Leasing has become an increasingly popular method for businesses who use capital equipment because it offers a number of advantages over more traditional alternatives, such as a cash purchase or bank financing. Companies lease equipment because leasing represents the best use of their financial resources.
Conservation Of Capital
When capital is conserved by leasing equipment, it can be used for other company uses (increasing inventory, expanding sales, etc.). The average return on capital in business is 18% AFTER taxes.
Conservation Of Credit
A lease is not a loan. Borrowing reduces lines of credit. Leasing is a credit source which allows a business owner increased borrowing capacity.
Off Balance Sheet Financing
An operating lease keeps the debt, and the corresponding asset, off the company's balance sheet. By leasing, borrowing debt covenants are circumvented, financial ratios are enhanced, borrowing capacity is increased and your company is financially healthier.
Eliminates Obsolescence
Leasing allows you to take advantage of the latest available technology - giving you an edge your competitors may not have. Nationwide Funding structures leases to allow you to purchase the very latest equipment, and we offer trade-up options to all our customers.
Tax Benefits
A true lease generally allows for 100% of the monthly payment to be expensed whereas bank financing would only allow expensing the interest costs (Accelerated Depreciation). See your tax adviser to see how leasing can provide tax savings for you.
Flexible Financing
In today's volatile economy, interest rates change every day. Leasing provides fixed rate financing with specially structured terms to accommodate the specific need of each and every company. No matter what happens in the financial markets, your lease term will remain the same.
Need more flexibility? We structure leases to include step-up, step-down, deferred, and seasonal payment plans. No matter what your needs are, Nationwide funding can help your business grow.


