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Advantages of Leasing

Equipment leasing offers a number of important advantages:

Leasing provides 100% financing
Most leases simply require first and last payments paid in advance and a small documentation fee.  No security deposits or up-front money is required.  Enterprise Financial Solutions, Inc. (EFSI) pays your vendor in full including installation, delivery and taxes unless state law prohibits.

Leasing preserves credit lines
Credit lines with banks and other depository institutions are precious and hard to establish.  Conserve those lines for inventory, A/R or other uses and emergencies.  EFSI will take care of the financing for your capital equipment so that your lines of credit remain free.

Leasing increases purchasing power
Your needs may be for a $50,000 machine but your available cash/credit only allows for $30,000, hence you settle for a smaller piece of machinery that only meets your needs half-way.  EFSI can increase your purchasing power by allowing you to finance the needed equipment for the job.  That way you get the equipment you need to meet demand and promote growth.

Leasing balances usage and cost
Leasing makes sense when the equipment you use creates a return that exceeds its cost.  In other words, leasing allows you to set a fixed monthly payment for the use of equipment that creates an anticipated return exceeding that payment.  That way you are certain that your operation is profitable and the equipment serves its purpose.

Leasing provides fixed rate financing
Leasing is not subject to market fluctuations and interest rate increases.  You can negotiate the monthly payments up front and secure a fixed rate for the life of the lease.  This makes it much easier to project cash flow and budgets for planning purposes.

Leasing conserves working capital
Keep your hard-earned cash on hand or invested.  Enterprise Financial Solutions, Inc. enables you to enjoy the working capital your company receives since it covers all costs associated with capital equipment purchases.  This ability to grow and keep your cash ultimately puts you ahead of your competition and ensures long-term profitability.

Leasing is convenient
Unlike dealing with bank loans and other alternative types of financing, leasing is an easy and convenient process.  Typically, all we require is a one-page application for any request up to $50,000.  Any request above that amount will require some financial disclosure.

Leasing is tax-advantaged
When structured properly, a lease agreement may allow you to receive tax benefits.  These benefits and their availability are subject to an array of factors and we suggest you talk with your accountant about these benefits.  Similarly, any tax benefit received from the ownership of the equipment by EFSI is passed on to the lessee through competitive rates and lower fees.

Leasing is a hedge against inflation
Since your payments apply to the use of the equipment you do not pay for ownership on equipment that consistently depreciates.  Furthermore, your cash savings can yield a return that fights inflationary pressures.

Leasing provides flexible payments
Lease payments can be structured to meet your needs.  This adjustment is possible by correcting the residual value of the equipment due at lease end.  By changing your end of lease balloon payment from $10,000 to $25,000 for example, you can lower your monthly payment significantly.

Leasing provides options
Leasing provides flexible end of lease options. Equipment at the end of the lease term can returned, extended or purchased.

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