Frequently Asked Questions About Equipment Leasing & Financing
Although leasing is not for everyone, please ask yourself these questions first:
  • What is the cost of generating cash from operation, raising equity or bond money?
  • Does your company desire to invest cash or equity into a depreaciating asset?
  • Does paying upfront cash prevent the implementation of an IT upgrade strategy?
  • What is the opportunity cost of not investing cash or equity into higher ROI alternatives
What are some high level advantages of leasing?
  • Conserve cash, working capital and bank lines
  • Reduce total cost of ownership
  • 100% tax deductible on the lease payment over the life of the lease
  • Avoid expensive upkeep and maintenance cost in the future years of equipment lifecycle
  • Matches revenue to lease payments over the lease term
  • Create a predictable equipment budget
  • Establishes an equipment upgrade strategy
  • Allow the flexibility to upgrade to newer, more efficient equipment

See the benefits of leasing with American Capital Group