Commercial Audio Systems Inc. - Professional Sound Systems

The Advantages To
Lease Financing

Today, companies are leasing because it is a practical
and cost effective method of acquiring equipment
needed to run a business. In fact, more than 80% of
American companies use some form of lease financing
to obtain entertainment and communication equipment.

5 5 4 D e e r i n g R o a d, N. W.
A t l a n t a, G e o r g i a 3 0 3 0 9
( 4 0 4 ) 3 2 5 - 4 8 9 2

Commercial Lease Criteria

Step-By-Step Guide

Here are the $$$$ Advantages to Leasing :

1.) Conservation of Capital:
        Your cash remains available for other profitable purposes or
        emergencies.

2.) Protection from Obsolescence:
        Leasing enables you to match the term to what you perceive the
        equipment's useful life to be. You pay for the product only during
        the period of time that you feel the product is really working for you.

3.) Use of Equipment:
        No business pays it's employees salaries in advance, they pay
        people as they contribute. It should be no different with equipment.
        Leasing enables you to pay for the equipment as it contributes
        to your company.

4.) Tax Advantages:
        The full cost of leasing can be treated as an expense deduction for
        income tax purposes and may result in a larger tax deduction than
        if you were claiming a depreciation expense.

5.) Better Terms:
        Lease Payments can usually be extended at fixed rates over a
        longer period of time than conventional bank financing, and
        without large down payments.

6.) Alternate Minimum Tax:
        Leasing allows the lessee to gain the advantages of an accelerated
        write-off without being subject to the liability of an additional tax.

7.) Leaves Bank Credit Lines Untouched:
        Normally, a lender will not reduce a line of credit when equipment
        is leased. However, when equipment is financed, it consumes
        available credit.

8.) Helps Overcome Budget Limitations:
        Since a lease is generally treated as an expense rather than a capital
        expenditure, room can often be created for monthly rentals.

9.) More Liberal Credit Criteria:
        In many cases, a Commercial lease can be completed when
conventional bank or other financing may not be available.

10.) Convenience:
        Convenience is a surprisingly important part of leasing's appeal,
        to both your standpoint, as well as ours. What business person wants
        the additional hassle of securing long term capital when our lender is
        experienced, willing, and capable of handling it for you?

Commercial Lease Criteria

Step-By-Step Guide