Tanmand

This a very broad subject.

Their is a lot of companies of companies now offering leasing.

Leasing does not tie up your credit or capital.

If you have 200,000 available in credit, and you take out a loan that equals 150,000. You now have 50,000 left.

If you lease 150,000 in equipment, you are not purchasing, you are basically renting, so you still have 200,000 available.

If you do a $1.00 buyout lease that will probaly not be a tax advantage at all. Uncle Sam does not consider a 1.00 buyout as a true lease.

A true lease usually has a residual buyout at the end of the lease. Usually about 10% of original invoice.

It is usually a very good idea to talk to an accountant that understands leasing before you make a decision. Every situation is different. I have had some say that leasing is more beneficial and some say financing is better.

Very big tip!!!

Always ask leasing company and salesperson if they are paying or getting a spiff on your leasing deal.

A lot of these companies pay spiffs(money, or bonus) to salespeople so they will send business there way. This can be from 1-4% of your lease percentage rate. It can add up to a lot of money, and guess who pays for it. Some salespeople will only send you to someone who pays spiffs. Even when they know someone else may give you a better deal.

Some lease companies refuse to pay spiffs and a lot of times have better sources and deals.

DO YOUR Research !!!