Leasing Assets - Would You Be A Business Zombie Without Lease Companies And Asset Financing ?

Do Equipment Lease Options Work For You?


OVERVIEW – Information on asset financing in Canada . Lease companies are a solid choice for leasing equipment assets in Canada



There's probably no chance you're a walking ' business zombie '

when it comes to leasing assets in Canada from lease companies that provide asset financing. But truth be told we do meet many clients that seem a bit lost and need a sense of direction when it comes to a positive way of acquiring their assets.

So when your cash flow restrictions are putting some pressure on your decision to acquire business assets that’s exactly a time when you should consider leasing. Oh, and by the way, in case you haven’t heard, times have changed! You're dealing with an industry that has evolved substantially over the years, and with all the technology in place these days, both in your hands and the lessors it's a lot easier to make a solid financing decision if you're well armed with needs/benefits and the ability to choose a solid lease company partner.

Naturally if your firm had all the cash it needs it probably wouldn't have to consider leasing as a business finance option. But when cash flow, budgets, and other pressures come to bear its right about now that you should be considering this financial solution. It's all about building, growing and even starting your business. (Yes start ups are eligible also!)

Rather than being in our ' ZOMBIE MODE ' it's important to be proactive in getting your asset finance in order. Yes, it’s true that you can't get funded for any loan, let alone a lease, prior to acquiring the asset but you sure can do a lot of work to ensure a financing approval is in motion.

If you choose to do everything ' wrong ' in leasing assets then categorically don’t spend a lot of time understanding your options. However, for the record, that is not our recommendation!! You should be able to get a strong sense, with some early pre-work , around what you should be able to finance, what rate is involved, and even as importantly, which term and structures are available . This type of effort by the Canadian business owner and manager simply takes a lot of future paralysis or last minute decision out of the game.

As we said, equipment financing works for both start up and established businesses of all size in Canada. And experts tell us that 80% of all North American businesses utilize lease financing. And you almost can’t name an asset that can't be finance - healthcare equipment. Trucks, printing equipment, technology and telecom assets, shop floor equipment, etc. Even software!

Yes, you typically might need a down payment or a first payment/last payment security deposit, but at the end of the day approval in lease financing in Canada comes faster than any other business financing solution. Certainly quicker than a bank loan... we can assure you of that! That's probably because the experience of the industry allows your collateral to be leveraged as a significant part of the final credit decision.

In Canada assets from 5k to 50 Million dollars can be leased. Speak to a trusted, credible and experienced Canadian business financing advisor who can assist you with your asset financing needs. It’s simply a case of letting your assets pay for themselves, and that’s a good thing!

7 PARK AVENUE FINANCIAL
CANADIAN LEASE FINANCING 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-lease-companies-financing-asset.html

7 Park Avenue Financial
South Sheridan Executive Centre
2910 South Sheridan Way
Suite 301
Oakville, Ontario
L6J 7J8
Phone = 905 829 2653
Fax = 905 829 2653

Let Equipment Leasing Finance Be Your Forward Momentum for Asset Financing – Use Lease Companies Today More Than Ever

In Uncertain Times Let Equipment Lease Finance Be Your Sure Thing Asset Financing

Information on equipment leasing finance in Canada . How lease companies and accelerate your asset financing needs.


A condition of advancement. That’s how ' forward ' is defined, and isn’t that whats it’s all about in business and competition. And acquiring assets via equipment leasing finance categorically moves your company forward. It’s the proper use of lease companies in asset finance that we'll examine, with a focus on ' why ‘!

Canadian business owners and financial managers do best when they view asset financing via equipment leasing finance as a ' tool '. It's utilizing that tool to leverage assets for your business sales and profit growth that makes lease companies the logical solution for fixed asset acquisition.

So for what type of asset does equipment finance not work? Quite frankly we cant think of one - whether its the new kid on the block - energy assets , or manufacturing, chemicals, food, planes, construction, auto , public infrastructure ... well .. we think you get the story. All assets can be financed, simple as that.

Whats so hard about understanding the value that lease companies bring to your firms table? It's a simple case of you ensuring you have chose then right asset, and that asset then being purchased on your behalf .. ensuring your ability to profit and grow from the use of the asset.

But that’s not all of course, because the inherent flexibility that comes with leasing gives you the right to acquire the ownership of the asset depending on what type of lease you construct and on what terms.

Advantages of this method of asset acquisition are fairly well known. You are in effect matching the outlays of cash for the lease to the benefits you will derive from the asset. The Canadian lease financing marketplace is on a total roll in 2011 and the asset finance industry is ready for business, yours! Interest rates are low, lease rates are ultra competitive and in many cases can even match bank financing, especially when you consider the processes and collateral you might be required to go through via a bank term loan for an asset .

2 to 5. What do we mean by that? Simply that that’s the typical duration of an asset lease in Canada - anywhere from two years to five years. We can’t remember when we have seen a lease term less than two years, because it simply doesn’t make sense for lease companies - although on occasion 7 and 10 year terms are available for certain asset classes... think heavy constructionb, aircraft, infrastructure, etc.

Clients can be forgiven for usually focusing only on the cash and working capital preservation aspects of equipment leasing finance .If you have limited capital, or don’t wish to disturb other financing you have in place leasing makes sense. Yes it’s true, this method of financing doesn’t deliver cash to your company, but it sure prevents it from leaving quickly... and in large amounts.

It’s of course an understatement to say that we’re doing business in a tech driven environment, so computers, telecom, and other tech assets lend themselves perfectly to equipment finance.

If you're concerned or simply want to become better informed about how to go about achieving the best benefits of this financing vehicle speak to an experienced, trusted and credible Canadian business financing advisor who can assist you in ensuring you're ' moving forward ' via this valuable tool in Canadian business financing.



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 .Info re: Canadian business financing & contact details :

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

Are You Interested In Achieving Best Leasing Rates & Financing With Canadian Lease Companies?

It may seem difficult for Canadian business owners and financial managers to think they can achieve the best leasing rates and business financing with lease companies in Canada.

It's not as hard as you think, and we're going to demonstrate to you some key methods to ensure you understand, and can achieve prompt credit approval and solid lease pricing.

And oh yes, some extra tips on ensuring some additional benefits not readily known to everyone would help also, and we’ll be sharing those also.

Most business owners know intuitively that they should be leasing - one simply reason is that millions of other firms are also .They simply are looking for a better or easier way to understand what makes a ' perfect ' lease financing transaction .

Ways in which you can determine what level of pricing and prompt credit approval you can achieve focus around some very basic issue - for example, do you want to own the asset, or use it. Just that decision alone will save you thousands of dollars and significantly impact working capital. Lets use a ' real world ' (that’s where we work every day) example.

Let’s say your company requires some significant plant equipment as an example. The cost is, say $300,000.00. You're not entirely sure you can afford the asset; you simply know you need it, and you are perfectly sure you can't afford to pay cash for it. Imagine what that would do to your bank line of credit or cash on hand!

Using our example the monthly payment on a 3 year lease would be 9338$ approximately. We estimated an interest rate of 8% on the transaction. Let's say you determine that you can afford $7000/ mo, but not $9338. Does leasing provide a solution? ... It sure does?

Ask you lessor to determine the term you need to change the lease to, allowing you to fit your payment. We've done the calc for you, and its 51 months. And, guess what, by committing to a longer term you can usually get a lower interest rate. Lessors like when they can guarantee their yield for a longer period. No surprise here, as that’s how they make money.

We don’t necessarily agree, but most clients we talk to are ' only ' focused on the lowest pricing or monthly payment in trying to achieve those best leasing rates. Lease financing companies consider a number of factors when offering you those rates.

So what are the key issues in lease pricing, and, more importantly, which of those can you as a Canadian business owner and lessee impact upon?

All assets can be financed, subject to credit worthiness. However, some assets depreciate slowly, some very quickly (think computers!), and some assets both hold their value, or even appreciate in price. Asset class plays a big factor in lease pricing, so be prepared to position and defend your asset quality.

Useful life of the asset is somewhat the same; don’t expect to get a 5 year lease at great rates on state of the art computers or telecom unless your firm has a stellar credit rating.

If your firm is entering into an operating lease it is highly recommended that you arm yourself with the best possible date on residual values of the asset at any future point in time. That will allow you to negotiate a higher residual, and achieve best leasing rates and financing.

We noted there are some aspects of leasing rates and pricing you simply won’t have an effect on. It should come as no surprise that leasing companies borrow money also. Their cost of funds and their required ' yields ' determine... your lease pricing. (As well as your credit quality of course)

So we can make a broad general statement that best leasing rates are achieved by dealing with larger more well capitalized lease companies in Canada.

In many case small admin and processing fees can add up and drive up your leasing rates. Negotiate hard and determine if these additional add on type charges are really necessary and if you can avoid them your pricing will improve.

Simple, perhaps not, but you can see that many factors determine lease pricing. Determine which ones make the most impact on your firm, and which factors you can influence. Speak to a trusted, credible and experienced Canadian business financing and leasing advisor for assistance in achieving best financing and lease pricing in Canada.


7 Park Avenue Financial - Financing for the little guy - P.S. We finance the big guys too!

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