Asset Acquisition
Our Team of Fleet Managers will work with you on the purchase of your fleet cars, trucks, Busses and Heavy Equipment. Our Fleet Leasing Program will help save you money on capital purchases.
Here are 8 reasons why companies often choose to lease their vehicles and equipment:
1. Improved Cash Flow:
Leasing allows businesses to avoid large upfront costs and spread payments over time. This helps maintain cash flow and preserves working capital, which can be used for other operational needs or growth initiatives.
2. Access to Newer Technology:
Leasing ensures that companies can regularly upgrade to the latest models of vehicles or equipment, giving them access to newer technology, better fuel efficiency, and enhanced features without the financial burden of buying outright.
3. Tax Benefits:
Lease payments are often tax-deductible as operating expenses, which can help reduce a company’s taxable income. Depending on the lease structure, businesses may also be able to write off other costs such as maintenance and insurance.
4. Flexibility in Asset Management:
Leasing provides flexibility in managing assets. Once the lease term ends, businesses have options to renew, buy the equipment, or return it. This flexibility allows companies to adapt to changing business needs or to take advantage of new opportunities.
5. Reduced Maintenance Costs:
Many lease agreements include maintenance packages that cover routine servicing and repairs, reducing the cost and hassle of managing maintenance in-house. This can result in fewer unexpected repair expenses and better asset longevity.
6. No Depreciation Risk:
When leasing, businesses avoid the depreciation that comes with owning assets. If the vehicle or equipment decreases in value, the company is not responsible for that loss, which can be particularly important for rapidly depreciating assets like cars and technology.
7. Preservation of Credit Lines:
Leasing helps preserve credit lines and avoids impacting borrowing capacity. Businesses can lease equipment without tying up other financial resources or relying on traditional loans, which can be critical for companies looking to finance other parts of their operations.
8. Scalability and Growth:
Leasing offers the ability to scale quickly. As businesses grow and need more vehicles or equipment, they can lease additional assets without worrying about the long-term commitment of purchasing, which is especially important for expanding operations or responding to seasonal demand.
