5 Reasons to Lease or Finance Equipment even if you have the Cash

I am sure you have heard that old saying: “I don’t buy unless I can afford to pay for it”? In the old days, it made sense. However, if you can afford it, that doesn’t mean you need to use the cash in your wallet to pay for it.


Unfortunately, many people live by these words and as a result, miss out on opportunities to acquire the equipment their company needs. Most of the clients BNC Finance works with use financing to support their long term cash flow objectives. Financing can be utilized for long term growth objectives and increased Return on Investment. Here are five reasons our customers take advantage of financing – rather than opening their wallets – when looking to acquire equipment. These benefits can be realized by all industry types.

 1. Safety Net

Conserving cash is one of the most important aspects of running a business. Cash is the lifeblood of a business, it only makes since to manage it wisely for unexpected emergencies or business opportunities. As any business owner knows, it can be difficult to find room in a budget for equipment expenditures among other fixed expenses (payroll, office space, etc.) and unexpected expenses (repairs, surprises during a contract, etc.). As the old saying goes, “Cash is king!” Equipment Financing & Leasing allows you to conserve capital and build a safety net.

 2. Immediate Income

Buying equipment has an immediate negative impact on cash flow because of the need to make one large payment upfront. Financing & Leasing equipment has only a slight impact on cash flow because small monthly payments are made over time. With a low monthly payment, you can start earning immediate income from your acquisition.

 3. Pursue better opportunities

Financing allows you to buy the equipment best suited for the project and not best suited for your budget. Rather than individually buying new equipment in full, which can be expensive and inefficient, leasing allows a company to use up-to-date technology and equipment without paying for it all at once and risking the health of their cash flow.

 4. Establish Credit

For new or established businesses, financing enables you to build up comparable credit. When you are looking to borrow money lenders look at the history of what you have borrowed in the past. If you do not have comparable debt you will not qualify for the loan. If you have the history it will be easier to access larger amounts of capital.  Having quick access to large amounts of capital will allow you to pursue any large opportunities that may arise.

5. Reduce Taxes

If business is going well you want to minimize your taxable income, certain leasing contracts allow you to generate some additional expenses you can write off against your income. Make sure to reach out to your accounting professional because you could be missing out on some opportunities to save money. Learn more about Tax savings by watching the video " What is Tax Code Section 179"

Whether you’re a small, new, or established business, reconsider your cash purchases of equipment. Get the best equipment suited for your business while conserving capital with flexible financing and leasing options through BNC Finance Apply Now

How to Build Business Credit for Lowest Cost of Capital

How to Build Business Credit for Lowest Cost of Capital

In today’s financial landscape, the ability to build business credit is more than a strategic move; it’s a necessary component…

Benefits of Financing and Leasing your Business Equipment

Benefits of Financing your Business Equipment

Advantages of Financing and Leasing Commercial Equipment Financing and leasing equipment offers substantial business benefits, especially for startups and established…

Equipment Leasing Tax Code 179

Section 179 Equipment Lease Example Video

Section 179 Example Video Here is an example of a business owner using tax code section 179. Steve is the…

5 reasons you should replace your equipment before it breaks

5 Reasons you should replace equipment before it breaks

5 Reasons you should replace business equipment before it breaks Using equipment to the end of its life cycle has…

Equipment Financing

7 Benefits of Businesses Leasing Equipment and Not Paying Cash

Why You Should NOT Pay Cash For Your Business Equipment   For business, maintaining a positive cash flow is absolutely…

Why Equipment Sales Professionals should offer equipment leasing

Why Equipment Sales Professionals Should Offer Equipment Leasing

5 Reasons to offer equipment leasing as a tool to close more equipment Sales 1. Overcome Price Objections Overcome Price…

Industries Served


Industry Specialized Business Funding Solutions BNC Finance provides flexible financing solutions tailored to the unique challenges and needs of a…

why buy heavy equipment from auctions

Why Buy Heavy Equipment from an Auction?

Heavy equipment has transformed such industries as mining and construction, enabling teams to work more productively and efficiently without requiring…

Construction Attachment Financing

Construction Attachment Financing

Apply for Construction Equipment Financing Attachment Only Financing Program Many lenders will not finance construction equipment attachments by themselves.  Our…

Private Seller Construction Equipment Financing

Private Seller Construction Equipment Financing Our private seller construction equipment financing program allows contractors to finance construction equipment from private…

Construction Equipment Dealer Financing Solutions

Construction Industry Solutions to offer financing outside your captive program. Construction Attachment Only Financing Program Many Lenders will not finance…

2 Minute Equipment Finance Pre Approval

No Credit Check Equipment Financing – Get Pre Approved for Up to $250,000 in Equipment Financing Just answer a few…

Offer Financing

Offer Financing

BNC Finance works with B2B organizations to offer customized vendor financing solutions to their business customers. We identify opportunities in…

Construction Equipment Financing

Construction Equipment Financing

BNC Construction Equipment Financing division has built relationships with equipment Manufacturers and Dealers to offer our customers specialized financing and…

Merchant Services

Merchant Services

Customized Payment Processing Solutions built for your Business A wide range of omnichannel processing solutions. Allowing customized integration for all…