Leasing Vs Buying Office Furniture

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Leasing offers a significant advantage to business with predictable or seasonal cycles, allowing flexible options for the customization of your payment schedule to your needs. With a well-structured lease, you will not pay for your equipment until it has paid for itself. Additionally, fixed rate lease payments allow you to accurately predict equipment costs and cash needs, unlike the variable interest rates offered by many bank loan and credit line options.

In this day and age of rapid technological growth, leading edge equipment assets depreciate faster than ever before. Traditional bank lines are perfect for day-to-day business expenses, but not for funding long term capital acquisitions. Leasing provides an alternate source of credit and financing that allows you to acquire what you need, when you need it, without investing in depreciation. Additionally, leasing will not weaken your borrowing power, because money has not been borrowed, leaving your existing credit line healthy and available for your company’s growth and other unforeseen expenses.

Spreading your costs evenly over a lease terms can help you stretch your budgeted dollars to acquire the quality and quantity of assets you really want, instead of the bare minimum required.

Monthly payments on operating leases are typically viewed as operating expenses, and are made from pre-tax rather than after-tax earnings, offering significant tax benefits.

For example: Financed Amount (Including D&I, before taxes)	Net Furniture Cost	60 Month Lease Payment	48 Month Lease Payment	36 Month Lease Payment
Less than $50,00	$32,000	$678.40	$816.32	$1047.04
$50,000-$100,00	$65,000	$1365.00	$1642.55	$2106.65
Greater than $100,00	$112,000.00	$2329.60	$2804.48	$3595.20


Lease pricing based on $0 down $1 buyout at the end of the lease