Review: Why it is better to lease Axis Capital Group Inc. Personalized
AXIS Capital, Inc. a group of companies headquartered in Grand Island, Nebraska which a Direct Lender is providing quality equipment leasing/financing service along with superior customer service provides you these reasons why it is always better to lease than purchase new heavy equipment.
The Article 179 – Section 179 of the IRS Tax Code permits a business to subtract the total price purchase price of qualifying equipment bought or financed during the tax year. Per se, by leasing equipment and subtracting the full purchase price you fundamentally get “Free” usage of your equipment for the whole year.
Direct Tax Expensing – Warning! Companies that are unqualified or decided to employ the Article 179 Alternative, lease payments are irrecoverable as they are made. This abolishes the requisite for depreciation schedules and consents faster write off. This marks in better cash flow for your customers.
“100% Plus” Financing – lease companies may be able to cover all you require to make your equipment work for you. This comprises software, installation, related leasehold improvements, training and even some supply items. This reduces your early costs and lets you get profits from your new equipment faster.
Leasing is a well-accepted notion and it is a Proven Alternative. Above 32% of all equipment purchased in the Southeast Asian countries such as KL Malaysia, Jakarta Indonesia, Bangkok Thailand and many more is bought under a lease contract. This brands leasing the sole largest form of external corporate finance. More than 80% of companies lease some or all of their equipment, starting from small startups up to “Fortune 500″ giants.
Adjustable Payments – Lease payments can be accorded to project revenues, seasonal cash flow variations, budget limitations and further challenges. The must to divert cash or add to loan balances is detached. Leases can be designed with no payments for up to six months, longer amortizations, PUTs, TRACs or other possible alternatives to lessen payments even more.
Financial Reporting Advantages – The Company may be able to structure leases to match FASB requirements for “off balance sheet” accounting treatment. As the total committed lease payments currently demonstrate as a footnote instead of a obligation the total ratios are enhanced and there is fewer risk of advancing covenant violations.
Protecting Bank Lines – Banks are ideal for short term necessities and you must use them in that manner. An available line of credit is an exceptionally valued tool to address unexpected emergencies. Consequently reducing those open lines through using them to finance equipment can be hazardous. Moreover, bank terms, appetites and suppleness on equipment transactions vary from “less than optimum” to “downright difficult”.
Visit their website: http://www.axiscapitalinc.com/