If you're asking what an equipment sale leaseback is, you're not alone. A lot of people have never considered an equipment sale leaseback and are missing out on a flexible source of capital that could help when resources are stretched thin.
An equipment sale leaseback is when a company sells an asset, such as business equipment it is currently leasing, for cash. That asset is then leased back to the company by a leasing company under a new contract. The leased equipment never leaves the premises of the company, in fact, it usually remains under the same service. As an added benefit, the seller retains ownership over the asset at the end of the lease term.
An equipment sale leaseback helps a company improve its working capital situation and make sure that it is using assets efficiently. The monthly payments can usually be written off for tax purposes and are independent of bank credit lines. Office equipment, Digital copiers, Warehouse equipment, and even company vehicles can all be part of a sale leaseback program.
If you're considering an equipment sale leaseback, please consider talking to the Graphic Savings Group.
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