graphic savings group blog

Leasing Equipment as a Seasonal Business

The goal of every seasonal business owner is to ensure that as many varialbes as possible are eliminated. One of the best places to begin with is your funding source.

We know one jeweler, who only has two profitable months a year. But you should see those two months. The challenges faced by business owners with seasonal demand are unique. How do you keep track of costs relative to revenue, when one is consistent and the other is erratic? The answer may be in how you structure your next lease.

Many companies are eligible for flexible payment schedules, that are arranged in accordance with product demand. Now most companies will not have a fiscal year (hopefully) like our friend the jeweler; however, corporations will have stronger sales periods based on holidays or the corporate calendar. Leasing equipment can help your business manage cash flow, regardless of the season.

For a lease for all seasons, consider Graphic Savings Group.

Why Lease as a Startup?

It seems as if the bills will never end when you are launching a new business venture. Most new ventures do not make money immediately and it's difficult to keep paying bills when you don't have money coming in the door. One area in which you can cut down on the large start-up costs is by leasing office equipment and peripherals such as phones or computer systems.  The three main benefits to new companies from a financial standpoint are as follows:

Tax Advantages

Leasing may provide an unexpected tax benefit. Usually, 100 percent of the lease can be deducted as a business expense. Bank loans are not eligible for the same benefits.

No Credit? No Problem

The hardest part of opening your business is securing the necessary funding. Leasing equipment can help you build credit while ensuring necessary cash flow for growth.

Flexibility

A lease allows you to decide how long you want equipment in your shop and gives you the opportunity to buy machinery at any time. Don't get locked into technology that could be rendered obsolete.
If you're just starting out, consider partnering up with Graphic Savings Group.

Why Lease?

Why should I lease is the first question for every business looking to install equipment or upgrade existing systems. There are a number of benefits to leasing, particularly for new businesses or companies looking to improve cash flow. Here are three of the most popularly reasons for leasing equipment.

100% Financing

A lease covers all of the costs of equipment from start to finish. There's no suprises or additional costs. The lease payments remain a fixed amount.

Free Up Capital

Leasing frees up capital for investment in areas that will appreciate over time. Money is often best invested in research and development or employee training.

Time Is On Your Side

A lease can be approved in as little as an hour, while bank loans may take between two and three weeks to be approved. So, when you need an answer quickly in order to close a deal, leasing is likely the most expedient option.

If you are considering leasing, please consider Graphic Savings Group for your leasing needs.