Lease Equipment Financing Secrets : Just The Facts On Financing Assets

Tweet


How To Use Lease Financing To Your Company’s Advantage

OVERVIEW : Information on lease equipment financing as a solution of new and used asset acquisitions

Lease equipment financing is clearly one of a number of financing strategies that is employed by Canadian business owners and financial managers. New? No.. not really, but misunderstood? Perhaps. This is clearly not a new financing solution: Do you as a business owner or financial mgr understand the benefits of lease financing. Let's dig in.

Those benefits: They revolve around your firm using the asset, new or used, and becoming productive, growing your sales and profits through the use, not the ownership, of the asset.

Naturally if you utilize lease financing in Canada primarily for cash flow benefit you of course have the option of structuring your lease so that you own the asset also. The old saying of ' profiting through use, rather than ownership' has never been truer.

When we sit down with business owners and financial personnel to discuss their lease financing transaction, or their overall financing strategy for their firm we continually come back to the point that getting the right asset at the right price, and next : properly financing that asset.


Every business today is challenged to be more competitive in the new global market , whether your firm is state of the art leading edge technology driven, or if you are a Canadian nail maker competing with off shore competitors in China . So utilizing the best, latest, and right equipment for your firm is what Canadian lease financing is all about.

There is no one lease financing solution for every business in Canada. Lease structures differ, different users focus in on different benefits they wish to achieve, and even governments utilize the strategy for different reasons. Many people are surprised to know that municipal, provincial and federal governments all utilize lease financing strategies.

In the past we have spoken of different firms, as noted above, focusing in on different lease benefits. We also need to point out that when your Canadian firm enters into a single lease, or perhaps an overall lease financing strategy that the transaction has implications on your taxes, you're accounting treatment of the lease and how the lease needs to be structured from a viewpoint of rate, term, etc.

Naturally everything we are talking about pre-supposes you will be approved for your lease transaction from a ' credit approval ' perspective.

Different aspects of your company’s overall credit quality will affect the rate, term of your lease, and the amount of the approval. A down payment might be requested in some situations. The current reality is that there are so many flexible lease structures that the vast majority of firms can attain some level of lease finance success.

Bottom line? It is simply that Canadian equipment financing is a valuable tool in any business owner's tool kit in Canada. Understand the benefits you wish to achieve, and work with a trusted lease advisor to ensure you maximize the lease benefits for your firm.



7 Park Avenue Financial :
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8

http://www.7parkavenuefinancial.com


Business financing for Canadian Firms , specializing in working capital, cash flow, asset based financing , Equipment Leasing , franchise finance and Cdn. Tax Credit Finance . Founded 2004 - Completed in excess of 100 Million $ of financing for Canadian corporations .







7 Park Avenue Financial

Direct Line = 416 319 5769

Office = 905 829 2653

Email = sprokop@7parkavenuefinancial.com

' Canadian Business Financing With The Intelligent Use Of Experience '

ABOUT THE AUTHOR
Stan has had a successful career with some of the world’s largest and most successful corporations.
Prior to founding 7 Park Avenue Financial in 2004 his employers over the last 25 years were, ASHLAND OIL, ( 1977-1980) DIGITAL EQUIPMENT CORPORATION, ( 1980-1990) ) CABLE & WIRELESS PLC,( 1991 -1993) ) AND HEWLETT PACKARD ( 1994-2004 ) He is an expert in Canadian Business Financing.

Stan has over 40 years of business and finance executive experience. He has been recognized as a credit/financial executive for three of the largest technology companies in the world; Hewlett-Packard, Digital Equipment and Cable & Wireless. Stan has had in depth, hands on experience in assessing and evaluating thousands of companies that are seeking financing and expansion. He has been instrumental in helping many companies progress through every phase of financing, mergers & acquisitions, sales and marketing and human resources. Stan has worked with startups and public corporations and has many times established the financial wherewithal of organizations before approving millions of dollars of financing facilities and instruments on behalf of his employers.

Stan Prokop