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Business Equipment Leasing: What Sort of Equipment Can Be Leased?

Setting up or expanding a business can be challenging, especially because you have to pay for the space, the workforce, and all your equipment at once. A possible solution is business equipment leasing, which allows you to spread out the cost of your items and remain more flexible. There is a wide range of different options and products available, both physical and digital.

A large lending company such as Noreast Capital can help you gain access to almost everything your business needs: furniture, large electrical items, an HVAC system, and even software. Small and mid-sized businesses can benefit from this because they can expand faster, invest more money in expanding their operations, and exchange old equipment more frequently.

What Equipment Can Be Leased?

Whether you’re thinking of starting a new business or you’re already running a company and hoping to expand, leasing could be a great option for you to make it happen. The main advantage is that you can gain access to the equipment you need without having to make the high upfront investment. This could allow you to grow your business faster or get started at a much lower cost.

There are almost unlimited types of equipment you can lease, and they cover the majority of business ventures. For example, you can borrow restaurant equipment, office furniture and electrical devices, security equipment, and even software. No matter what your needs are, you should get in touch with Noreast Capital to find out whether we have the suitable tools for your business.

Large Pieces of Restaurant Equipment

If you’re setting up a new restaurant or expanding your current one, you might not have all the capital you need to purchase the large pieces of equipment required. In such a situation, you can simply lease them, either temporarily until you can buy, or permanently. That way, you can reinvest all your profits instead of spending them on expensive gadgets.

At Noreast Capital, we can lend you a wide array of tools you need to set up your restaurant or catering business. This might include refrigerators, ovens, dish machines, beverage dispensers, fryers, and ranges. In addition, we can also provide you with furniture if you would like to offer onsite dining, and we can help you to access an HVAC system that suits your venue and local climate.

Office Furniture and Tools

There are a wide range of businesses that require offices, and not all of them have the resources to immediately purchase all their furniture and tools. For this reason, these items are one of our most popular classes of equipment. We can provide you with photocopiers, telephones and the associated cabling, printers, scanners and other graphic design equipment, and furniture such as desks or chairs.

By making use of business equipment leasing, you can expand your operations faster and add more space to the office without having to worry about the cost of the equipment. In fact, we have different types of leases that suit a wide variety of businesses, so you can choose to start repayments immediately or to delay them. If you have a seasonal business, we can even charge you less during the months you don’t have cash coming in.

Security Equipment

Every physical business needs to be adequately protected from crimes such as theft, burglary, or vandalism. Some of the best types of security are cameras either outside or inside and an alarm system, but there are other options that could be suitable, depending on the type of business you run and what assets you keep at the premises overnight.

Because security equipment can be extraordinarily expensive, you should consider starting out with a lease. If you decide to remain on the premises and you like the system, you can always decide to purchase your equipment at the end of the lease term. However, starting out by lending can help you avoid the large upfront investment that comes with high-quality security.

Software

Borrowing physical items isn’t the only type of business equipment leasing that exists. In fact, we can also provide you with the software necessary to run your company. As you may already know, it can be expensive to purchase software for advertising, accounting, graphic design, or business management upfront. If you don’t know whether a certain tool is right for you or you don’t anticipate using it long term, a lease could be a much better option for you.

In addition to the fact that you’ll pay less, you can also deduct leased software from your taxes. That’s why countless other businesses have decided to choose this option and are now gaining access to the newest technology without having to spend thousands upfront. What’s more, because the lease term is limited, you’ll be able to upgrade to newer versions of the same software as soon as it comes out.

Is Business Equipment Leasing for Me?

Now you understand what kinds of products we lease, you might wonder whether this is the best option for you. After all, isn’t it more expensive to lease than to purchase items upfront? The answer is that it depends. Although it can be cheaper to buy everything, starting your business might require a lot of different types of equipment, which means you’ll have to take out loans. This can be more expensive than a simple equipment lease.

What’s more, you only pay a low monthly fee when you lease, which means that you get to keep your money for longer. If you reinvest it into the business wisely, you could make a return that far exceeds the amount you’d save by buying upfront. That’s why many smart CEOs and business managers opt to borrow their equipment and pour all the resulting resources into expanding their company.

You Want to Get Started Now

Some companies who get a lease from us are startups that are opening their first office. Because it’s rare that such a business already has significant assets, they usually only have two options: get a loan and purchase equipment upfront or get a lease. As mentioned, the former option can be more expensive, particularly if you are not well-known yet and are therefore unlikely to get the most advantageous interest rate.

That’s why leasing could be a much better deal for you. There are many different types of leases offered, so you’re sure to find one that suits your individual needs. For example, you could postpone payments for the first few months, which gives you a chance to get set up and begin trading. Then, you can pay increasing amounts as your business expands and grows. This delayed payment can give you the boost you need to become successful.

You Want to Expand

We also work with mid-sized companies that are established in their community and are looking to branch out. You may increase your office space, set up a new branch somewhere else, or break into a new market. These changes become accessible to you with a leasing program, and you can grow your operations much faster than you could if you had to use your own money to purchase everything.

You Need Equipment for a Short Time Period

Not every office and workspace is permanent. At some point, you might have to set up a temporary space as you work on a particular project or complete an assignment. It makes no sense for you to purchase all the equipment needed for this, especially as you won’t be able to sell it on for much money once it has been used. In such a situation, leasing is the most attractive option because you can avoid a large expense that doesn’t serve your business.

You Need the Newest Equipment

New products come on the market regularly, and leasing can help you remain flexible in what items you use. When one of your tools becomes available in an updated form, you can switch to the newer version as soon as your current lease is up. In this way, your business remains on the cutting edge and attracts more customers because you have embraced leasing.

Business equipment leasing is a great strategy used by many successful small and mid-sized companies. Whether you are looking to set up for the first time or expand an established company, you can access the items you need without having to deal with a large upfront cost. Instead, you can spread out payments over many months or even years and therefore reinvest more money into growing your business.

We offer a wide range of equipment that can suit many businesses. For example, you can lease electrical devices needed for a restaurant, security equipment, office furniture and tools, and software. When your lease is up, you can give your items back, purchase them, or upgrade to a newer version. Call or message us now at Noreast Capital to find out more and to speak to one of our leasing experts. We can help you find the perfect deal.

What Are the Advantages of Leasing Equipment for Your Business?

There are so many hidden advantages of leasing equipment for your business! It’s an especially excellent option for businesses that want to grow their company but don’t have the capital. In addition, it allows companies to make investments in the future without spending all of their money at once.

You can use leasing as a tool to help you achieve all your goals and dreams for the business, no matter what they are! Here are some of the most impactful ways that leasing can boost your business:

What Are the Advantages of Leasing Equipment for Your Business?

Lower Cost Up Front

Leasing typically offers upfront cost savings since you’re able to spread the cost of equipment over a specified term, and there are no down payments required. Fewer upfront costs result in additional cash flow when compared with traditional financing methods. In addition, when you choose to lease, your business doesn’t have to use up existing lines of credit or bump up credit limits.

Many businesses are able to pay for their equipment using lease financing before they would have been able to purchase it outright with cash or other forms of credit. Lease your equipment to save money on business expenditures (bank lines) for day-to-day operations, growth, or unforeseen business costs.

Get Equipment Faster

Getting a bank loan to purchase equipment can take weeks before you get approval. But leasing from us is lightning fast! You need only use our online credit application tool to request financing, and you’ll receive a reply within four hours – sometimes as quickly as 30 minutes!

Our documentation turnaround time is similarly fast; we can email, fax, or courier the documents overnight. Often, we can have everything set up within 24 hours. And the sooner you get approved and signed, the sooner you can get the equipment you need to make your business grow and thrive.

Flexible Payment Terms

Leasing gives you the ability to make low monthly payments as well as options for buy-out or end-of-term purchases. Also, we can provide your business with excellent credit terms and flexible payment arrangements that allow you to get the low monthly lease payments you need.

You can easily spread the cost of the equipment out over an extended period of time, so you’re never spending more than you’re making. Furthermore, we offer a selection of unique leasing plans tailored to your business needs. Some examples include:

$1 Buyout

Choose this plan when you’re completely certain you will want to buy out the equipment at the end of the lease. When your term is up, you purchase the equipment for a dollar.

Seasonal Lease

If you have a seasonal business that’s closed for certain months during the year, this is a great option for you. This way, you only make payments during the months you’re open for business.

Deferred Payment

If you need the extra time, we can accommodate you. With this plan, you only begin making lease payments 2-3 months after you obtain the equipment.

Fair Market Value

This is a fantastic, flexible option for businesses that want to keep their options open! At the end of the lease term, you can choose to extend the lease, return the equipment, or purchase it at its fair market value. We even offer financing options for the last choice.

Consistent Monthly Payments

Leasing enables you to use only the equipment you need within a budget that works for you. Once you’ve agreed to the best leasing option for your business, you pay the same rate every month for the duration of your term. Even if there is a sudden increase in interest rates, your payment stays the same. Predictable monthly payments can be a lifesaver for your business!

Save at Tax Time

Lease financing may help your company save money in taxes. Often, lease payments are 100% deductible, as it’s considered an operations expense. For example, section 179 of the IRS Tax Code enables a business to subtract the total price of certain equipment the year that it is purchased.

Some equipment may not qualify, but even then, you might be able to claim a depreciation deduction. It all depends on the business and equipment, so always ensure you check with your tax advisor to determine which savings apply to you.

Less Risk

Buying equipment outright can be risky, even if you have the capital. Marketplaces can change overnight due to the fluctuations in the economy and other unpredictable factors. Just look at how the pandemic has affected businesses!

But restaurant equipment leasing means you don’t have to worry about losing your investment. And if anything goes wrong, you’re only responsible for the lease payments, not the depreciation of the equipment itself. Leasing offers 100% financing, meaning your business won’t be responsible for any of the capital upfront. If something goes awry during the lease term—like a natural disaster—you can usually return the equipment without penalty.

No Maintenance Costs

Most leases include scheduled maintenance and regular inspections, reducing the amount of equipment downtime your company experiences. If something breaks from regular use, you don’t own it, so you don’t have to pay anything for someone to come and repair it. Likewise, you don’t have to waste valuable time and resources looking for a repair company or replacement material.

Stay Ahead of Your Competition

Perhaps one of the most significant advantages of leasing equipment is that you can affordably obtain all the latest, cutting-edge equipment that enables your business to run at peak efficiency. That means you can keep up with competitors and deliver exceptional customer service that keeps your clients coming back for more.

For example, installing the latest office telephone system that can accommodate a higher volume of calls means you can deliver on projects more quickly and efficiently than the competition. That kind of service gives you an edge, even if your competitors are a bigger company.

Escape Obsolete Equipment

If you work with technology or equipment that needs regular updating, leases work to your advantage – you’ll never be stuck with old equipment because you don’t own it! If your equipment becomes obsolete or no longer functions as it should, leasing gives you an easy way out to avoid costly repairs or replacement costs while keeping up with current technology. Leasing offers the flexibility to make confident, informed decisions on what updates are needed without the long-term commitment.

Improve Safety and Security

Businesses that own their equipment will naturally try to get the most mileage possible before replacing it. But depending on outdated equipment can be detrimental to the business’s safety and security. For example, old computers can pose a security risk if not replaced or adequately maintained.

Similarly, old vehicles can break down at the worst possible time. Electrical equipment could break and cause a fire. But by leasing your equipment, you never run the risk of such problems because you’ll never need to hold onto old equipment in an attempt to save money.

Improve Your Finance Options

Leasing conserves your capital. Instead of being treated as long-term debt, lease payments are reflected as a business cost. That means less debt on your balance sheet, opening you up to better financing options that support your business. It also preserves your lines of credit so you can save that reserve for emergencies or other projects. That extra capital gives you a cushion to operate on.

Product and Leasing Expertise

Another benefit to leasing the equipment is your leasing company has comprehensive expertise on the product you’re using. That means that we can not only hook you up with the best leasing solution for your business, but we will arm you with the optimal equipment and show you how to use it most effectively.

There’s no need to hire an in-house professional to set up the tools or train your staff. For example, if you’re renting network equipment, you would likely need to hire an IT person to set it up and maintain it. But when you’re leasing the equipment, we take care of that for you!

Flexibility for Your Business to Evolve

Because of the transient nature of leasing, you have the freedom to plan and change your equipment needs as your business grows. For example, if you’re planning an expansion but don’t know how big a company you’ll be in five years, leasing can help protect your cash flow while still facilitating growth. Then when business is booming, and you need to scale your equipment needs, leasing easily allows you to upgrade your assets.

The numerous advantages of leasing equipment make it a no-brainer for many businesses. And with so many flexible lease options at your disposal, you can get the gear you need on just about any budget or timeline.

Whether you’re looking for short-term leases for office equipment or long-term leases for restaurant products, there’s something for everyone! So if you’re ready to get the products you need to accelerate your business to new heights, contact us at Noreast Capital today!