Why Leasing?
Commercial leasing is the smart way to acquire equipment and make your energy project a reality. For those new to leasing, the rule of thumb is: Buy what appreciates, lease what depreciates. Leasing provides the opportunity to not only go green, but do so in a way that is beneficial to your bottom line.
If you’re interested in learning more, click here for current leasing options and register for CPF Tools and submit your application today!
Control Your Business
- With leasing, only the equipment is used as collateral. This allows your business to avoid liens on property and the financial restrictions that banks might require.
Preserve Working Capital
- With conventional borrowing, more upfront money, plus a significant down payment may be required. This constrains your working capital and prevents the flexibility offered by leasing.
Provides Fixed Payment
- With commercial leasing, you will know your payment over the lease term, allowing for more accurate forecasting and easier budgeting for monthly expenses.
Hedge Against Inflation
- When you lease equipment, you pay for it as you use it. When you purchase with cash, you pay in current dollars for future use of the equipment
Tax Advantages
- Leasing can lessen the burden that taxes have on your company’s wallet. Depending on how the lease is structured, you may be able to fully deduct lease payments as business expenses, as opposed to depreciating the value of the equipment as if it were an asset.
CPF recommends you consult with your financial adviser to determine what the best arrangement is for your company’s unique financial position.