In a rapidly evolving business landscape, it’s vital for companies to maintain access to cutting-edge technology. However, the cost of outright purchase can be prohibitive. That’s why many companies choose to opt for an equipment sale-leaseback solution to free up capital and meet growing needs and opportunities.
Benefits of Equipment Leaseback Financing can help companies conserve cash, optimize operations and improve financial flexibility. Companies may also be able to take advantage of significant tax benefits, as leasing typically allows monthly payments to be deducted as operating expenses versus being recorded as assets on the balance sheet. Consistently paying back lease payments also contributes to building a strong credit history, which can benefit businesses well beyond the immediate financing need.
Unlocking Capital: The Benefits of Equipment Leaseback Financing
An equipment sale-leaseback is a great strategy for businesses that require substantial investments in high-value equipment. This can include manufacturing companies, transportation businesses, and healthcare facilities. For example, a growing healthcare facility that wanted to expand services with new medical technology could not afford the upfront costs associated with purchasing the equipment outright. Instead, the company chose an equipment sale-leaseback to convert existing machinery into cash and continue to utilize the technology.
If you’re looking for an efficient, effective and flexible solution to finance your equipment needs, consider working with an independent financier that specializes in providing customized solutions to middle-market companies. Oftentimes, these firms have the capacity to structure creative financing solutions and close deals in weeks that would take months at a traditional bank.