Our financing professionals can guide you to the financing structure that takes into account your cash flow needs, your tax position as well as the best income statement and balance sheet treatment. And of course, if you need to restructure your balance sheet, we can arrange re-financing of your existing equipment and help you with your immediate cash flow needs.
Term loans and leasing are the most popular vehicles to acquire equipment and both have their place in every business.
Term Loans
Equipment can be financed for a fixed term with either fixed or floating interest rates. Typically the term of the loan matches the useful life of the equipment. The advantage of a term loan is that ownership of the equipment remains yours and interest rates are typically lower with this form of financing.
Leases
Leasing can be an effective way for your company to acquire the assets you need to run your business without actually owning the equipment. Assets that are leased must be returned at the end of the lease term unless a purchase option is exercised. Typically companies should lease assets that are not part of the main focus of their business. For instance, forklifts and computers are great examples of assets that you should lease, rather than purchase, since they are typically obsolete after the lease term.
Term Loans and Leases each have their advantages and we would be happy to discuss the cost/benefit of either form with you.
At Aegis Equipment Finance we will tailor the right equipment financing structure to meet your company's individual need. |
