Main Benefits of Leasing



4 Main Benefits of Leasing
Research shows that at least 80% of all businesses have leased equipment at one time or another.

Some of the benefits of leasing are:

  1. It helps to conserve your capital.
    Leasing will allow you to have spare cash. You avoid having to make heavy payments when purchasing equipment, vehicles or other assets. Because it is off the balance sheet it helps you manage your balance sheet better. Even though it does provide benefits to business owners there are hidden costs that you have to be aware of.

  2. It has tax advantages.
    The leasing cost is fully written off for tax purposes. Rather than deal with depreciation on assets you can write off the full lease payment and deduct it as a business expense.

  3. Leasing is flexible.
    Leasing allows you to be a little bit more flexible when managing your equipment requirements. For example, if you are a start up business you will typically have little cash. If you are a mature business you would have other needs such as keeping debt free or wanting to avoid buying ...

    Membership required (FREE)

    The rest of this article is freely available to StartRunGrow members.
    Not a member? Join Here - Its FREE!