Five Key Advantages: Financing Cold Jet Equipment
Cold Jet provides the most technologically advanced dry ice cleaning, surface preparation, parts finishing, and dry ice manufacturing systems in the world. Click here to learn more.
Is financing/leasing better than paying cash for business Cold Jet equipment? There is no right or wrong answer to this question, as every business owner has their way of doing things. However, it is essential to know some of the advantages of equipment financing/leasing. That way, you can make the right decision for your company and budget. Envision Capital Group developed these five key advantages to help guide you in the right direction.
1) Reduced cash outlay.
Financing Cold Jet equipment will preserve your working capital that would otherwise be used if you were to pay cash. You will only be responsible for low monthly payments over an agreed-upon term length.
2) Improve your business credit score.
Establishing and maintaining credit is a critical element for any business. Business credit takes time to build, yet it may open doors to more significant amounts of financial freedom. Building business credit can also help you separate your finances from your business’s. As with personal credit, strong business credit can lead to lower insurance premiums or interest rates. Hence, an excellent way to build business credit is by financing/leasing the equipment you need.
3) Potential tax deductions.
Tax deductions are one of the most significant advantages of equipment financing/leasing. If the Cold Jet equipment you lease qualifies for the Section 179 tax deduction, you might be able to expense all or portions of the cost. Check with your accountant to determine if the equipment you want to get is eligible under Section 179. Learn more about Section 179 here: https://www.envisioncapitalgroup.com/section-179/.
4) Keeps equipment current.
Financing/leasing can help you stay on top of the latest equipment, technology, and machinery advances. When your lease is up, upgrading to newer Cold Jet equipment can give your company a competitive edge. When you buy equipment, you are stuck with it unless you can sell it. So, if your business uses equipment that is periodically updated with better features and capabilities, a lease might be the best option.
5) Better balance sheets.
Helping you keep an attractive balance sheet is another advantage of financing Cold Jet equipment. Your monthly payment is viewed as a business expense instead of a liability or long-term debt. Having little or no debt on your company’s financial statements is a huge benefit that can improve your Paydex score. Learn more about Paydex here: https://www.dnb.com/resources/what-is-paydex-score.html
Contact Ryan McQuitty at 949.225.1706 or via email: firstname.lastname@example.org
Our mission is to help Cold Jet customers get the best financing for their equipment needs. We have a variety of financing options to choose from (OAC) and applying is simple: https://www.envisioncapitalgroup.com/ryan-mcquitty-financing/