|
Benefits of Leasing
Leasing options include tax savings and low monthly payments
Below is some information to help you decide whether leasing with Thompson Direct is right for you.
Conserve Your Capital
To purchase $30,000 of equipment will require you generate approximately $372,000 in additional gross sales! Here’s how it
works. At an income tax rate of 24% (estimate) you need to generate $37,200 in net income to cover both the taxes and pay
for the equipment. If you net 10% of your gross sales (estimate), it requires $372,000 to net the $32,700 needed to purchase
$30,000 in equipment.
That same equipment can be leased for as little as $639 per month. You let it pay for itself while you
are using it! Now do the math at your tax rate, the percent of gross sales you net, and your equipment cost.
100% Financing
No down payment is required. The soft costs, i.e. sales/use taxes, delivery, installation, training, etc., can also be included in the lease payment.
Flexibility
Straight Way Financial can package many different types of equipment from multiple vendors into one lease. This provides
you lower, as well as simplified, payments.
Fixed Payments
Lease payments are fixed for the entire term of the lease contract. They do not float as with Conventional Bank Financing.
|
|
Tax Advantage
In most cases the IRS does not consider such a lease to be a purchase. Rather, lease payments are treated as a 100% tax
deductible overhead expense. Thus, in addition to the savings noted above, there are substantial tax savings, affording a
much lower cash outflow required to fund your equipment acquisition.
Fast Approvals
Transactions submitted for $75,000 or less are typically approved in 24-48 hours.
Longer Terms
Equipment leases typically can be for a longer period of time than Conventional Bank Financing, affording lower payments.
Ease of Budgeting
Since lease payments are fixed, budgeting is much easier, as the payments in the future always remain the same.
|
