HOLBROOK CAPITAL FUNDING
Why Choose Leasing?
First and Foremost because you have better things to do with your money....
Secondly, because it is the use, not ownership, of equipment that generates profits for you!
Leasing Covers Most Everything: In addition to the core equipment, "soft costs such as delivery and installation, computer software, training, and other related equipment, furniture and/or fixtures can be covered by the lease. There is no need to obtain additional financing elsewhere.
Leasing Conserves Working Capital: Because leasing only requires a minimal amount of cash to be tied up in equipment, much of the company's funds can be employed for alternative uses.
Leasing Preserves Bank Lines: Leasing is like opening another line of credit. Since a company's existing bank lines and other credit accomodations are not impacted, they remain available for emergencies and opportunities.
Leasing Can Save on Taxes: Lease payments are expensed directly as operating expenses which results in faster writeoff in comparison to depreciation schedules. Also, lease payments come from pre-tax revenues, not after tax profits.
Lease Terms are More Favorable Than Bank Terms: Lease terms usually don't allow filing of blanket liens, allow calling of loans on the grounds of discomfort with a particular industry, require compensating balances, floating interest rates or include restrictive covenants. Bank loans often do.
Leasing Avoids Rapid Obsolescence: Cutting edge equipment has short life cycles and new technology emerges constantly. Leasing makes possible seamless changeover to the latest state of art tools by allowing flexible upgrade options, direct write off, variable payment schedules and other timing tools.
Leasing Fights Inflation: Fixed rate costs remain the same, no matter how much prices rise. You pay for your equipment with tomorrow's potentially cheaper dollars while locking in today's lower equipment costs.
Leasing Keeps Equity Intact: Growing companies often consider selling stock to raise needed funds for expansion. Leasing can often achieve the same results without diluting shareholder equity.
Leasing is Convenient and Flexible: Leasing allows simplified budgeting, and bookeeping. Lease terms are personalized, capital appropiations reduced, and most financing setrictions eliminated.