Consider if you want to buy vs. lease equipment for your small business. Lease benefits include a low down payment with minimal disruption to cash flow. Leases possess potential tax deductions. Obtain a lease more easily and offer flexible terms. In addition, it may be more cost-effective to lease technologically based items which can become obsolete quickly.

Look at a buy versus lease opportunity. Leases do possess drawbacks. If your business does not succeed or you return your items early, you must continue to make payments on these leases. On the other side, if you buy the merchandise, you own it and are able to do as you choose with them including sell them if you no longer need them. In addition, purchases of items may provide tax breaks.

See which is best for you by doing the following:

1. Look at buying vs. leasing details in a side by side analysis.

2. Compare a lease versus purchase using a payment calculator.

3. After researching purchasing vs. leasing, get the financing you need.

Action Steps
The best contacts and resources to help you get it done

Get lease vs. buy information

Find out the tax implications for leases and purchases of equipment. See which option will reap more benefits for you when it comes to your tax bill. In addition, see the lease vs. purchase features side by side from a finance company that handles both types of transactions.

I recommend: Compare cash, loan and lease as far as the advantages and disadvantages at ProjectorCenter.com. Find out if the lease you are trying to get will be tax deductible straight from the tax code. U.S. Bank puts buy vs. lease analysis at your fingertips by comparing their loan and lease features side by side.

Use a lease vs. buy calculator for your business needs

Put the numbers to the test with a lease vs. buy payment calculator which will compare monthly and final costs. Using your specific situation including prices, tax information and depreciation, find out which one will be better for you.

I recommend: Lease-vs-Buy.com, an equipment lease calculator, allows you to click on terms to get definitions to better input your financial data. SmartMoney.com helps you choose your best financing option by comparing advantages to disadvantages. Use their buy vs. lease payment calculator and worksheet to look at the bottom line when it comes to vehicle leases.

Choose between a lease versus buy financing option

Once you've made your buy versus lease decision, get the financing you need for your business equipment or fleet. Apply online and get financing details in minutes from several lenders.

I recommend: Whether you decide to purchase or lease, you can apply for either online with E-loan. Bank of America offers solutions for your small business including leases for your business equipment or you auto fleet. Apply online for your business loan or lease or use their resource center to calculate buying versus leasing options.

Tips & Tactics

Helpful advice for making the most of this Guide

• •  One disadvantage to lease versus buy is the contract. Get out of an existing lease by having another company or individual buy out your lease. You can try out a lease by buying out someone's lease.