Why is it beneficial to finance?
- Fixed Payments / Hedge Against Inflation: Unlike loans and credit cards, your finance payment is fixed throughout the term. It will not vary with interest rate changes. Fixed monthly payments provide an excellent hedge against inflation and makes your equipment purchase more affordable.
- Preserved Credit Lines: Your monthly finance payment does not affect your bank or credit lines. Most banks and credit card companies will reduce your existing available credit lines with every purchase via a credit card or loan.
- Affordable Down Payment: LCA does not require a large up-front down payment like loans and credit card companies. Most of our programs only require first and last payments (typically 5%) in advance instead of the 20% mandated by bank loans.
- Adding ‘Soft Costs’: Financing allows you to roll in services (software, maintenance, etc.) with the equipment so the monthly payment includes your total price. Loans and credit cards do not traditionally combine services and equipment costs into one monthly payment.
- Avoiding Equipment Obsolescence: Financing makes adding onto existing equipment or upgrading to new equipment efficient and available at any time for our customers. You can upgrade your equipment as technology and your company’s needs change.
- Reduces Taxes: Unlike loan payments, finance payments may be deductible. Please consult your tax advisor to determine the deductibility of finance payments.