you evaluate financing. Do not fall into the trap that automobile dealers have used for years. You should always start with the purchase price and then move to the terms (whether lease or purchase).
4. Beware of the lease that's not a lease. The Internal Revenue Service may consider an open-ended lease with a purchase option to be a purchase contract rather than a lease. The impact of this is that the lease payments may not be deducted as expenses. instead, the equipment will be capitalized and depreciated. Have your professional financial advisor evaluate the financing contract to assess your level of risk.
5. Each Transaction Is Unique: Each piece of equipment you are considering for acquisition must be evaluated in the context of the following:
a. Purchase price
b. Projected useful life of the item
c. Your current cash position and monthly cash flow
d. Your current and projected future tax position
e. Financing incentives offered by the vendor
f. Careful evaluation of the lease or financing contract to ensure that it meets the requirements for the method you plan to use to report the equipment in your tax filings
g. Any other considerations required by your expert financial and tax advisors
Discussion
In today's financial and tax environment, many of the factors that favored one type of financing over another have disappeared. What remain are the purchase price and financing terms, whether the transaction is called a lease or a purchase. Keep in mind that today's market may not be as good as it was in the past. In the final analysis, you may find that purchasing is cheaper than the interest cost on a lease.

For equipment that you anticipate retaining at the end of the lease or financing term, you must evaluate several factors. The purchase price, down payment, monthly payments, and total payments are key. These factors can be impacted by incentives from the vendor, but ultimately the same evaluation needs to be done

If you are just starting out, your current cash position may dictate that you finance the equipment. Remember to get advice from a professional lease broker to help you sort out the details of the equipment lease.

Source:- http://www.content4reprint.com/finance/leasing/medical-equipment-acquisition-and-leasing.htm

10 Tips to Renegotiate and Restructure Equipment Leases and Loans

2009-12-07T20:59:00.000-08:00

If your business cash flow is tight and you need some breathing room, consider restructuring your equipment leases and loans. It is always possible to negotiate your existing equipment leasing contracts. The biggest reason leasing companies don't change contract terms is because they are never asked to make modifications. If you don't ask, you don't get.

Here are 10 tips to renegotiate your equipment leases and loans.

1. Call the leasing company if you are behind in making payments. Keep communication lines open.

2. Avoid late payment penalties. They can be as high as 10% of the lease payment. They add up quickly and are cumulative.

3. Negotiate late payment penalties if assessed. Sometimes leasing companies will forgive them if requested as long as paying late has not been standard practice during the entire lease term.

4. Be proactive, not reactive, in the restructure process. Have a plan. Make sure your financial statements and tax returns are ready to support your refinance request. Lenders will want to see your most recent year-end tax return and a current interim statement with comparative periods for the previous year's performance.

5. Discuss the possibility of restructuring the payments. Options may include lowering payments by adding months to the end of the finance term. Support the longer term with information regarding the equipment useful life.

6. Propose an interest only payment option for a few months to get through a tight cash flow period.

7. Deal with a leasing company manager or bank officer. The customer service person is instructed to say, "We do not restructure leases."

8. Know your contract options. This means read your current lease contract document cover to cover. If pages are missing, request that they are sent to you.

9. Understand what will put your lease into default. Often a default on one lease schedule means that all leases with the same financial institution will go into default too even though they are paid on time. Understand that a lease default will be very expensive.

10. Refinancing and restructures usually come with fees. The fee should be less than one-half percent of the total amount of the equipment acquisition cost.

Source:- http://ezinearticles.com/?10-Tips-to-Renegotiate-and-Restructure-Equipment-Leases-and-Loans&id=3262560

Different Types Of Medical Equipment

2009-11-25T21:25:00.001-08:00

In the health care industry doctors and other professionals use several different types of medical equipment on a daily basis. A lot of money goes into purchasing quality, durable medical equipment, and knowing more about these different pieces of equipment can help people feel more comfortable when they go to a hospital and are treated with this equipment. The following paragraphs describe some of the most popular types of medical equipment used in hospitals and other health care facilities, including diagnostic, therapeutic, and life support equipment.

Diagnostic equipment is used to help doctors diagnose diseases and other illnesses. Types of diagnostic equipment include ultrasounds, PET (positron emission tomography) scanners, which use a camera and tracer fluid to look at images of organs and detect things like cancer, and CT (computed tomography) scanners, which use x-rays and dye to examine internal organs. Diagnostic equipment also includes MRI (magnetic resonance imaging) machines, which are used to take pictures of organs and structures inside the body. MRIs are used to detect tumors, internal bleeding, infections,injury, and blood vessel diseases.

Other types of medical equipment include therapeutic equipment, which include medical lasers that are used to perform a variety of different types of surgical operations, and LASIK surgical machines. Infusion pumps are also considered a type of therapeutic equipment that infuse the circulatory system with any nutrients or medication that the patient needs.

Life support equipment is used to maintain the function of a patient's organs and includes medical ventilators (which are used to move air in and out of the lungs of person who is unable to breathe or who is breathing insufficiently), anesthetic machines (which are used to administer anesthesia during surgeries), heart-lung machines, and ECMO (extracorporeal membrane oxygenation), which is a machine that removes blood from the body, adds oxygen to the blood, removes carbon dioxide, and puts the blood back in the body. Dialysis machines, which help remedy kidney failure, are another type of life support medical equipment.

Of course, these are only a few types of medical equipment found in health care facilities.But these are some of the most common types of major medical tools used to help diagnosis, restore, and maintain patients' health. Knowing more about the different types of medical equipment that doctors use can help patients feel more comfortable and more confident when they visit a hospital or other health care facility and are treated with this equipment.

Source:- http://www.articlesnatch.com/Article/Different-Types-Of-Medical-Equipment/814007

4 Advantages of Equipment Leasing For Small to Mid-Sized Businesses

2009-11-22T21:19:00.000-08:00

Smart business owners are using equipment leasing to better leverage their capital. Did you know that 8 out of 10 businesses in the US now lease some or all of their equipment? (source: ELFA) The reason is because leasing has some key advantages for many businesses compared to purchasing equipment.

Here are some of the top advantages:

1) Convenience: With an leasing company you will NOT need to have years of banking and credit history and a detailed business plan (like typical bank financing). This means you will get the equipment you need faster and with less hassles. Additionally, with an equipment lease you will be able to finance the costs of delivery, installation, service and maintenance.

2) Significant Tax Savings: Your monthly lease expenses can be deducted as a part of the current year, rather than being depreciated over several years as is the case with equipment purchased with a loan. Of course, you'll want to talk to your accountant to get professional advice on the best tax saving strategies for your situation.

3) Improved Net Worth and Business Financial: Equipment purchased with a loan is considered a debt; whereas, monthly payments made on a lease are considered an expense. Because of this, equipment leasing services can be a smart financial move for many companies.

4) Access To The Best In Breed Technology and Equipment: With the acceleration of the speed of innovation and technology, making a long-term purchase can handicap a business. The equipment leasing option will allow you to upgrade your systems and technology every few years.

And perhaps the most compelling reason of all is that equipment leasing allows you to grow your business without significant out-of-pocket expenses. It gives you the flexibility to capitalize on trends and opportunities so you realize greater market share and profits.

Is equipment leasing right for your business? Ultimately, only you can decide. But, it is an option more and more business owners are seriously considering.

Source :- http://ezinearticles.com/?4-Advantages-of-Equipment-Leasing-For-Small-to-Mid-Sized-Businesses&id=2842173

Used Construction Equipment Tips

2009-11-18T23:21:00.000-08:00

Used Construction Equipment is a good way to get into a piece of equipment that you need for your business. Similar to when people purchase cars there are a lot of people out there that will only purchase used cars instead of new cars there are contractors out there that only look for used machines instead of new machines. Just in the case of when looking for a new car there are some really good used cars to buy and there are some bad used cars to buy. This is the same when looking for a used piece of construction equipment. If you are in the market for a used machine there are a few tips to remember before you make a large purchase.

The first step is look at who you are purchasing the machine from. There are a few different places to look for used equipment from. One of those places is an auction house. A lot of people are keen on auctions because the equipment leasing prices are usually extremely low. However, there is a bit of caution in this method as there is little time to do homework on the machines up for action. You run a great risk of buying a machine that has a lot of problems that will be discovered after you already own the machine. There are some auctions that post the equipment up for auction before the auction which may give you some time to do a bit of research. There are a lot of people who have great luck with auction equipment so know that is a viable option for purchasing used construction equipment.

Another option is to purchase used machines from your local equipment dealer. You may pay a little more than at an auction but you will also get a chance to really research the equipment that you are purchasing and even get a chance to run it. There are also equipment dealers that will certified used machines that put a limited warranty on them so after you purchase you are covered for a period of time from any unwanted problems. Sometimes these equipment dealers also have all of their used construction equipment online so you can browse without ever having to leave your office.

No matter if you are looking for a large mining truck or a small excavator, purchasing used can be a good option in the right situation. Make sure to do some homework to see what will be the best option for you and your business.

Source: http://ezinearticles.com/?Used-Construction-Equipment-Tips&id=3214052

How To Lease Dental Equipment?

2009-11-16T20:11:00.000-08:00

The expense of dental care is going up and the economy is out of sorts and therefore patients are waiting before going to the dentist. This means dentist need to make the best use of their equipments.Still, a dentist has to have equipment like dental chairs,lab equipment, and dental x-ray machines.

He or she can lease through his or her corporation so that it doesn't affect their personal credit. He'll save money because leasing down payments are much lower than bank loans.The payments are made through a payment term, which is tax deductible. When the equipment arrives, make a thorough inspection and test it. After you sign for it you are under contract.

Make sure all personnel are careful with the equipment as you pay for maintenance. According to the lease's terms you have to make the payments whether you take good care of it or not and no matter what condition it is in. But you usually can upgrade at a minimal cost.

It is hard because of advances in dental technology to equip a dentist office with the latest tools. But dental equipment leasing can be a good alternative to buying. Here is the information you should be aware of before you sign a dental equipment-leasing contract.

* The leasing company should have the choice of the most current technology and older equipment that is usable. Look at the inventory compilation and note if the company stocks what you want. Speak with a customer service person and learn the age of the equipment and the length of time they keep stock before changing out to newer models.

* After you've verified they have current technology, look the inventory over and find out if they have the various pieces of equipment you'd like to use in your office. A dental leasing company can't have every piece of equipment there is, the company needs to have what you desire to use.

* Find out what the companies credentials are before you lease. A lot of dentists don't check this out, but it is necessary to make sure the equipment will work and meets safety standards. Find out if they have a license and insurance.Are they listed with the BBB?

* Verify that they give good customer service. You'll be talking with them and doing business with them regularly. So you need to make sure the dental equipment leasing company you choose gives good customer service. Does the customer service representative call back promptly and is the representative friendly? Can you contact by phone, fax, and e-mail? Does the rep solve the problem quickly? Are maintenance service packages included?

* Examine the leasing costs of the dental equipment leasing for all the companies you are considering leasing from. This includes the price for the equipment, administration costs, delivery, inventory, and maintenance. It also pertains to your supply costs for operating and maintaining your leased equipment.

Go over your checklist, find good dental equipment leasing company and you can get your dental office started or update your equipment for less.

Source:- http://www.articlesbase.com/business-articles/how-to-lease-dental-equipment-943654.html

Equipment Leasing - Get Tax Benefits

2009-11-09T20:04:00.000-08:00

Equipment leasing is the best option when you really are in need of a particular equipment and do not having enough money, or in situations were you don't want to spend money from your working capital to purchase the same. Equipment leasing is increasingly popular the world over and almost all companies big or small are offering equipments on lease for their clients to remain in front of the competition without sacrificing their working capital. Moreover, through equipment leasing one can easily reap tax benefits.

The advantage of a lease is that it can provide you with total finance and better terms and conditions than conventional loans. There are many financial advantages and tax benefits of equipment leasing. The main advantage is that equipment leasing helps you to obtain valuable resources at minimum expenditure, which means most of the equipment leases demand only a small deposit as down payment.

To reap the maximum tax benefits, you must have a thorough understanding of the difference between leasing business equipments and purchasing them. IRS rules state that if what you had shown as a lease is a provisional sale or the repayment of an installment, then you are not eligible to enjoy the benefits of tax deductions.

In equipment leasing obtaining tax benefits is of much importance, because a lease payment is usually considered a rental expense and is therefore totally deduced from the total tax amount you're required to pay. This is also because the lease payments are paid with pre tax dollars. A commercial equipment lease will not be added to your personal credit which will help you a lot to opt for loans for your other needs. Equipment leasing also protects against inflation. The payments are fixed without considering the changes which may occur in the future market, helping you to be more flexible with your budget.

In short, equipment leasing helps you provide instant responses to the requirements of the market your business caters to. The end result is obviously higher earnings.

Source :- http://www.aaaequipmentleasing.com/Equipment-Leasing-Get-Tax-Benefits.html

Computer Equipment Financing With A Lease

2009-11-06T02:37:00.000-08:00

Computer equipment financing is a good solution if you need computer equipment today but cannot come up with the cash at that moment that you need it. A company that offers computer equipment financing often requires a large up front payment that is sometimes hard for many people to make. However, financing computer equipment has become more and more normal as time passes. Leasing computer equipment for financing is an option that more and more people are discovering is in the long run convenient and cheaper than traditional financing through credit with interest.

People are leasing computer equipment to help with computer equipment financing because the lease is 100% tax deductable. Lease payments are usually a pre tax operating expense. 100% financing is another one that companies offer to help consumers get their hands on the equipment that they need. Preserving your working capital and credit lines is a good alternative to financing computer equipment the traditional way. A large giant payment like you would find at the rent to own stores is usually not required for equipment leasing. Software, delivery, installation, setup, and sales tax can all be included in your payment schedule.

Many people also love the flexibility that comes with the option to buy, rent, or lease computer equipment. You will never own old, outdated equipment, once you are in an agreement with the seller. Many times you can combine many pieces of computer desktop equipment. The store will still only charge you the flat rate + shipping, which is almost always cheaper than the brick and mortar stores that house computers still from the 1990s.

There are many ways that computer equipment financing can help you get your hands on the stuff that you need for your computer. The simplest way is to go buy the equipment outright, but this is many times not a reasonable option. Leasing a computer allows you to keep up with the latest technology, because with computer equipment, it can all become obsolete only months after it is bought. During your computer equipment financing, if a new version of the equipment becomes available, you can bring in your leased equipment and begin a lease on new, advanced things.

There are even some companies that will let you trade up during your lease, which is a big perk because when you are able to do this, you don't have to start all over from the beginning of a new lease. You simply pick up with the new computer equipment financing right where you left off. This also means that the money that you had already paid towards the old equipment hasn't gone to waste, and will provide you with a credit with your new computer equipment financing.

Source :- http://www.articlesnatch.com/Article/Computer-Equipment-Financing-With-A-Lease/399450

Specialty Equipment - Lease Financing

2009-11-02T20:33:00.000-08:00

Many times the chores of finding an Equipment Loan can be as involved as getting a Commercial Mortgage Quote. For this reason, more and more companies are using the services of a Business Equipment Leasing Specialist to streamline the process. Every business uses equipment of some sort. Gyms use Gym Equipment, Construction Companies use Construction Equipment and nearly every business uses Computer Equipment Leasing from time to time.

But don't brokers cost money? Generally speaking; NO. Most time the Commercial Equipment Financing Broker will be set up with many different lenders and will be paid by the lender the Equipment Lease Financing ends up with.

On some complicated deals there may be a retainer requested by the broker to cover their expenses while they are working for you, but if your deal is relatively simple like Gym Equipment Leasing for products like a Treadmill or Weight Lifting Equipment you can expect there not be an upfront fee. If you are looking to finance a very difficult transaction with equipment that is very unique, then the broker may ask for a fee up front as there will be extensive work in placing your loan. Similar to a Business Mortgage the amortization period will vary. In Business Equipment Leasing the term is usually from 1 year to 10 years depending on many factors including the industry, age of the equipment, the credit list goes on.

In your quest for the Best Business Equipment Financing you can expect to have to fill out a Commercial Loan application which will generally include a Personal Net Worth Statement. The application will use your business credit information as well as your personal credit information. You will need to supply up to the last 3 years of financial statements as well as your interim financial. All this information may not be needed for your Equipment Lease Financing but you should be prepared to furnish it.

Source :- http://ezinearticles.com/?Specialty-Equipment---Lease-Financing&id=2138113

Difference Between Computer Rental and Computer Leasing

2009-10-30T03:04:00.000-07:00

If you have a need for a computer for your home or business, but cannot afford to buy one outright, you have two basic options: you can rent a computer or you can lease one. While these two options may seem very similar, there are actually major differences between renting and leasing. Both are convenient, but for different situations. Understanding these differences will help you choose the best option for your needs.

What Is Renting a Computer

Renting a computer is a lot like renting a car. This is usually done for a temporary and short need for a computer. You pay a fee, which is far less than the cost of actually buying a computer, and are given a computer to use. This can be just one computer or it can be a complete network, depending on your needs, but you will only be using the equipment for a short period of time, ranging from a few days to a few months.

When Renting a Computer Works Well

When would you want to rent a computer? There are many situations when it might be convenient. Consider these options:

• School - Do you want to offer a short computer training program at your school or college setting? Renting a setup would save you money, and you could charge an additional fee to your students who wish to take the class. When the training period is over, you simply return the equipment.

• Conventions - When you present at a convention, you may wish to have specialized equipment to use to display your PowerPoint presentation. Instead of lugging your own equipment with you, dealing with it at the airport, and setting it up once you arrive at your location, you can rent the gear, have it set up for you when you arrive, and simply bring your presentation on a disk or drive.

• Travel - In general, traveling is a time when carrying your computer is difficult, particularly if you do not have a laptop. When you rent a computer, you can have it ready, configured, and waiting for you at your destination.

• Temporary moves - When businesses move into temporary settings, setting up and then quickly taking down an entire technology infrastructure is highly inconvenient. Renting for this short period of time eliminates this problem.

Computers and other specialized equipment can also be rented to help deal with special projects. For instance, if you have a big project coming online that would require an extra printer or computer, you can rent it for the duration of the project, rather than buying it and having it sit unused most of the year.

What Is Leasing a Computer?

Leasing a computer, like leasing a car, is a more long-term commitment. You will sign a lease agreement for a set period, such as a year or longer, and if you back out of the agreement you will pay a penalty. You will typically pay monthly for the equipment you are using, and technical support is often included in the package. Sometimes the agreement allows you to rent to own, but the main benefit of leasing is the fact that leasing computer equipment cost a lot less at the outset than buying it.

When Leasing Makes Sense

Leasing makes sense when a business does not have enough capital to buy computer equipment, yet must have it for long term needs. If your business needs computer equipment, but you cannot afford to buy it, leasing allows you to avoid taking on debt to meet your need. You can preserve your lines of credit for other potential expenses. Computer Leasing works well for individuals who need one but cannot afford to buy one, and there are many rental companies that offer individual leases for home computers. Basically, any time you or your business needs a computer but cannot afford to buy one, leasing is a convenient option.

Source :- http://ezinearticles.com/?Difference-Between-Computer-Rental-and-Computer-Leasing&id=1905215

Why Lease?

2009-10-25T21:58:00.000-07:00

When it comes to outfitting a professional medical office with the latest equipment medical technology has to offer, a physician has many different options to explore. He or she can pay cash for their high priced medical equipment, secure financing from a local bank or find a way to lease the machines that will allow them to offer the highest level of medical care possible.
For most physicians leasing is the preferred alternative.

For most physicians leasing is the preferred alternative. Not only is leasing a great way to free up a large amount of capital, it is also a fast financing process that makes sense for nearly any business. Physicians are considered preferred clients by leasing companies and therefore can benefit more than most other self-employed professionals. That’s because doctors are considered lower risk clients than other businesses. For that reason, medical professionals receive preferential rates when setting up their leasing structure. In other words, they pay less per month than other professionals for the same amount of equipment leased.

Doctors also experience unique challenges when purchasing high tech office equipment. Unlike many professions where technology evolves slowly, medical equipment is constantly improving. Because of the flexibility leasing offers, doctors can upgrade to new technology quickly and with less of a capital investment. For example, there is no point in purchasing a new x-ray machine if you are going to need to upgrade to a new model in two years. If instead of purchasing a new machine, a doctor chose to lease the same equipment, he or she could easily upgrade at the end of the 24 month lease cycle. In other words, without having to outlay fresh capital every two years, he or she just has to make their monthly payments and then upgrade when the lease term expires for almost no additional cost.

There are a wide variety of lease cycles available, from 24 up to 60 months which allows a doctor to predict how and when he or she will need to upgrade without getting stuck with yesterday’s technology. This allows the medical professional to constantly offer the highest level of patient care.
Leasing also protects a doctor’s personal finances.

Leasing also protects a doctor’s personal finances. If a physician chose to go to his bank to secure a business loan, the amount of the loan would be added to his or her personal credit report. That means it may be harder for the professional to get a good mortgage rate, qualify for new credit cards or secure other personal loans. A lease, on the other hand, is attached to the doctor’s practice and not to the physician themselves. That means that through leasing a doctor can fill their office with the latest equipment without adding to his or her personal debt load.

Another financial advantage is that when you lease, you are paying for the cost of the equipment out of your current operating budget. If you purchase equipment you are essentially spending earlier profits on the new equipment. Those earlier profits could be better spent on an investment that will bring in additional income rather than being used for a one-time expenditure.
The IRS currently allows doctors to take advantage of off balance sheet lending.

There are also significant tax advantages to choosing to lease instead of purchase. The IRS currently allows doctors to take advantage of off balance sheet lending. When you choose this option your equipment is not considered a taxable asset. Instead your monthly payment is considered a debt on your balance sheet and can therefore be written off on your tax statement.

Off balance sheet lending has an additional added benefit that may surprise many physicians. A lease is not shown as a liability on your balance sheet. Concurrently, when a physician’s liabilities (if he or she had a loan for the equipment instead of a lease) are taken out of the picture, their “partner’s equity” actually increases on their balance sheet. The balance sheet is the benchmark for nearly all underwriting decisions (not the P&L statement as is often thought). If a physician’s balance sheet shows strong equity, their company appears solid to underwriters.

Therefore a medical professional actually increases the equity in their balance sheet simply by using the equipment. At the end of the lease term, that equipment actually becomes additional equity as you take ownership of the equipment for a typical buyout price of $1.00!

If you are a medical professional who is considering updating the equipment in your office, you owe it to yourself and your patients to investigate how a low cost lease can put you at the forefront of medical technology. Please take a short 60 seconds to tell us about your needs. You could be on the way to a great high tech office today.

Special Note: You should also know that GCR Capital offers many types of commercial financing programs; whether you’re considering buying new commercial properties, expanding an ongoing concern, or purchasing another business entity, GCR will get the deal done and make your expansion a reality.

Source :- http://www.gcr-capital.com/medical_why_lease.htm

The Equipment Lease Calculator - Know Your Lease Amount

2009-10-21T21:21:00.000-07:00

Leasing is a valuable alternative for growing businesses. Equipment leasing gives us:

1. Maintain Capital Strength
2. Efficiency
3. Flexibility
4. Obsolescence Protection
5. 100% Financing
6. Customized solutions
7. Asset Management
8. Tax Advantages

When you are leasing equipment for your business such as computers, heavy construction equipment, used medical equipment or and farm equipments, you may qualify for benefits that you may not have known existed.

About The Equipment Lease Calculator

As a business lessee, you probably want to know approximately what you can expect to pay for an equipment lease. Here's an equipment lease calculator that will give you fast answers to your financial questions. Simply enter the cost of the equipment that you are looking to finance and analyze quotes for 12, 24, 36, 48, or 60 months. Determine if a lease fits your priorities, long term goals and financial condition, all with a few clicks of your mouse. It's easier than ever to determine the amount and length of lease that's right for you.

The results returned by the leasing calculator are monthly rentals based on conservative equipment leasing rates for assets .Some sub-prime business customers may find that the deposit required is greater than the leasing calculator returned, i.e. 12 months rental instead of 6 is needed. Leasing companies will endeavor to achieve the best monthly rental we can for your asset finance. Lease payments are calculated by subtracting the residual from the net selling price, dividing that amount into payments and then adding the lease charge. The formulas mentioned below are basic and can vary.

Step 1 : Calculate the Depreciation
Depreciation = (Selling Price - Residual) / Number of Months

Step 2: Calculate the Lease Charge
To calculate the lease charge you will need to know the Money Factor (money-factor as the "interest rate" for the lease) - ((Net Sales Price - Residual)/ Term) + ((Net Sales Price + Residual) x Money Factor) = Month Lease Payment.

Step 3: Convert the Money Factor to an Interest Rate
This formula produces a high interest-rate it doesn't necessarily mean that it is a bad lease.
(Money-Factor x 2400)

This "lease calculator" takes no account of the following:

1. The size of loan.
2. Your company's circumstances.
3. A start-up company may need to have additional security to secure lease finance.
4. Other potential costs that an asset lender may charge.
5. Examples are documentation or "change of title" fees, which do vary but are generally minimal.
6. Other factors that may affect the rentals include:-

- The residual value of any asset to be leased.

- Quarterly, Half Yearly or Annual Rentals.

- The amount of deposit you may wish to put down.

You'll soon find that the whole equipment leasing process is faster, simpler, and often less costly than other financing alternatives. You can rely on the equipment lease calculator to navigate your way through various options. Our calculator allows you to analyze your business transactions, calculate monthly costs, and preserve your resources.

Source :- http://ezinearticles.com/?The-Equipment-Lease-Calculator---Know-Your-Lease-Amount&id=2984936

Equipment Leasing: a Solution For All Industries

2009-10-19T23:43:00.000-07:00

A major part of any business is figuring out how to get that all-important equipment into a facility, on the road or into the hands of workers to get a start-up or new growth initiative operational fast. Business owners are well aware of the astute advice of that old maxim to "strike while the iron is hot". When this fails, a business of any size can falter, having missed the narrow window where growth would have been virtually assured.

Equipment Leasing and Ownership in "Physical" Industries
For all kinds of construction, demolitions and public works industries, vehicles and heavy duty power tools are fundamental to the process, and a department or business that runs low knows they have limited options and time to get their gear back in their hands and get back to work.

When the costs of ownership run too high for an immediate purchase to be feasible, business owners can turn to construction equipment financing to fill in the gaps. An equipment leasing option can get operations the tools they need without saddling the department with debt incurred by ownership or other concerns like storage and maintenance costs.

Equipment Leasing for High-tech Business
In office work and high-the sectors, issues of equipment ownership crop up, often around change and obsolescence.

In some industries, bought equipment goes obsolete so fast it can turn the bottom line of a business that is in for the long haul.

In other cases, a business grows and contracts rapidly, requiring a versatile approach to procurement that can't be achieved with bulk purchasing.

In these kinds of situations, equipment leasing contracts are a win-win: businesses apply to private lending companies for lease terms they can fit into their annual accounting. An expanding shop keeps on pushing itself higher without any of the "growing pains" of an over-extended budget.

Equipment Leasing with Reputable Firms
Long-standing leaders in streamlining business procurement through services like equipment financing and leasing know how to help a business stay on top of costs with equipment financing terms that fit into a client's budget.

Established equipment leasing firms partner with businesses that need more equipment than they can immediately afford, and offers specialized solutions for struggling owners and managers.

When businesses can apply for easy leasing terms, their field of play gets wider: easy to use application forms and expedited quoting processes mean clients can get quick answers on what it will take to get their shops and offices running at 100%.

Growing shops can lease all kinds of equipment, from physical trades equipment and restaurant gear to office and computer equipment and high-tech tools for the 21st century. If you're looking wide-eyed at your bottom line, consider equipment leasing as a great intermediate fiscal solution.

Source :- http://ezinearticles.com/?Equipment-Leasing:-a-Solution-For-All-Industries&id=1316051

Benefits Of Equipment Leasing

2009-10-13T06:24:00.000-07:00

Do you need a crane, a backhoe, a dump truck? In fact, if you are looking for any heavy equipment including cranes, conveyors, cement misers, bulldozers, wheel loaders, silos, smooth rollers, excavator etc., you must think about heavy equipment leases.

Now, you may be asking why. Heavy equipment leasing can be very useful as it frees cash flow. After all, heavy equipment is potentially tying up your liquidity. Naturally, it may not be a wise decision to lock your money there. However, a lease will allow you to maintain your balance sheet optimally and improve your business while getting all the necessary equipments to run your business profitably.

One great advantage of equipment leasing is that you don’t have to make a big down payment, neither do you have to tie up collateral that is required when taking a loan. Almost all the different types of heavy equipments are available for lease.

This explains why heavy equipment financing is such an important aspect for any business owner. It requires detailed planning to ensure you get a good leasing deal. So, if you want to know more about this aspect, read on.

A Lease is a type of rent, however there is a buyout clause attached here. There are different options available as far as the requirement of getting the lease is concerned. It may be as low as the last or the first payment; again it can be as high as 25 percent. The situations are different in all the cases and this gives the business owner the opportunity to invest the least amount of cash in the business. Consequently, the saved money can be channelized in other important areas of the business.

Equipment lease is not a new form of financing. It can be a good alternative to a loan and this is why it is so popular amongst start ups. There are different industries that benefit from this like the Heavy equipment industry.

Leasing brings plenty of benefits and this includes off the balance sheet reporting, cash flow conservation, tax incentives and credit line preservation. There are leasing companies that will require only the first or the last rental payment as the initial outlay. Again, the leases normally finances the entire soft cost of the equipment such as software, shipping, training or installation. Also, with leasing, you have the opportunity to upgrade the equipments regularly.

There are different options available in terms of the lease. This includes the Trac Leases or the FMV lease buyouts. There are companies that offer seasonal payment, declining payments, deferred payment and half payments. So, it is important that the lessee understand all the conditions thoroughly to make the most of the deals. Also, if you are hopeful that you will be able to pay the money before time, you should talk about it to the company as well.

Source :- http://www.articledashboard.com/Article/Benefits-of-Equipment-Leasing--/1019594

4 Advantages of Business Computer Leasing

2009-09-29T21:43:00.000-07:00

Computers are an essential part of any business venture today.

Whether you're running a brick-and-mortar company or an ecommerce site online--having the right computer equipment greatly enhances both the productivity and profitability of your business.

But, there is one major setback every company faces when it comes to owning their own computer equipment: obsolete technology. In fact, given the speed of innovation with today's technology, even the most cutting-edge computer is dated the moment it's taken out of its box.

That's why more and more companies are turning to business computer leasing as a cost-effective solution.

Some Advantages of Business Computer Leasing

Due to its numerous advantages over purchasing, business computer leasing has become a viable option for businesses of all sizes to seriously consider.

Advantage #1: One of the main advantages of leasing business computers is that you can increase productivity by keeping your equipment up-to-date with the latest microprocessors and RAM capacity. This is one case where the old adage holds true: time is money. The time you save will make the equipment pay for itself over a very short period of time.

Advantage #2: Next, by going with business computer leasing as opposed to purchasing, you will tie up far less of your capital and lines of credit. This will allow you to invest those resources into other areas of your business, further enhancing the growth of your company. Having this kind of flexibility is even more beneficial for start-ups, since it will let them free up the working capital they need for day-to-day operations and unexpected expenses.

Advantage #3: Additionally, business computer leasing can present significant tax savings. Since a monthly lease payment is viewed as an operating expense and not a debt, many companies realize a tax savings using this structure. As always, be sure to consult with your tax advisor to find the best strategies for your business.

Advantage #4: And perhaps the most compelling reason of all is that equipment leasing allows you to grow your business without significant out-of-pocket expenses. It gives you the flexibility to capitalize on trends and opportunities so you realize greater market share and profits.

Business Computer Leasing Lets You Keep Up With Technology

By staying on top of the latest technology, you give your business the greatest chance of success. Since the typical lease lasts around three years, leasing business computers will allow you to refresh your technology in a consistent and structured way.

Every company should seriously consider the option of business computer leasing before they make their next technology purchase. By strategically using capital and increaing cash-on-hand, your business may experience less risk and greater growth.

Source :- http://ezinearticles.com/?4-Advantages-of-Business-Computer-Leasing&id=2872199

How to Get a Loan for Farm Equipment

2009-09-21T01:11:00.000-07:00

Farm equipment is a key asset in the agricultural business. Whether you are a family farmer or the head of a huge agribusiness coop, you need to know how to get the best loans at the best terms for acquiring equipment. There are several options, so follow these steps to get a loan for farm equipment.

Instructions

List your equipment needs. Get bids from manufacturers and dealers so you know how much you will need to finance. Be sure to plan for future needs, as you will get the best terms by grouping purchases rather than going back for new loans every season.
Gather your financial data. Lenders will need to know your farm business plans and understand your tax situation and your cash flow position. Collect all necessary records and have them on hand with your equipment list when you shop for loans.
Begin with your personal or business banker or credit union. The financial institution that knows you best will generally be your best source for farm equipment loans. Most financial institutions located in agricultural areas have special farm loan officers who can advise you.
Contact specialty farm lenders. Browse the finance pages of websites to find online institutions that specialize in providing loans for farm land and equipment. If you are a preferred candidate with a respectable credit rating, you may find that online lenders offer loans at lower rates than so-called "brick-and-mortar" banks.
Apply for low-interest loans through the USDA's Farm Service Agency if you qualify as a farmer in special circumstances. The Farm Service Agency assists new farmers who have limited capital resources and can't qualify for traditional loans. FSA equipment loans are also available to farmers who have suffered financial losses due to natural disasters.
Consider leasing equipment rather than purchasing. You can finance a lease as well as a purchase. Leasing requires less upfront cash outlay, but leased equipment may be more expensive over time, so speak with a farm equipment financing specialist to determine which route is best for you.

Source :- http://www.ehow.com/how_2107869_get-loan-farm-equipment.html

Heavy Construction Equipment Leasing - the Best Alternative to Buy Construction Equipment

2009-09-08T05:30:00.000-07:00

The leasing will bring the wining business for you as it offers benefits ranging from easy equipment upgrades, stable cash flow, flexible terms, assets management, custom payment structure and superiority over bank loans or cash purchases.

Thinking of heavy construction equipment leasing as business start-up. This is the most sorts after option in the leasing business for starters. The reason being the investment is low and there is no need for the big monthly equipment fees whenever something goes good or bad with the business. Moreover in the present economic scenario, leasing is the best way to do business rather than but new equipments.

There are vital different areas of construction businesses. Before plunging into it, decide what to include in the fleet and what to rent, and equipment after checking construction prices, one need to decide whether to buy new or used equipment. Regardless of financing and equipment option one chooses, one get to know about the equipment first and quality second that is required by the company.

It requires experience and training to operate heavy equipment. The requirements for equipment operator normally include a commercial driver's license and an approved training on the equipment itself. The skills of the operator differ from equipment to equipment. For example, large tractor-trailers require a commercial driver's license and driving experience of oversized vehicles. Similarly, loader operation demands knowledge of the loader's basic functions as well as how to properly weight and fill the bucket. Some very skilled operators can run more than one piece of equipment, although it takes years to learn multiple machines and dangerous profession too.

The leasing will bring the wining business for you as it offers benefits ranging from easy equipment upgrades, stable cash flow, flexible terms, assets management, custom payment structure and superiority over bank loans or cash purchases. Along with this it also brings the tax ramification i.e. in certain instances one can deduct the entire expense of leasing as a business deduction. The equipment is not regarded as a long term liability nor as assets, instead as an operating expense which is 100% deductible. heavy construction equipment leasing provides the replacement policy. In case if the equipment becomes obsolete, one can request it to be replaced with a new one. That is the reason one doesn't suffer from the consequences of obsolescence. In addition, disposing of the equipment becomes the lenders problem and not yours.

Heavy equipment leasing will help you get the equipment you need in order to see your business expand and grow.

Source :-For more information about used medical equipment, heavy construction equipment leasing, construction equipment leasing, commercial truck leasing please follow this link Heavy Equipment Lease.

Leasing Used Equipments – Research and Use

2009-09-07T03:55:00.000-07:00

Equipment leasing has become a preferred form of financing, accounting for more than 30% for acquiring business equipments. Each year, thousands of companies face the challenge of finding attractive equipment leasing finance company.

These days equipment leasing is mostly practiced by each and everyone who is into some kind of business or someone who is thinking to start a new one. It offers the best of deal to every one. Lets take an example of medical equipments. To keep up with both the growing technology and the cost of owning that technology, the demand for used medical equipments like X-ray and ultrasound machines has also developed at a rapid pace. And it is not possible for every privately run clinic or hospital but even for government health centers to buy these equipments as new, so the best option for them is to lease the equipment even if they are used medical equipments. Because of the cost of buying the equipment is low, most of these pre-owned machines was probably well-maintained by the first owner, and if one goes for good research and chose a good manufacturer, any problem occurred, can be quickly resolved by your manufacturer.

Before buying the lease, look for the appropriate equipment leasing finance company. Many big fishes in the equipment leasing companies are owned by banks, financial companies, or other large industrial concerns. These financing companies usually have abundant resources and they have expertise in a number of leasing segments. Smaller leasing companies greatly out number large lessors. While these companies cannot match the resources larger ones but they often have highly skilled professionals, sufficient resources and more flexibility to meet lessee needs and customer needs. Just evaluate the leasing finance company with these four points, 1) experience and expertise; 2) reputation; 3) ability to perform; and 4) a relationship approach and get the best deal.

Source :- Sanjana Sharma

For more information about used medical equipment, heavy construction equipment leasing, medical equipment leasing company, commercial truck leasing, equipment leasing finance company please follow this link Heavy Equipment Lease.

Equipment Leasing Short on cash, but need new equipment to grow? Lease what you need.

2009-09-03T05:13:00.000-07:00

What It Is: Equipment leasing is basically a loan in which the lender buys and owns equipment and then "rents" it to a business at a flat monthly rate for a specified number of months. At the end of the lease, the business may purchase the equipment for its fair market value (or a fixed or predetermined amount), continue leasing, lease new equipment or return it.

Appropriate for: Any business at any stage of development. For start-up businesses with no revenues, "small ticket" leases, those of $100,000 or less, are feasible on the personal credit of the founders or owners-if they are willing to make the monthly payments.

Supply: Abundant. Of the billions of dollars individual and institutional investors pour into the capital markets each month, a good hunk finds its way to leasing companies that use these funds to purchase equipment on behalf of small businesses. With more and more money flowing into the markets, leasing companies are flush with capital. As a result, they are eager to do business and respond to competition with lower monthly rates.

Best Use: Financing equipment purchases. Leasing can also finance the soft costs often associated with equipment purchases, such as installation and training services.

Cost: Lease financing is generally more expensive than bank financing, but in most instances it's more easily obtained.

Ease of Acquisition: Easy for leases of less than $100,000. An application for a small-ticket lease is generally no more complex than a credit card application. Leases for more than $100,000 require detailed financial information from the business, and the leasing company conducts a more thorough credit analysis than it would for a smaller transaction.

Range of Funds Trypically Available: Unlimited

First Steps
Finding an equipment leasing company is easy. Almost any equipment a business could conceivably need offers a lease option. Thought it's not apparent at first glance, the company offering the lease financing is not the same one that is selling the equipment. The company selling the equipment simply makes a direct referral to a leasing company with which it does business.

It's a good idea to get a quote from the leasing firm referred by the company that wants to sell you the equipment. The quote should be competitive. After all, the company selling products wants to sell as many as possible, and it surely doesn't win any points by referring a leasing company that gouges its customers. But it also pays to get another quote. Usually, the company selling the equipment works with more than one leasing company. Or ask a friend or a business associate for a referral.

As a final point, when looking for a leasing company you should understand whether you are talking to a broker-the person who simply structures deals, then gets them financed through any of the leasing companies he or she works with-or a leasing company that is actually putting its own funds on the line.

There's nothing wrong with brokers. The situation is analogous to working with an independent insurance agent. He or she might have intimate knowledge of the marketplace and know where to go to get the kind of insurance, or lease, in this case, you need. In theory at least, this may generate savings in excess of the broker's fees. But as when dealing with insurance agents, you should always keep one thing in mind when working with a broker: Buyer beware.

Source :- http://www.entrepreneur.com/money/howtoguide/article52720.html

Purchasing Medical Equipments -- within your Budget

2009-08-27T04:39:00.000-07:00

Purchasing medical equipment for your private practice, surgery center or the hospital you work for can prove to be a very demanding task. First of all you have to find the medical equipment you are looking for, make sure it meets all the necessary requirements, have the guarantee that it’s going to be delivered on time and most of all, do all these tasks on a budget. If you find yourself in such a situation, the best choice you can make is order medical equipment online. There are some very good companies that offer both new and refurbished equipment, so you can stay within a budget and make a great deal at the same time.

Patient monitor devices and systems are some of the most frequently used equipments, especially vital signs devices and monitors. These medical equipments are crucial in every practice and hospital, but because of frequent use, they must be replaced quite often. This can be indeed a very difficult task especially when time is of the essence. In such situations, it is best that you order online. Some online stores offer both refurbished and new vital signs devices, so money should not be a problem. Furthermore, ordering online saves you a lot of time and it is also easier because there are more products to choose from.

Sterilizers are another category of medical equipment that no sanitary facility can do without. There are different types of sanitizers, such as autoclaves, automatic autoclaves or manual autoclaves, and fortunately all of these can be purchased online. Most of the times, the refurbished equipment is better than the new one, depending on the manufacturer, so if you are on a budget, try ordering refurbished.

Furthermore, online shopping for medical equipment has another great advantage, namely that of saving you a lot of money. For example electrocardiographs can be quite expensive. However, no hospital or private practice should go on without an EKG, so whether you like this or not, it is an investment you have to make. Buying an EKG monitor online saves you some money and time, because there are medical equipment shops that have prices beyond those of the manufacturers.

Furthermore, online shops have a diverse range of spirometry medical equipment you can choose from and they also offer vey competitive prices. Holter system equipment can also be bought brand new or refurbished from online medical equipment stores. Each piece of equipment that you purchase will be accompanied by full description, technical data and all information necessary. Thus, buying online can save you a lot of precious time and money.

Online medical equipment stores offer you all necessary information and guarantee that the prices of all products you buy are cheaper than the manufacturer price. Moreover, it is very easy to buy medical equipment online. All you have to do is make an account and start shopping for otoscopes, opthtalmoscopes, exam tables or any other medical equipment you need. Shopping is also made easier by the accessibility of the web site and by the numerous amount of information offered for all the available medical equipment. Thus, if you want the best, at the best prices and need it as soon as possible, online shopping for medical equipment looks like the perfect choice!

Source :- http://www.articlemonkeys.com/Art/10509/85/Online-Medical-Equipment-The-Best-Deal-You-Can-Make.html

Equipment Leasing: How A Stand-Out Lessor Can Help Your Business

2009-08-19T05:58:00.000-07:00

If the equipment leasing company that your firm uses could make money for you or save you a bundle, wouldn’t that company be worth its weight in gold? Sure it would. That firm would probably earn the loyalty of your firm.
Some leasing companies go the extra mile, delivering exceptional value to their customers. Here are a few ways stand-out lessors deliver great value:

Cost-effective Leases

Certainly, providing a competitive lease transaction that helps your firm to stay within budget and spread the leasing cost over the equipment’s useful life is a winning combination. The lease should also be flexible and user friendly. It should allow your firm to upgrade equipment easily and to terminate the lease in a cost-effective manner, should the need arise.

Convert Existing Equipment To Cash

If your firm has recent-model equipment that was not financed, why not convert the equipment into cash that can be used in your business? A skilled lessor can help your firm achieve that goal by structuring a sale-leaseback transaction. Under an equipment sale-leaseback, your firm sells equipment to the leasing company at the equipment’s fair market value. The leasing company then leases the equipment back to your firm under competitive terms. This type of transaction can be a win-win for both parties.

Achieve Higher Values On Unneeded Equipment

Your firm may have equipment that still has value, yet that equipment no longer meets your company’s needs. Certainly, you can place ads in industry publications or otherwise attempt to re-market the equipment. Lessors that stand out can often help you re-market used equipment while achieving higher equipment values. Some lessors are active in the after-market of many types of equipment. They are often able to orchestrate the removal, refurbishment and sale of used equipment, while maximizing the re-market value.

Promote Your Business

A stand-out leasing company can help your firm excel by promoting your business. Some promotional activities offered by savvy lessors include: issuing joint press releases about the lease transaction, highlighting your firm’s offerings; including a testimonial from your firm on their website with a description of your company’s activities; highlighting your business in their company newsletter sent to customers; introducing your firm to other leasing customers who might need your products or services; and hosting customer mixers to allow you to network with other customers.

Introductions To Key Financing Sources And Financial Service Providers

Equipment Leasing companies typically interface with many financing sources and financial service providers. They sometime call on other financing sources to check prospect credit references or to discuss collateral positions or lien releases. They also call on funding sources to originate new business, especially from sources that specialize in complementary financial services. Stand-out lessors stay on the lookout for high-quality lenders, private equity sources, CPA firms, attorneys, mortgage providers, insurers and others capable of providing excellent services to their customers. In many cases, like birds of a feather, high-quality financial service providers find one another and exchange business referrals.

How do you find a stand-out lessor? Make sure you ask the right questions when you meet lessors and when you check their references. Ask about the other ways they serve their customers. Also, when you make reference calls to check out new lessors, ask their references whether the lessors have offered any other helpful services that make them stand-out. While most lessors are skilled at selling their services, you will recognize the stand-outs by hearing from their customers.

Source :- http://ezinearticles.com/?Equipment-Leasing:-How-A-Stand-Out-Lessor-Can-Help-Your-Business&id=164141

Top 7 Reasons To Lease Business Equipment

2009-08-16T21:06:00.000-07:00

Sometime during the life of every business, more equipment will be needed. The question of how to pay for the new equipment is always a major consideration for the business. Should you pay cash for the new equipment? Should you get a bank loan? Or should you lease the equipment? A strategy used by J. Paul Getty suggests that “If it appreciates in value buy it. If it depreciates in value lease it”. This is as sound of business advice today as it was during Getty’s lifetime.

Save Cash – By leasing your next equipment acquisition you can save your cash on hand to take advantage of other business opportunities. Also you can have a contingency fund for any emergencies that just come up
100% Financing – With leasing you do not have to make large cash down payment in most cases. Only the first and last month’s payments are required. With leasing you can finance the entire cost of the new equipment including taxes, shipping and equipment setup. With bank financing, you would have to pay for these fees separately most of the time.
Leasing business equipment Is Simpler Than Bank Financing – The leasing process requires less paperwork than bank financing. Leasing companies usually have lower credit requirements than banks. And the application process takes less time. A lease can be approved in as little as several hours verses weeks or more for some banks. Most leases are approved in 24 to 48 hours.
Saves The Business’ Line Of Credit – By equipment leasing the business line of credit can remain free for buying supplies, hiring more personnel or for marketing for more business.
Your Business Can Have Up To Date Equipment – Rapid advances in technology can make equipment obsolete quickly. Most leases can be designed so that you can get the latest equipment when you need it and not have to worry about what to do with the old equipment. Also, once approved for equipment leasing, you will not have to go through the application process each time you want to get new equipment.
Pay For The Equipment As You Use It – When you lease equipment you are paying for it as you get to use it. You don’t have a large cash outlay before you get to receive any benefits from the new equipment.
Tax Advantages – Leasing payments are 100% tax deductible. If purchase the equipment, your tax benefits will usually not be as much because of depreciation rules.

Source :- http://top7business.com/?id=1372

Guide to Commercial Equipment Leasing and Financing

2009-08-13T00:53:00.000-07:00

There is a few ways to go about getting commercial equipment financing and leasing. The most important tool today you have at your disposal is the internet. You can search for literally hundreds of companies who provide equipment finance and leasing. This allows you to shop around and find the best deal and in today's environment, it can make all the difference.

The first thing you should look for is a company that provides financing for your industry. A lot of companies over the past few months have moved out of certain industries citing that they are high risk. It is best to call finance companies before filling out any paper work just to make sure they are still in your industry or in current times, still in business. Once you have put together a list of finance and leasing business
equipment companies, your next step is to prepare the necessary paperwork. All finance companies will have their own standards, but I will try and point out the standard documents.

The first paperwork you will be asked to fill out is the application. This will include information such as your full name, address, social security number, employment and information on the equipment you need financed. It's pretty self explanatory why the company needs this information but the most important reason is to check your credit score. In today's world, your credit score matters more now than it ever did. In the past, you could still get a loan with bad credit. Those days are long gone. Most finance companies are looking for people with a quality credit score and won't give you the time of day if you have bad credit. In some cases, banks and finance companies will work with you but will require significant collateral. It is best to wait until your credit improves as you will also get a better interest rate.

After you receive an initial approval from the finance company, some companies can approve application only depending on the amount requested. However, you may have additional steps such as collecting your bank records and tax history. Some companies will want two years of tax history and six months of bank statements. Based on the equipment you are buying, you may need a specification sheet (spec sheet). This can be sent from the dealership or equipment supplier to the finance company directly. This for most part covers the standard documents needed for getting your equipment financed. After the loan documents have been signed and returned, the lender will wire or overnight a cashier's check to the vendor. You can then pick up your equipment.

Finally, I would like to conclude with some important tips about obtaining your finance or lease agreement. It is very important to read over each piece of paper to make sure that you fully understand the terms of the lease or loan. In most cases, your lease or loan payment will be anywhere from 24 months to 72 months. If you do go with leasing, try to get a one dollar buy-out clause attached to end of your term. This is very important as the life of the equipment being leased will last much longer than the term you leased for.

Source :- http://ezinearticles.com/?Guide-to-Commercial-Equipment-Leasing-and-Financing&id=2592454

Equipment Leasing Business

2009-08-10T02:50:00.000-07:00

The number of aspirants who dream of building their business empires is more now than ever, and rising. However, lack of ample capital is the major hurdle. The Heavy equipment lease business provides a helping hand to such people and those wishing to develop their existing business. The Heavy equipment lease business is a booming field with great prospects.

Equipment leasing business is involved in buying equipments from established manufacturers and other reliable sources and leasing them to customers in need, charging a fixed monthly fee during the period of lease.

Leasing deals with all major business fields ranging from hospitals and hotels to laboratories and other small businesses. By opting for Heavy equipment lease business, you are not required to spend any amount as down payment while buying the equipment.

The various benefits a business can enjoy by opting for equipment leasing include

• Capital conservation - It is always better for one to lease equipment than buying it because of the risk of depreciation.
• Conservation of credit lines - Your purchasing capacity is not affected as there is no initial cost upfront.
• Fixed rate lease payment.
• Deduction of tax - Lease payments don't qualify to be taxed.
• Easy financing of leased equipment.
• Easy updating from obsolete equipment.
• Effective management of your increased business cash flow and no more budget limitations.

As the equipments are leased the burden of maintenance and proper functioning of the equipment is relieved from the shoulders of the business owner, as equipment servicing is also taken care of by the lease firms. Equipment leasing business also helps the client's firm to be equipped with up-to-date equipments which is an important factor for the growth of business. Most equipment leasing firms also provide their clients the opportunity for buying the equipment at the completion of the lease period.

Source :- http://www.ezinearticles.com/?Equipment-Leasing-Business&id=1307689

Get a Competitive Advantage by Leasing Equipment

2009-08-03T22:40:00.000-07:00

For the majority of businesses, acquiring equipment of some type is necessary to generate sales and profits. The manner in which the equipment is paid for can be critical to the future of the business. Equipment leasing can be the optimal way to get the needed machinery because of the myriad of advantages.

Other costs that can be rolled into the lease are freight, installation, and even training.

Maintain Working Capital When you go to the bank to borrow funds for the equipment your company needs, you are usually required to place a sizable (20-25%) down payment for the loan to go through. Although equipment leases usually requires the first payment and a similar amount as a security deposit to be paid at the inception of the lease, no other funds are required. Other costs that can be rolled into the lease are freight, installation, and even training. Can you think of ways to expand and maximize the operation of your business with the funds you would have to expend up front to a bank?

Tax Advantages When you buy equipment through conventional financing, you do get some tax deductions such as depreciation and interest expense. Such is the case with a capital lease as well. In general, a capital lease is one in which the equipment is transferred from the lessor to the lessee at the end of the lease term. An operating lease is one in which the lessee rents the equipment. At the end of the lease term, the equipment reverts back to the lessee. With operating leases, 100% of the payments are deductible as expense. The tax benefits can further reduce the cost of acquiring equipment.

Stay Current on Technology The technological boom has no end in sight. Companies that aren't able to employ the latest technology will likely fall behind their competitors. Operating leases are particularly useful for acquiring the newest state-of-the-art equipment. At the end of the lease, the company can simply trade in the obsolete equipment for newer product. The ability to continuously be on the cutting edge of technology is particularly advantageous in the areas of research & development, product development, and operations. Another benefit to staying current on technology is that your company is more likely to attract the "best and brightest" employees.

It gives the customer the inherit advantages that leasing offers.

Equipment Sellers Can Accelerate Sales & Profits Instituting a vendor leasing program is one of the best ways an equipment seller can promote growth. It gives the customer the inherit advantages that leasing offers. Customers like to know up front how much it will cost them on a monthly basis to acquire the equipment. Establishing a solid relationship with a reputable leasing company can result in better rates for your clients. The more volume you do with the leasing company, the less they will have to spend on marketing for new customers. These savings by the leasing company are oftentimes passed on to your customers. A vendor leasing program also promotes both referrals and repeat business. You've eliminated a major burden for the customer: how to finance the equipment.

Equipment leasing has grown to over $250 billion annually. Most savvy business owners understand how to employ this tool in conjunction with other financing methods to optimize their operations and grow in the future.

Source :- http://www.whatbusiness.net/a-get-a-competitive-advantage-by-leasing-equipment-45604.html

Why Buy New When Used Heavy Equipment is the Better Choice?

2009-07-30T22:44:00.000-07:00

Purchasing heavy equipment is a necessary part of the construction business, but the steep asking prices on just one crane, dump truck, excavator, skid steer, loader, tractor, or any number of heavy equipment pieces that your business will use in its daily operation could easily finance an entire home construction project. Any time one of your employees points out that you need new machinery, you cringe, right? Then it’s time to take out the accounting books and see how you can afford new construction equipment.

Need a crane? Be prepared to spend around $250,000 or more for a brand new crane model. How about an excavator? It’s relatively cheaper at around $25,000-50,000. A brand new skid steer costs around $25,000. Buy a new dump truck and you could easily be spending hundreds of thousands—if not millions—for a really big heavy dump truck.

That’s why buying used machinery can save your company so much. A used crane can cost as little as $75,000. A used excavator can cost $17,000. What about a used skid steer? An asking price of $10,000 or even $6000 for a used skid steer is not unheard of. Used trucks start at as little as $3500. Depending on the size of the used dump truck you have in mind, your company could pay only $2500. Since a dump truck tire alone can cost $40,000 if the heavy dump truck is big enough, it might be more economical to replace the entire dump truck than replace the tires!

How do you find prices like these and better on used heavy equipment? By searching for a reputable third-party used heavy construction equipment classifieds website to act as mediator between buyers and sellers.

If you’re looking to buy used heavy equipment or any other kind of used machinery, try a reputable online classified website You’ll find classifieds for used heavy trucks, used excavators, used skid steers, heavy loaders, heavy tractors, cranes, and many used heavy construction equipment pieces. Search for used heavy equipment by manufacturer and machine type.

Many of the used construction equipment prices are negotiable, so you could easily get a deal on a used excavator, used skid steer, used dump truck, or any other piece of used heavy construction equipment for far less than the prices listed. Don’t see the used heavy equipment you’re looking for? Place a Want Ad with a description of the used construction equipment you want and your price range!

Purchasing heavy equipment, even used heavy construction equipment leasing, can consume a large amount of funds. When heavy dump trucks, cranes, or any other heavy equipment is on the fritz, some construction companies might just need to borrow some heavy equipment for a short time while their heavy equipment is being fixed.

New heavy construction equipment can cost so much of your construction company’s funds that even the best jobs can turn little profit. While quality machinery is of course essential to any construction project’s success, quality used machinery is easy to find with the right classifieds website. Before you buy new, buy used heavy equipment and save the accounting books at your construction business from going into red!

Source :- http://www.articlesbase.com/business-articles/why-buy-new-when-used-heavy-equipment-is-the-better-choice-338116.html

Medical Equipment Leasing

2009-07-27T04:38:00.000-07:00

Advancing technology is bringing with it new medical innovations. We are certainly benefiting from these innovations, as in the case of new scanning equipment. This equipment is at the forefront of research and is very costly. To keep up with the technology, hospitals have to update their expensive equipments regularly; otherwise, they cannot offer the best health care to their patients. Every time a medical establishment upgrades the equipment, it has to sell off the old equipment.

Advantages of leasing medical equipment

Doctors starting a new practice might have modest capital and therefore not be able to afford to buy the best, new equipment. This will certainly hamper their business prospectus. Who will go to a new doctor with obsolete equipment? By leasing, the doctors can get the latest equipment and can use their cash to run the practice efficiently.

Large hospitals might have the capital required to buy the latest equipment, but they are in danger of getting burdened by the obsolete, costly equipment in near future. By leasing, the risk of ending up with an obsolete machine is minimized, as you can build, upgrade, or add-on to the lease. In the process, hospitals also save lot of cash, as there is hardly any upfront amount required for leasing the medical equipment. As a result, the hospitals can expand their business with the saved money.

Medical equipments available on lease

According to a study, the medical industry in the United States leased approximately $ 3 billion worth of equipment in the last year. Examples of the equipment that can be leased are blood analyzers, CT scanners, heart monitors, and X-ray machines.

In the medical industry, businesses need to stay equipped with the latest machines. Therefore, in such a technologically driven business, leasing medical equipment is a more profitable choice than purchasing it.

Source:- www.ezinearticles.com

Farm Equipment Leasing

2009-07-22T23:16:00.000-07:00

when pitted against the astronomical costs of buying a new combine or tractor in today's market makes it the smarter alternative for many professional growers of plants and animals for consumer consumption. A combine can cost over a quarter of a million dollars with all the bells and whistles, so for many it makes excellent sense to pay for the control over machinery without have to pay for its ownership. Leasing brings a number of advantages to the farming professional, but it may take a tax and machinery expert to sort out the many specifics. However there are some things to be learned about the process. First, let's compare the actual leasing versus selling scenario.

Most high income farmers will probably not opt to lease their machinery for the simple fact that there are more tax savings for their income bracket than leasing, even though leasing machinery is deductible from tariff liabilities. But for many other farmers, the choice is clearer: farm equipment leasing is the better alternative. Purely from a maintenance point of view, newer machinery usually means fewer breakdowns and repairs. A combine with 4000 hours of use over a three year lease has been "rode hard and put up wet" as some horsemen might say. It may be ready for a replacement by some farmers' reckonings, and leasing allows that to be accomplished rather seamlessly. In fact, many of the very same issues of leasing cars and turning them in are present in farm equipment leasing, such as excess wear, number of hours actually used versus the number leased for, and other similar comparisons.

From a farmer's point of view, machinery is the lifeblood of his operation. Hay and forage, spraying, planting, cutting and handling equipment as well as all terrain vehicles and a manure spreader full of tools are often standard fare for a small to midrange farming enterprise. Buying this machinery may be completely out of the question for the normal farmer and farm equipment leasing may be the only alternative. In the end, it's the taxes that are the name of the tune between buying and leasing or chartering machinery. Those who lease machinery must pay for insurance, taxes, fees and maintenance, the same expenses a buyer would have. However all lease payments are tax deductible, while the depreciation expense, also deductible, and the cost of the purchased machinery may be spread over a longer time span, thus giving less yearly deduction expense than the entire lease payment. An expert tax attorney should be sought on the actual numbers and outcome.

A tax expert will probably use the net after tax cash flow analysis for this comparison between the two options. In simplistic terms, this is net income plus depreciation, amortization and other non cash charges. This formula will be applied to all large machinery purchases, and in some cases the outright purchase of machinery will come out ahead. In other scenarios, farm equipment leasing will be the preferred choice because of lower costs. Many farmers are devoutly committed to God because they recognize and experience every day the magnificence of creation that could have only come from a transcendent Almighty. "The Earth is the Lord's and the fullness thereof: the world and they that dwell therein." (Psalm 24:1)

Farm equipment is not leased by the miles, such as a car, but on the number of hours it is used. While an equipment dealer may charge much of a yearly lease for x amount of hours, the farmer may be able to negotiate with the dealer on more hours for the same amount of money. Much of the issue will depend on how great the granted freedom is from the lender to the dealer. Shopping around is certainly encouraged and carrying a purchase price from one dealer to another and comparing the buying price to the offered lease deals is highly conducive to getting a better end deal. Farm equipment leasing is usually done in three hundred hour bundles and the farmer must estimate how many he will need to use the machinery each year. Guessing six hundred and going over by two hundred could be extremely expensive, and only needing for five hundred will mean the farmer paid for hours not used. Whether that unused money can go towards purchase of other equipment or towards new farm equipment leasing agreement is up to the discretion of the dealer and the lender.

In many cases, the farming pro will be turning in used equipment on the purchase of a lease for new machinery and just like with cars, the used farm machinery, if it has equity, can be used in the lease down payment. Of course, the trade in value of a big honking used combine can be negotiated like that '78 Pinto. When a farmer borrows money to make a machinery purchase, the loan can hurt his credit score quite dramatically in some cases and this skewing of the debt to income ratio can make securing other loans or credit more difficult, particularly if other aspects of the credit history are shaky. Sometimes the change can even cause a suspension in operations. Farm equipment leasing is viewed as a financial obligation like a mortgage or car payment and may also cause issues when sitting down with a loan officer for other business. Many state university farm extensions have tremendous information that can be beneficial in making these long term decisions.

Source:- http://www.christianet.com/accounting/farmequipmentleasing.htm

What is Positive and What is Negative About Leasing?

2009-07-21T04:43:00.000-07:00

Leasing is an appealing and non expensive option for small business owners looking for financing alternatives. Here we present some the negative and positive aspects of this method.

The advantages are:

The reason why most small and medium business owners use leasing is the fact that it increases working capital. The owner also maintains sounder financial statements that will make him/her more attractive to financial institutions in the future. Some banks will not take the risk to give loans to small business and have limited options to buy assets.

Another attractive feature of leasing is its flexibility in terms of timing and the ability to purchase other goods. In general, leasing will allow a company to have more working capital to acquire new and less expensive assets.

A company using this method of financing can increase its savings and the cash flow. This will give the company a wider range of options to use the funding, for one it can invest in sustainable technology and materials. Otherwise, a company has no choice but to resort to bank financing which is not only harder to get but also more expensive. A company can also decide to issue shares for external investors.

Leasing may also reduce the amount of taxable dollars through amortization. Given that the value of a leased piece of machinery is not actually registered as a purchase spending is reduced and within a period maybe smaller than the accelerated depreciation.

The bad news is that tax exemptions or benefits are applicable only if a set of conditions exist:

One condition is for the contract to be for the leasing of machinery or property. The period has to be from 2 to 10 years, the latter for leasing buildings. The leasing contract has to show all considerations related to the property. Additionally, the lessee has to be given the choice of purchase of the equipment.

Some of the disadvantages of leasing are:

The main drawback of leasing is the not getting ownership of the piece of equipment leased when the leasing contract ends. Some leasing contract will not allow the company to purchase the asset at the end of the contract.

Leasing also has a relative cost compared to bank financing. The company leasing the asset may have to pay for the cost of insurance which it would not pay if the bank had financed the purchase.

Source:- www.ezinearticles.com