Leasing BenefitsMergers… Acquisitions… Growth.... With amazing financial movement, the business equipment appetite has increased dramatically; coupled with tax and accounting sophistication, combine to produce a greater appreciation for Equipment Financing. Businesses continue to expand and use the fundamental advantages of leasing. Equipment Lease Financing last year exceed $220 Billion.
Blake Financial Resources offers its business customers over 20 specific financing programs. These programs provide the sales and management team a distinct and competitive advantage. As the demand for financing increases, Blake Financial will provide new products. We recognize that each business has a unique financial position, often internal political motivations for finance.
As a business partner, we offer personalized service, flexible documentation with lessors and investors who support the business interest with products among endless customer financial requests. We listen and strive to understand all business needs.
Advantages of Equipment Financing:
Financing is the most widely used method of equipment acquisition-Why? Because lease financing provides businesses of every type with so many different benefits, including, planned obsolescence, off balance sheet accounting, simplified tax returns, less restrictive covenants, flexibility of 100% financing and lower costs.
Financing is Cost Effective - When equipment is financed it is paid for over several years, and not when it is received. Your product will benefit your customer for many years. Why not pay for the equipment with pre-tax dollars as it earns income for the business.
Financing Guards against Technological Obsolescence - Advances in technology are made so quickly that today's state-of-the-art equipment can become several generations old within a few years. With equipment financing, you transfer the risks of ownership and technological obsolescence to the lessor. Financing allows your customer to acquire optimum technology without purchasing the assets and bearing the associated risks and costs.
Financing Conserves Capital - Financing allows your customer to pay less for the equipment over an extended period of time; allowing your customer to keep liquid capital and place working capital in areas where returns are higher. Financing becomes the best use for cash.
Financing Helps Financial Reporting - Financing helps you manage your balance sheet as the asset and corresponding liability become…"off balance sheet." The entire monthly payment is expensed and treated as an operating budget item. Your customer can potentially increase a company's borrowing capacity while improving important ratios. The return on assets and debt to equity ratio creates a more favorable economic picture for each business.
Financing Overcomes Budgetary Constraints - Financing allows your customer to leverage existing budgets while avoiding large down payments. A smaller monthly expense for financed equipment can generally fit into the tightest operating budgets.
Financing Increases Flexibility - Financing provides the flexibility to add, upgrade or refresh the equipment as needed. Payment schedules are easily adjusted or deferred to match cash flow considerations and budgets. Additionally; end-of-finance options, allows the customer to avoid the burdens and costs of equipment disposal.
Financing Conserves Credit Lines - Financing provides your customer with a new source of credit. Most businesses elect to work with more than one financial institution. By preserving established lines of credit with a local bank, a customer can extend their credit "ceiling."
Financing Protects against Against Inflation - Lease Finance payments are fixed. This means that when interest rates increase, your customers finance payments will not change. Paying cash for the equipment becomes significantly more costly. Money spent today - with all of its present purchasing power - is gone forever. It becomes important for a company to invest their dollars into assets that appreciate in value, rather than equipment that historically depreciates.
