Business owners have many options when it comes to financing equipment purchases, business startups, or expansion/growth of the operation. It is critical to find a lending company with the experience to help you find the right financing options for the specific needs of your company. Lendvue has over 30 years of combined experience and partnerships with leading investors and lending firms.
There are three major choices for financing of companies. These are:
Each has benefits and drawbacks. Paying cash for equipment is extremely convenient, but ties up funding for future purchases and can take more time to pay off infrastructure. This option tends to be best for start-ups and can be cost effective if done carefully. Loans are beneficial for companies with an established track record with lenders, but the criteria for approval can be daunting, especially for newer companies without a history of profitability. There are tax savings available through loan options. The lease option offers the most flexibility for most business purposes; along with considerable tax savings, leases allow the company to retain more liquid assets for future purchases or expansion and gives the company the ability to get much-needed operating equipment faster than with the other financing methods. A business lending expert such as Lendvue can help companies pinpoint the best financing options for their needs, including loans and leasing products.