Once you’ve created an established business, you’re likely to start thinking about the best ways to scale. You may want to add a location, invest in new products, or grow your team to reach more customers. Whatever your growth plan might be, you’re probably going to need some savvy financial tools to make it happen.
Wondering how equipment leasing works in the big picture? Here are three reasons to include this type of financing in your growth plan, regardless of your industry.
1. You Won't Deplete Your Capital
Purchasing expensive equipment rather than leasing it can run down your working capital, putting you at risk of facing serious budget shortages, both in the short-term and the long-term. This is especially important when scaling your business because you likely need cash to pay for other new expenses, whether it’s increased payroll for your expanded staff or a security deposit on a second location. Equipment leasing also helps keep your financial statements strong in case you need to apply for additional financing through lenders or investors.
2. You'll Find Efficiencies with Technology Equipment Leasing
As you begin to grow your business, you’ll probably find that you simply no longer have the time to handle every aspect of your business operations. Find ways to save time (and your sanity) by leasing technology equipment to help you scale. For example, you can find ways to automate processes to make them more efficient. Another option is to better manage your finances and inventory with integrated systems. All of these growth opportunities can be achieved through equipment leasing.
3. You Can Avoid Outside Investments
Equipment leasing helps keep capital in your business so you don’t have to worry about seeking outside investors. Shows like Shark Tank may have you believe that selling equity in your company for a one-time investment is a dream come true, but you may start to feel differently once you have investors to report to. You can grow on your own terms with the help of equipment leasing while simultaneously retaining complete control of your business.
The Bottom Line
No matter what industry you’re in, equipment leasing can be extremely helpful—especially as you scale to bigger growth.