Harness the secrets of equipment leasing and defeat the IRS

There are several tax benefits of leasing equipment for businesses:

  1. Deductibility of lease payments: Lease payments made by a business are generally considered tax-deductible expenses, which can help to reduce the overall tax burden of the business.
  2. Off-balance sheet financing: Leasing equipment allows a business to keep the equipment off its balance sheet, which can improve its financial ratios and make it more attractive to lenders.
  3. Section 179 Deduction: Businesses can take advantage of Section 179 deduction, which allows them to deduct the full cost of qualifying equipment up to a certain limit in the first year, rather than depreciating the equipment over several years.
  4. Bonus Depreciation: As of 2021, businesses can take advantage of the 100% bonus depreciation, which allows them to deduct the full cost of qualifying equipment in the first year, regardless of when it was placed in service.
  5. State tax benefits: Some states may offer additional tax benefits for leasing equipment, such as sales tax exemptions or reduced property taxes.

It’s important to note that these tax benefits may vary depending on the type of equipment being leased, the terms of the lease, and the jurisdiction in which the business is located. Businesses should consult with a tax professional to ensure they are aware of all tax benefits that may apply to their specific situation.

In summary, leasing equipment can offer various tax benefits to businesses, such as deductibility of lease payments, off-balance sheet financing, Section 179 Deduction, Bonus Depreciation, and State Tax benefits. These benefits may vary depending on the type of equipment, the terms of the lease and the location of the business. Consult with a tax professional to understand the tax benefits that apply to your specific situation.

Because I specialize in equipment and software financing between $1k – $1mil, it’s important that I move rapidly. And with the help of my team, I’m able to move deals from application to funding within hours.

And not just for well-established companies, I close quickly on start-ups and sole props as well.

I work hard every day, rarely take a day off, and ALWAYS return calls. And with my decade-plus of experience in finance, I know how to work a deal. Call me and find out for yourself.

Cash is King

Preserving capital is important for businesses because it allows them to have a financial cushion to help them weather unexpected expenses or downturns in the market. When a business has a reserve of capital, it is better able to handle unexpected expenses such as equipment repairs, unexpected increases in the cost of goods, or even a temporary loss of customers.

Capital also allows a business to invest in growth opportunities. For example, a business with a strong reserve of capital may be able to expand into new markets, develop new products, or acquire other companies. This can help the business to increase its revenue and grow its market share, which in turn can help to increase its profitability.

In addition, maintaining a reserve of capital can also help a business to secure financing when it needs it. Lenders are often more willing to lend money to a business that has a strong balance sheet and a healthy reserve of capital. This can make it easier for a business to secure financing for expansion or other growth opportunities.

Finally, preserving capital is also important for personal financial reasons. Having a reserve of capital can provide peace of mind and security, knowing that you have a safety net to fall back on if things don’t go as planned.

In summary, preserving capital is important because it allows a business to have a financial cushion to help weather unexpected expenses, invest in growth opportunities, secure financing, and provide peace of mind and security.

5 Powerful reasons big businesses lease their equipment

Commercial equipment leasing is a popular option for businesses of all sizes, as it allows them to acquire the equipment they need without having to make a large upfront investment. Leasing equipment can provide many benefits, including:

  1. Preservation of capital: Leasing equipment allows businesses to preserve their capital, which can be used for other important expenses such as inventory, marketing, and expansion.
  2. Tax benefits: Leasing equipment can also provide tax benefits. In many cases, the payments made on a lease can be written off as a business expense.
  3. Flexibility: Leasing equipment can also be a great option for businesses that need to upgrade or replace equipment frequently, as leases can be structured to match the useful life of the equipment.
  4. Easy budgeting: Leasing equipment can make budgeting easier, as the payments are fixed, making it easier to plan for future expenses.
  5. Cost-effective: Leasing equipment can be more cost-effective than purchasing equipment outright, especially for businesses that only need the equipment for a short period of time.

When considering leasing commercial equipment, it’s important to compare different options and choose the one that best suits your business needs. It’s also important to work with a reputable leasing company that has a good track record and can provide the support you need throughout the leasing process.

In summary, commercial equipment leasing can be a great option for businesses looking to acquire the equipment they need without making a large upfront investment. It can provide many benefits including preservation of capital, tax benefits, flexibility, easy budgeting, and cost-effectiveness. It is important to research and find the right leasing company that fits your business needs.

Because I specialize in equipment and software financing between $1k – $1mil, it’s important that I move rapidly. And with the help of my team, I’m able to move deals from application to funding within hours.

And not just for well-established companies, I close quickly on start-ups and sole props as well.

I work hard every day, rarely take a day off, and ALWAYS return calls. And with my decade-plus of experience in finance, I know how to work a deal. Call me and find out for yourself.