Why Lease?

As the saying goes, “Cash is King.” In fact, maintaining adequate cash flow is often the single biggest stress factor of running a business or healthcare practice. By leasing, you keep cash in hand available for other–possibly more urgent–needs. You remain free to invest in areas of your business other than depreciating assets. And rather than compromising your normal lines of credit, leasing complements them!

You don’t profit from ownership; it’s the use of the asset that makes you money. When you pay by the month, you can use the revenue brought in by your equipment to pay for its use, and keep more money in your pocket. Most Minerva clients choose to retain the equipment once the lease term is over–and keep all the profits!

Because lease financing may be 100% tax deductible, the after-tax cost amounts to less than the total lease payments. Perhaps better yet, you get to pay with before-tax dollars–keeping working capital and banked profits available. Check with your financial advisor to see how this relates to your situation.

When hiring a new employee, would you advance that person’s salary for several years in one lump payment? Paying cash for a piece of equipment is no different. It’s smarter to pay for the service your equipment provides as it produces, just as you do with your staff.

With a consistent monthly payment, your budgeting and accounting are simple and predictable. We use fixed rate terms, so you’ll never get hit with a bill for a “compensating balance” like you might with floating rates.

When you lease equipment instead of taking out a loan, it doesn’t appear as a liability on your balance sheet. That means it doesn’t restrict your future financing or impact your lines of credit.

Inflation is a fact of life. Every year, you need to earn more money just to keep pace. Leasing is one of the few ways to use this to advantage, paying for today’s equipment with tomorrow’s likely devalued dollars.

Minerva clients enjoy the freedom of buying exactly the equipment they want, from vendors they prefer. You can shop for the best price, using a combination of vendors and brands. It’s Minerva Easy.