How Our Equipment Finance Agreement Can Work For You
We understand that there comes a time in every business when you must find the capital to expand your operations through purchasing new equipment. This can be an incredible expense and equipment leasing may only be a stopgap solution, because true expansion needs to be thought of in the long term, not the short.
Because of this increasing need in today’s economy for businesses to survive, we now offer the option of an equipment finance agreement, to help you get the equipment you need now, not later.
Want to know more about how an equipment finance agreement can help your business to expand? All of us here at Sun South Equipment Leasing have been helping businesses thrive through special financing arrangements for years. Call us today for a complete consultation.
An Equipment Finance Agreement is Not a Lease
While an equipment lease might be a valid option for those businesses that only need to upgrade certain levels of capital equipment, such as computers or small production equipment, it might not be an option for those who need other equipment like construction machinery or transportation vehicles.
With an equipment finance agreement, you are not leasing those items for a length of time. We help you to actually purchase those items, over time, at more reasonable terms than can be found in the average financing contracts done through standard loan agencies.
Unlike a lease with option to buy at the end of the lease agreement, this arrangement gives you full ownership of the capital equipment you need to purchase, without laying out a huge amount of cash to do so. From day one, you assume full ownership, even though you will be making payments on the purchase price in the form of affordable payments per month until the balance is paid.
It also entitles you to be able to take advantage of the same tax benefits on your yearly taxes as would anyone who takes out a capital lease. You would be able to claim tax credit on the full purchase price, without having paid it up front.
Equipment Financial Agreement Requirements
Just like an equipment loan through a standard lending agency, there is paperwork to fill out to satisfy the terms of this financial agreement. We do have the ability to underwrite our own financing agreements, so you cut out the middleman from the start. We do require that you file a financing statement, because we will retain a security interest in any named collateral, in case of default.
This is not an arrangement that can be entered into easily, without some requirements. This is not meant for a start up business, and your business should have been in operation for at least two years, before negotiating for an equipment finance agreement. Our terms are more reasonable than a loan company and we are willing to work with established businesses to get them the financing they need to expand in today’s economy.