Leasing Assets ? Got What It Takes For Financing Equipment With Your Lease Company . You Do Now!

Managing Your Equipt. Leasing Relationship?

OVERVIEW – Information on leasing assets in Canada . Financing Equipment Via A Lease Company requires this fundamental knowledge


Leasing assets in Canada. Quite frankly it’s a relationship you're in when you’re financing equipment, and a lot of Canadian business owners and financial managers could do better when financing equipment and assets if they managed and partook in that relationship with their leasing company. Let's explain!

Selecting assets for your business is tough enough these days when it comes to technology, pricing, cost, etc. The business owner or financial manager doesn't need to have that same level of concern around the financing though. It's a simple case of being a bit more proactive in the relationship. We're told a relationship is a ' connection or involvement ' -

so we're saying it's about time to get involved with that lease company.

Knowing the bottom line and the actual financing cost and benefits of asset acquisition is what it is all about.

In every lease transaction it's important to understand the inflows and outflows of cash flow in your company as it relates to assets. Two key points here - one is that the rate and type of lease will determine your monthly payment or cash flow - but the business owner/ manager often doesn't consider the cash inflows or benefits that come from acquiring many revenue producing assets . It’s important to look at the total picture, especially, as we said, if you have got a revenue producing asset on your hands.

Part of every concern the business owner/ manager shares around acquiring assets is the lease versus buy decision. So do spend some time on determining if your asset decision makes good common sense re benefits, costs, and cash flows.

In lease finance it's all about ' cash flow ' and monthly payments. True of false? Well we can offer up for sure that most clients seem to place the most emphasis on those two points. While it’s fairly simply to determine monthly payments and total interest costs etc don't forget also that the type of lease you enter into also has some effects on your rights and obligations in your equipment financing transactions.

The ability to terminate a lease, return the asset, or even extend the lease simply makes it critical to having a solid relationship with the right lessor.

Lease companies use several strategies to maximize income, and of course no one denies or should deny their right to make a reasonable profit. But just proactively managing your relationship with your finance firm allows you to understand key lease company profit components of your transaction. For instance, have you ever asked your company if they have calculated that great rate you just got ' in advance ‘, or ' in arrears '. You just might be surprised at the answer, and the cash flow outcome.

Our bottom line today - take the initiative in managing and understanding the relationship between you, the asset in question, and your lease company partner. Seek out and speak to a trusted, credible and experienced Canadian business financing professional when it comes to leasing assets in Canada.

7 PARK AVENUE FINANCIAL
CANADIAN LEASE FINANCE EXPERTISE



Stan Prokop - founder of 7 Park Avenue Financial –

http://www.7parkavenuefinancial.com

Originating business financing for Canadian companies , specializing in working capital, cash flow, asset based financing . In business 7 years - has completed in excess of 80 Million $$ of financing for Canadian corporations . Core competancies include receivables financing, asset based lending, working capital, equipment finance, franchise finance and tax credit financing.
Info re: Canadian business financing & contact details :

http://www.7parkavenuefinancial.com/leasing_assets_financing_equipment_lease_company.html