EQUIPMENT financing options - There are many ways to buy equipment, but only one best way for you

摘要

The type of financing you choose can have a bigger impact on your profits than any of the productivity variables. Cash has just about disappeared as a means of acquiring equipment, says Mark Killpack, executive vice president of CIT Equipment Finance, and for good reason. If a company is making 15 percent net profit on its capital and only pays 6 or 7 percent to finance or lease equipment, it would be losing money by tying up working capital in high-dollar cash purchases.