Comments on: Why would you ever lease processing equipment? http://www.merchantequip.com/merchant-account-blog/16/why-would-you-ever-lease-processing-equipment Merchant Accounts, Ecommerce, Processing Equipment Tue, 15 May 2012 21:35:53 +0000 hourly 1 http://wordpress.org/?v=3.3.2 By: Nick Bentley http://www.merchantequip.com/merchant-account-blog/16/why-would-you-ever-lease-processing-equipment/comment-page-1#comment-21496 Nick Bentley Mon, 08 Feb 2010 21:26:50 +0000 http://www.merchantaccountblog.com/?p=16#comment-21496 I actually just finished a similar article and I agree, if you can afford it, always buy the equipment. Usually it's if you need a lot of equipment for a startup, and have the tax liability to deduct and want to factor in the depreciation faster. On a 3 year lease you can take 100 percent depreciation in 3 years compared to the IRS usual requirement of 5-7 years. With that factored in, you're still paying interest that's somewhere between a bank loan and a credit card. I actually just finished a similar article and I agree, if you can afford it, always buy the equipment. Usually it’s if you need a lot of equipment for a startup, and have the tax liability to deduct and want to factor in the depreciation faster. On a 3 year lease you can take 100 percent depreciation in 3 years compared to the IRS usual requirement of 5-7 years.

With that factored in, you’re still paying interest that’s somewhere between a bank loan and a credit card.

]]> By: dax http://www.merchantequip.com/merchant-account-blog/16/why-would-you-ever-lease-processing-equipment/comment-page-1#comment-18500 dax Thu, 29 May 2008 09:35:00 +0000 http://www.merchantaccountblog.com/?p=16#comment-18500 Equipment is the best type of loan for budgetting purposes. Its good to save. Equipment is the best type of loan for budgetting purposes. Its good to save.

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