Low Lease Rates for POS Systems and Computer Hardware
Looking to finance Equipment for your business?
Leasing is a great way to grow your business without significant out-of-pocket expenses.
Affordable Financial Alternative
Lease financing is utilized by many successful firms, including most of the Fortune 500, to acquire facilities, equipment and software. And from many points it’s the right decision. But before that you have to analyse your situation, preferences and goals. A lot of factors, such as an approximate net cost of that asset, tax deductions, obsolescence and terms should be considered.
Today 80% of all U.S. companies use equipment leasing, 7 of 10 small business owners start with less than $20,000 in working capital.
But let’s start from the very beginning.
A lease is a form of financing under which the owner of an asset (the lessor) temporarily transfers the right to use, and sometimes other ownership rights and obligations, of an asset to another party (the lessee). The lessor typically makes the lease for a specified time in return for a lump sum or periodic rental payments from the lessee.
There are some important benefits of lease you should know before making a decision.
Spread your cash flow. One of the most important points of getting lease is that you only need a minimal initial investment (much less than when financing) to get an equipment you want. The rest payments can be comfortably spread out over time. Many successful managers sometimes compare paying the full price for equipment with paying several years worth of employee wages in advance. Yes, you will not have to worry about it, but it doesn’t make good business sense as you will not be able to preserve your working capital for the operation and growth of your business.
Another important thing you have to remember is that you benefit from a number of tax advantages. Lease payments can usually be deducted as business expenses on your tax return, reducing the net cost of your lease. You can deduct lease payments from taxable income immediately rather than deducting the cost of purchasing equipment as depreciation over time.
No obsolescence worries
When leasing you basically avoid the risk of investing resources in an asset that may soon become technologically obsolete. It’s more essential for high-tech equipment. If you use your lease to obtain items that may be outdated in a short period of time, a lease passes the burden of obsolescence onto the lessor. You are free to lease new, higher-end equipment after your lease expires.
If flexibility and easiness to obtain are important for you, then leasing is the right alternative. This can also be the right choice if you have bad credit or need to negotiate a longer payment plan to lower your costs. The company may also benefit from having access to the machine for only a short time, to complete a big project for example, without having to invest larger sums in the equipment and soon after dispose of it.
There are usually standard leasing options.
1. Lease to buy (12 to 60 months) - You have an option to return equipment by the end of the lease or buy it at the Fair market value (usually about 10% of the cost of the initial equipment cost).
2. Lease to own (24 to 60 months) - Monthly Lease payments are just a little higher than payment with the first option but you own equipment by the end of the lease.
3. 12 months Lease to Own - Your Monthly payment = Total amount/12 months and the only interest you pay is additional 13th payment. (New and most popular option!!!)
We are here to help you!
Cafe Cartel Systems offers several leasing options for Point of Sale Systems. Even if you and your business don’t have very good credit, you can still be eligible for equipment lease. Whether you starting a new business or looking to upgrade current equipment we can help you to find the most affordable leasing option.
The biggest advantages of leasing POS Equipment are:
- Tax Advantages
POS Equipment Leasing allows you to deduct 100% of the amount you pay on the lease each month. Bank financed equipment must be depreciated over a longer period of time and only interest payment is being deductible. A lot of the time after taxes you actually save money purchasing leased equipment.
- No down payment
The cost is spread over a number of years. Finance up to 100% of the cost and spend this money for advertising or other working expenses within the business.
Lease agreement is almost always a fixed contract, and it's very easy to budget and make forecasts with.
- Minimum time and paperwork
Applying for leasing is significantly easier process than any other forms of financing. For equipment under$100.000 you typically will not have to provide any financial statements, business plans or tax returns. Fill out simple 1 or 2 pages form and get a response within 48 hours.
For more information click the button below or contact a Cafe Cartel Systems sales representative - 866-973-8099.