Below are some examples why leasing finance is the preferred method of financing for the smart business owners, managers or Chief Executives when it comes to buying new equipment.

If any business manager or owner wants to purchase all of the equipment needed to get their business starting, they have to spend a lot of money upfront. This means that in most cases they have utilise their savings, mortgage their home and business for its equity, use credit cards or get a bank loan or overdraft to finance their business.

None of these options are advantageous and here’s why:    

·        If you have to use your savings to finance your business, you may take a heavy loss that can cripple business owners financially, if the business is not as successful as you had anticipated it would be.

·        Taking a mortgage out on your house may mean placing your safety and that of your family’s safety at risk. What happens if you are unable to make payment because your business isn’t bringing the money you thought it would? Then you have placed your home at risk, and without money to make the repayments, the bank may start foreclosure proceeding against you.

·        The use of credit cards is also a bad idea. The high interest on credit cards can end up costing you and your business far more than had been anticipated. If you put thousands of pounds worth of purchase on your card and are unable to pay off the debt each month you will end up incurring vast amount of interest each month. Any financial advantage you thought you had will soon disappear.

·         A traditional bank loan is another common form of financing for new business owners. However, banks make it difficult for a person to secure a bank loan, especially for a new business. Unless you have collateral to secure the loan, the bank will rarely give you the loan.

With our equipment lease financing program there will be no mortgage against your house, your cedit card spending will not be maximise, all your savings will not be utilised. Instead, you will only have to make payments for the use of the equipment. Since you are not paying for the purchasing value you will be able to afford better equipment than if you had purchased the equipment. Best of all is that your lease payments are tax deductible.