deciding whether to lease or buy, consider the following advantages of
- You pay little or no down payment,
and monthly payments are low
- You pay only for the portion of the
equipment you will use during the lease term, and not for the original
purchase price financed over a long term with a retail purchase
- You are not locked into owning
equipment that becomes obsolete and difficult to liquidate;
depreciation is no longer a concern
- You pay only for what you use, and
you have the opportunity to obtain new equipment when needed
- You remain current in today’s
changing world, as upgrades and replacements are easily available
- You have the option to buy should
- Payments are 100% tax deductible as
an operating expense; because lease terms are usually less than the
equipment’s useful life, a lessee may be able to amortize the cost of
the equipment faster through tax deductible rentals rather than through
- No collateral is necessary other
than the equipment itself
- With equipment that carries a
warranty, you always stay within that warranty with the flexibility of
upgrading the equipment
- Payments are a regular business
expense that comes out of pre-tax income instead of after-tax profits.
Working capital can then be applied to other areas that will generate
- Leasing covers your equipment
acquisitions while established bank lines and other credit lines remain
intact for other uses. In fact, leasing can improve your balance sheet
by recurring long-term debt
- The lease cost is a fixed monthly
rate for the life of the contract. Budgeting and planning becomes
easier and there is a hedge against inflation. By establishing the
amount of the lease payment today, you are actually making use of
tomorrow’s less valuable dollar
- A lease can be tailored to your
customer’s specific needs -- financially and operationally. Payments
can be made to fit their budget
- Equipment pays for itself as it
helps to produce sales and profits Leasing ultimately saves you time
There are five links below for you to
access right now. The first two are information about our Equipment
Leasing Services at FranchiseLeasing.com. The third is a DFS leasing
application. The fourth is our Credit Application in printable format.
The fifth is the ON-LINE version of our Credit Application. These are
all available to assist any prospective start-ups and existing
franchisees that need a fast approval and funding to help their
Business. This will help their cash flow and preserve their
liquid capital. Our Lease amounts are $5K - $250K.
We only finance to
the Franchise Industry.
Let us know if you would like for us to review your list of
equipment/fixtures and custom design a leasing program (to make it
easier and faster when franchisees need financing).
JUST CLICK each of the 4 documents below TO DOWNLOAD.
You will be prompted to OPEN and SAVE to your computer.
Leasing Brochure and Information.doc
Financing Services - 5 programs.doc
Leasing Application Package.doc
Leasing Credit App in PDF Format
** Below is
the online version of our Credit Application if you prefer this over
the printable version above:
Leasing ON-LINE Credit Application
To calculate what your monthly payment
(Debt Service) would be on your franchise loan, and to properly help
determine operating cash flow and business projections, simply plug in
the loan size, term (number of years) and interest rate.
* Most start-up franchise loans are
SBA (Small Business Administration). We also offer non-SBA loan
programs. Terms are negotiable only for “stronger” borrowers.
note – currently the interest rate is 6% (2¾ over prime
rate variable). Terms are usually 10 years on leased space and up to 25
years if Commercial Real Estate is included in the loan. Also, the
minimum loan size is $100,000.
results of this loan payment calculator are for estimation purposes
The result will be a close approximation of actual loan repayments, if
at the terms entered from a financial institution.
can be adjusted to preferred amounts.
only numeric values (no commas), using decimal points where needed.
Non-numeric values will cause errors.