From office machines and x-ray equipment to irrigation systems and industrial heating and air units, leasing rather than purchasing equipment for your business can be a financially smart move to make for a number of reasons:

• Minimizes up-front costs because down payments are not required
• Payments may be tax deductible on equipment leases, unlike payments for equipment purchases
• Enables you to finance related costs such as installation, training, maintenance, hardware, software and taxes
• Conserves working capital for investments rather than tying it up in equipment
• Reduces the risk of owning obsolete equipment
• Preserves bank credit lines for shorter-term financing needs such as payroll or inventory
• Locks-in interest rates for fixed payments
• Minimizes paperwork

Securing an Equipment Lease

Call the toll-free 888 number listed on your member I.D. card, and tell the customer service representative you are interested in a lease. You will be connected to the resource that best fits your needs. If you wish to discuss lease options, please have one of the following pieces of information available:

• The last three year-end financial statements with accompanying notes
• A current interim financial statement
• The last three years federal income tax returns with schedules (further information may be required)

Talk to your leasing consultant to determine the lease structure best for your equipment and tax needs, such as:

Finance Lease ($1.00 Purchase Option)

• Own the equipment at the end of the lease term
• Retain the depreciation and tax benefits
• Purchase equipment with tomorrows dollars while realizing immediate tax benefits
  
  

Fixed Purchase Option (10% Purchase Option)

• Option of owning the equipment at the end of the lease term
• Retain the depreciation and tax benefits
• Choose to renew the lease rather than purchase the equipment at the end of the term
• Eliminates an uncertain buyout price at the end of the lease term
  
  

Fair Market Value Purchase Option

• May qualify for off-balance-sheet treatment
• May qualify for tax purposes as an operating lease which means the entire payment can be expensed
• No obligation to purchase the equipment at the end of the lease term
• Variable payment options