Benefits of leasing
Improved Cash Flow
We can customize a payment schedule to match your cash flow, including a special “after harvest payment” program.
Preserve Current Lines of Credit
A lease with us should not affect your company’s operating line of credit. Because leasing provides an alternative source of credit, you can retain your borrowing capacity with other lenders for day-to-day operating needs.
No Additional Collateral
We require no additional collateral or security other than the equipment you lease. This preserves the conventional financing relationships you already have in place.
Tax Benefits
Lease terms are usually shorter in length than the depreciable life of the equipment, which can result in a faster write-off of the asset. Likewise, certain leases can be structured for you to take full advantage of depreciation.
Flexible Lease Terms
Our goal is to match your payment to your cash flow so a lease can be tailored to your specific needs. This includes consideration for the timing of your cash flow, the fiscal year end, budgeting cycles and cyclical fluctuations.
Conserve Working Capital
For liquidity purposes in a business, cash is extremely important. A lease requires a nominal advance payment, thus preserving your working capital.
Minimal Financial Information
Leasing usually requires less financial documentation than bank loans, meaning they require less preparation and are usually easier to secure. For most equipment, earnings information is normally not required for transactions under $250,000.
Fixed Payments
Leasing is not subject to interest rate fluctuations. You negotiate the payments upfront and they stay fixed for the term of the lease. This allows for easier cash flow projections and budgeting for future years.
End of Term Lease Options
Leasing allows you several options at maturity. You can purchase the equipment for a pre-determined fixed amount, renew the lease or return the equipment at maturity.
