5. It enables you to retain your credit rating.
It is essential in business to keep your credit line healthy and open. Because of the way leasing arrangements are organised, they allow you to hold on to your capital, retain your borrowing rights, reduce your taxable income and manage your monthly payments all in one go. All of this helps you retain your credit facilities so you can draw on lines of credit should you need to.
6. It keeps your balance sheet in tip-top shape.
Once again, because your monthly leasing payment is treated as a business expense, rather than a debt, this makes for a healthier balance sheet. The less debt you have on your balance sheet, the healthier it is perceived to be by lenders or potential buyers.
7. It provides you with the opportunity to seize opportunities.
When you choose leasing, it leaves you with your capital and lending opportunities in tact. What this means is that when opportunities come along that you need investment to respond to, that investment is available and not tied up in vehicles or equipment.
8. It promises flexibility.
Leasing allows you to take equipment or vehicles on a term that suits you and your business needs. If you need a short-term arrangement, it’s possible and if you need long-term, that option is there too. If you choose to purchase the items you could otherwise lease, then you could find yourself stuck with them when you no longer need them.