Equipment Leasing Growth

Should I Lease Equipment for my Business?

Equipment leasing is proving to be one of the most popular options for companies looking to purchase new equipment, and there are thousands of leasing companies serving this demand nationwide. The Equipment Leasing Finance Association (ELFA) says that companies lease about $1.2 trillion worth of assets annually, from office equipment to software and computers. This represents more than one third of all used equipment in the US and represents a significant share of the overall business leasing market.

Of course, not all equipment leases are the same and there are many ways to finance a lease. If you need to upgrade your equipment at the end of the financing period and do not want depreciation on your books, you can apply for a lease loan for the equipment.

Your Leasing Options

If you need lower monthly payments, consider leasing a business or FMV lease if you are leasing equipment that is rapidly becoming obsolete. FMV leasing contracts are only possible if the equipment is so valuable that the leasing company’s handling costs are worthwhile. In other words, the leasing company must feel that it is worth the time and effort required to find a new buyer or tenant for your equipment and terminate the lease.

A 1-buyout lease is a common type of capital lease that allows the lessee to purchase the equipment at the end of a lease for a nominal price of $1.00. Option leasing of 10% is a capital lease that gives you the option to own the equipment by purchasing it for a full 10% of its cost. At the end of the lease, you will generally have the option of either purchasing the lease at its market value as determined by the leasing company or extending the lease and returning it to you at a lower price than the original purchase price.

For example, a leasing company can buy a device at 9% APR and lease it at 12%. It is wise to calculate the full cost that the leasing company will charge you for the spread payment when comparing it with the initial purchase price of the equipment and its operating costs.

If you know that you do not want to own the equipment after the end of the lease, you can use a 1% buyout lease. Leasing is not the same as buying equipment directly, as you will have to buy equipment when your lease term expires, but it is much cheaper than buying equipment directly. If you find out that you no longer need to lease equipment after the lease period, you can exit the lease without penalty (high early termination fees always apply).

Leasing agreements give you the ability to terminate your leases as soon as your business changes direction or when your equipment leases are no longer necessary.


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Loan Real Estate

The Ins & Out of Hard Money Loans

There are a few myths about hard-money loans because they tend to be more expensive than other types of loans, such as credit cards and mortgages. Depending on who you ask, a hard-money loan is an LTV (Loan to Value) with a higher loan-to-value. Simply put, a hard currency loan (also called a bridging loan) is a mortgage loan in which the underlying property serves as collateral to secure the loan. While most hard money loans are secured by real estate collateral, the most notable exception is when a hard money loan is backed by a loan from a third party.

Hard money loans, also known as bridging loans, can be structured in a similar way to a traditional mortgage, but without the collateral for real estate. Bridging loans are not real estate – backed real estate because they are not “secured” by real estate and are not subject to the same requirements as conventional mortgages.

However, two private lenders can treat loan applications very differently, with the value of collateral rising sharply – money loans usually always come from behind. Since the first step in the creation of a hard money loan is the liquidation of all the securities supporting the note, the hard money lender may want to determine the LTV (loan-to-value) before carrying out an extension financing.


Borrowing for Real Estate Investing

Borrowers who want to remortgage a property for purchase, renovation or resale can apply for a hard-money loan if the borrower plans to repay it quickly – within one to three years. When a lender renews a hard money loan, it cannot refinance it if a borrower cannot be refinanced on time. If you don’t pay on a hard money loan, you face foreclosure, so take the time to develop and adhere to a plan to repay the loan.

If you are thinking about buying a main home and need hard cash, make sure your credit adviser knows this in advance so you don’t waste time pursuing a hard-money loan with an investor who is merely financing an investment property. 

You may find a national lender that offers terms for hard money, but the process will take more and could be very similar to a traditional loan, which negates the reason why most borrowers seek a hard-money loan. One of the reasons a borrower can opt for a hard money loan is because the bank has rejected them for a traditional loan. Most people make hard money loans to finance things quickly or secure loans that conventional borrowers or financial institutions would not approve. People can pursue a hard money loan if they are not qualified for the conventional loan but need the money quickly

For companies that want a short-term, small dollar loan, a hard-money loan can be more effective than a traditional one. Hard money loans can also be used in a variety of other ways, such as credit card loans, credit cards and other forms of credit. 

For example, if you do not have the money to buy an investment property or are unable to meet the financing requirements of your primary residence, such as a mortgage, a hard-money loan can be a last resort. Hard money can also be used to finance primary residences, though hard money can be found – money that lenders still lend to homeowners. If you are not in the business of lending money, or you do not know what to do, and are sometimes serviced by a private lender, you are not a hard-money lender. 

As one of the leading hard money broker, we have the experience to help borrowers who want find capital to buy a property or refinance an existing hard money loan. Hard money loans can be secured, financed, settled and settled with our own investment capital, which we use as a direct hard money lender. As a direct hard money lender, our hard money flip is ideal for local lenders as we offer a much lower rate than other hard money lenders, which typically cap ARV-based loans at 70%. 

The Benefits

The benefits of a hard money loan are numerous for companies that cannot obtain a conventional loan and need capital quickly and a short-term loan. The most important thing to bear in mind is that hard-money loans are particularly suitable for investments that yield returns much faster than traditional loans once the loan is repaid. There are high costs for loans that are difficult to obtain, but this is offset by the borrower’s willingness to repay the loans relatively quickly (most of which are between one and three years) and by the fact that they offer other benefits.

If you can’t qualify for traditional finance or don’t have time to go through the lengthy mortgage application process, hard money loans can be a good option for refinancing a home purchase. The process of applying for a hard-money loan is often much simpler and simpler than a traditional mortgage, and almost all hard-money loan programs work with a variety of different types of borrowers, from small businesses to large corporations.

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Business Personal

How to Use a Business Line of Credit

When it comes to borrowing money to spend in tough times, a line of business may be the answer. Defined as a source of credit for your business, it allows your company to use the capital generated to grow the business and take advantage of the opportunities that arise.

It’s a great way for a small business to benefit from a short-term need for cash. More importantly, it allows you to decide whether a line of business is the right solution for your business or not. 

Qualifying for a Line of Credit

A credit line may be secured or unsecured, depending on whether the lender needs collateral to support the credit line. Secured businesses of Credit typically have a larger credit limit than unsecured financing. You can be eligible for a large credit limit, or you can get a small credit line limit of up to $5,000 per month or $10,500 per year.

To qualify for a credit line, lenders will look at your individual credit history and business history, as well as your financial history. If you haven’t had a line of credit for a business, lenders will also check your personal credit history. In order for lenders to qualify you for business lines of credit, they will need to look for the strength of corporate loans, and they will look for good credit worthiness, such as a high credit score, a good debt-to-income ratio, and a good balance sheet.  

Banks will consider a credit score of 650 or less for a line of business, as well as a good debt-to-income ratio. Most banks require 700 or better credit scores unless you have substantial collateral to support your line of credit. Secured lines of credit are approved by the capital or one of the other banks if you had collateral for the credit line.

Most entrepreneurs who want to obtain a credit line prefer this option, because the lender does not require assets as collateral. Small branches of Credit offer unsecured debt specifically, which means you don’t have collateral to pay for it.  

Do I need a Line of Credit?

If you want to improve or maintain your credit rating, it can be a good way to obtain a business loan and pay it off responsibly. The positive aspects of a credit transaction are the fact that it can help build up the credit history of your business.

Business credit lines also include additional flexibility that is not part of a small business loan. They are a revolving credit, so you need two cents to repay the loan for 12 to 24 weeks. If you repay the $2,000, you will have access to $10,000 for the rest of the year. Take the same revolving credit line that you can use indefinitely, or an unsecured credit line – from – that improves your credit rating. 

How do I get one?

If you are unsure how to obtain a Business Line of Credit, you will need to speak to your bank to determine what a secured or unsecured credit line would look like for you and your business, and what materials are required for your application.

The lower your credit rating, the riskier it is for your company to obtain a credit line. Some lenders want to minimize this risk and require you to personally guarantee the loan, meaning that your personal credit scores will be a factor in the line of business – or credit approval. 

It is vital to compare lenders to get terms that work for your business and get the best loan rates. Certain banks will only approve lines of business for companies less than two years old if they are approved by a particular bank, such as a small business loan. 

If your business is looking for an unsecured credit line, it is worth applying to an online lender. Many lenders are open to looking at areas such as credit cards, credit unions and credit card companies. Business lines – or loans – can be approved in as little as 24 hours and often take a few days.

Make sure that you, as a borrower, receive cash to cover costs that you would not otherwise be able to purchase with a credit card.




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