We have partnered with Geneva Capital to provide you with a variety of fast, convenient and cost effective financing options for all of your signage needs.
Benefits of Financing
With financing, you are able to customize a program to address your needs & requirements - cash flow, budget, transaction structure, cyclical fluctuations, etc. For example, some leases allow you to miss one or more payments without a penalty, an important feature for seasonal businesses.
There is very little money down with leasing - typically the first & last month's payment are due at the time of lease signing. Since a lease does not require a down payment, it is equivalent to 100% financing.
Financing is Fast & Convenient
Financing allows you to add equipment or upgrade equipment under similar terms. Financing can also allow you to respond quickly to new opportunities with minimal documentation. Credit decisions are usually made same day.
The IRS does not consider an operating lease to be a purchase, but rather a tax-deductible overhead expense. Therefore, you can deduct the lease payments from your business income. Also, because lease payments are treated as expenses on a company's income statement, equipment does not have to be depreciated over five to seven years.
Improves Cash Flow
Lease payments are historically lower than loan payments, hence conserving cash for other uses. Also, by leasing equipment you know the amount & number of lease payments over the life of the leasing period, so you can accurately forecast cash requirements for your equipment.
A lease allows equipment to be returned to the lessor at the end of the lease term. You can then upgrade equipment without having to manage disposal & other ownership burdens. The risk of getting caught with obsolete equipment is lessened.
Balance Sheet Management
Because an operating lease is not considered a long-term debt or liability, it does not appear as debt on your balance sheet, thus making you more attractive to traditional lenders when you need them.
Financing is Smart
8 out of 10 companies lease some or all of their equipment, according to industry research. Why do they lease? Because the flexibility provided by leasing allows them to have the most effective operation possible. Companies that lease tend to be the most entrepreneurial & competitive.
WHAT ARE TYPICAL LEASE TERMS?
Lease terms typically range from 12-60 months. The most common lease terms are 36-60 months (three to five years).
CAN I LEASE TO OWN?
Yes. About 95% of Geneva Capital's clients select a "lease-to-own" plan.
ARE THERE TAX ADVANTAGES TO LEASING?
Yes. In fact, one of the most appealing reasons businesses lease new equipment is because the IRS does not consider an operating lease to be a purchase; rather it is a tax-deductible overhead expense. Therefore, you can deduct the lease payments from your business income.
You could also take advantage of Section 179, a special tax deduction allowing you to recover all or part of the cost of a piece of equipment in the year the equipment is put into service. This is a way to rapidly write-off the equipment versus taking depreciation deductions over the life of the asset.
DOES LEASING REQUIRE A SIGNIFICANT DOWN PAYMENT?
No. Generally speaking, leasing requires little to no down payment. While the first & last month's payments may be required, leasing is almost identical to 100% financing.
HOW DOES LEASING AFFECT MY CASH FLOW?
You'll find leasing has a positive impact on your cash flow because you're not paying for the equipment in one lump sum. By tailoring a custom lease, business owners can conserve cash...allowing them to focus on growing their businesses. Leasing also allows you to forecast cash requirements more accurately as you know the amount & number of lease payments you will owe over the lease period.
CAN I LEASE MORE EQUIPMENT WHILE I HAVE AN EXISTING LEASE?
Yes. Leasing opens the door for faster response to new business opportunities. Many leasing companies can approve an application for new equipment in a matter of a few days. This allows you &/or your company to react quickly to a new opportunity before your competitors can.
HOW DOES LEASING LOOK TO OTHER LENDERS?
Leasing can actually help you to look more attractive to traditional lenders when you need them. Operating leases are not considered a long-term debt or liability on your balance sheet, making you look more stable to lenders. Leases are also not reported to consumer credit bureaus.
IS LEASING FLEXIBLE?
Absolutely. Lessors offer flexible terms, allowing you to customize your lease to a program which fits your needs & requirements - cash flow, budget, transaction structure, cyclical fluctuations, etc.