5 Advantages of Leasing Your Transportation Equipment
You need new or used trucks or vocational vehicles but you’re faced with a challenge: how can you afford to buy all that equipment and stay on budget? Thankfully, there’s a way to stretch your dollar so you’ll get more equipment and haul in profits: leasing. Here’s why leasing is a smart business decision.
1. Get on the Road Fast
Turnaround time is quick. Applications generally take only five minutes to complete and the process is easy. In National Leasing’s case, we’re here for every aspect of the transaction, like helping you set up your insurance. Once you submit that application, we’ll review it, provide you with a decision and work to get your equipment within 24 hours.
2. Match Payments with Revenue
Your operation has busier months than others. Why not pay for your equipment when your revenue is greatest? With leasing, you can structure lease payments to match busy periods so you’ll pay for your equipment when it’s making you money, whether that’s a monthly, seasonal, semi-annual or annual cash flow cycle.
3. Keep Your Cash Reserves and Lines of Credit
Rather than traditional financing, leasing leaves your lines of credit untouched. And you’ll leverage your buying power, paying a fraction of your equipment’s total cost with regular payments instead of tapping all of your cash with an upfront purchase. With all that extra liquidity, you’ll have the financial flexibility for other business opportunities.
4. Easily Upgrade Your Equipment
Replacing your equipment is easy with leasing. At the end of your lease, you’ll have the option to either keep your equipment or upgrade to the latest and greatest to keep your fleet running smoothly. During your lease, you can also trade up so you can stay flexible and get the right transportation equipment for your business at any time.
5. Possible Tax Savings
You can potentially write off your equipment lease payments as a tax expense rather than depreciating the capital cost. Always speak with your accountant about your tax options before acquiring any equipment.
The Flexibility to Succeed
Leasing your transportation equipment means increased flexibility – financial flexibility and the flexibility to know that you can upgrade your fleet when you need to. You won’t restrict your equipment options because of budget, and you’ll get the vehicles you need to keep your fleet at its best.
Blog Post by: Stéphanie Gaudette, Account Manager for Transportation Equipment © National Leasing Group, Inc. All rights reserved. For original text, visit NationalLeasing.com