Heavy Equipment Leasing Financing FAQs

Credit Solutions

Syndicated Leasing offers the skills and know-how to get deals past the funding hurdle. Our account representatives are trained to work closely with you to structure even the most difficult deals. Instead of rejecting deals without explanation, our credit department works with you to develop alternatives to fund your equipment....

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FAQs on Equipment Leasing & Financing Services

What are the Tax Benefits of Equipment Leasing?

EQUIPMENT LEASING PROVIDES TAX BENEFITS AND TAX ADVANTAGES

The tax benefits can be extremely important to a business's cash flow. By carefully structuring your lease purchase with your accountant, certain types of lease buyouts may create tax advantages for your company if they qualify as true operating leases. In addition to conserving valuable company working capital and preserving existing bank credit lines, leasing business equipment rather than paying cash may offer tax benefits and savings if structured correctly. Operating or "true" lease payments may be fully expensed and accelerate tax deductions when compared to lengthy depreciation schedules.

Conventional bank and other financing often have term restrictions and relatively higher down payment requirements than leasing. Furthermore, virtually all bank loans must be capitalized and cannot be depreciated. It is important to check with your accountant or CPA about any potential tax benefits or tax advantages for proper advice. Syndicated Leasing does not offer tax advice to any of our clients.

Benefits

• 100% financing
• Requires minimal cash up front
• Offers lower payments than a loan
• Flexible payments, i.e., step-up, step-down or seasonal payments
• FMV residual purchase option
• May provide off-balance sheet accounting treatment so that the acquisition does not adversely affect financial ratios or loan covenants

Disclaimer
All programs, conditions, and terms are subject to credit approval and can change at any time without notice.

FAQ's

1. How long does the lease process take?

2. Does the equipment have to be new?

3. How long do I have to be in business to qualify for a lease?

4. Who is responsible for equipment maintenance?

5. What happens to the equipment at the end of the lease?

6. Do I have to pay taxes on leased equipment?


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