· Flexible terms that are designed to meet your needs
· Affordable Long term fixed rate financing
· Improves your liquidity - keep more cash on hand for emergencies
· Improves ROA or ROI ratio
· Avoids 4th Quarter and Mid-quarter depreciation problems
· Improves and free up your cash flow
· Avoids alternative minimum tax in some states
· Obtain needed equipment which may be prohibited by restrictive loan covenants
· Minimizes the problem of equipment obsolescence
· Simplifies your accounting
· Sale and leaseback's offer a variety of advantages to help liquidity or minimize any tax problems
· It offers a fixed rate financing; you pay at the same rate monthly.
· Leasing is inflation friendly. As costs rise over five years, you still pay the same rate as when you began the lease, therefore making your dollar stretch even farther. Also your Lease rate will never change.
· There is less up front cash outlay, so you do not need to make large cash payments for your equipment purchase.
· Better utilization of equipment. You lease and pay for the equipment only during the time you need it.
· There is typically an option to buy equipment at the end of the lease term.
· You can keep upgrading and as new equipment becomes available! Get the newest models each time your lease ends.
· Typically, it is easier to obtain lease financing than loans from a commercial lender.
· It offers potential tax benefits depending on how the lease is structured.
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