Benefits of Leasing a Printer


The Benefits of Leasing a Printers

	Transfer Ownership Risk / Obsolescence are Obsolete – Acquire the usage of equipment while the Lesser assumes the risks and uncertainties of ownership, especially with rapidly changing technology. If equipment trends or your business needs reduce the function or value of the equipment, it’s the Lesser … not the customer ….who takes the risk.

	Upgrade Flexibility – Cash purchases, or bank financing, lock you in while leasing enables you to upgrade during the lease term.

	Leasing Conserves Capital – Growing, competitive companies need all the capital they can generate. With leasing, cash is not tied up in equipment equity. With no sizable down payment and small fixed monthly lease payments, leasing frees the capital businesses need to compete in today’s markets.

	Additional Source of Credit – Existing bank credit lines remain available for short-term needs, such as inventory peaks, trade discounts, rising operating costs, and unplanned expenses. Since leasing may not increase your debt, you may be increasing your borrowing capacity.

	Improves Financial Ratios – Enhances ROA and ROI ratios by eliminating balance sheet assets and their corresponding debt.

	Tax Advantages – Lease Payments may be 100% deductible as an operating expense. A full write-off over the lease term substantially reduces you after-tax cost. You pay for your equipment with untaxed income, instead of after tax profits.

	Leasing Includes Cost of Acquisition –Your lease payments can also include the costs of delivery, installation, and other service charges.

	Expand Your Budget – If your budget doesn’t provide for a substantial capital outlay, leasing affordable monthly payments can mean the difference between obtaining the equipment and productivity improvements now… or waiting for next year’s budget.

	Hedge Against Inflation – Tomorrow’s dollar may not have today’s purchasing power. It makes sense to use tomorrow’s cheaper dollars to pay for today’s new equipment.

	Payment Amount is Fixed – Payments remain constant, which can simplify budget projections. Bank loan payments may increase as interest rates rise.

	Matches Benefits and Costs – By paying for the usage of the equipment, customers match the timing of the cash outlays with the benefits of usage.

	End of Term Flexibility – Leasing gives the options of returning the equipment to the Lessor, lease new equipment, continue leasing the equipment, or purchase the equipment.

	Reduce Alternative Minimum Tax Liability – A lease may help an AMT taxpayer avoid additional minimum taxes, which would otherwise be due if the taxpayer owned the equipment.