FAQ

FAQ

Why not pay cash for my equipment ?

Purchasing with cash is buying with after tax dollars. You lease equipment with pretax dollars. It requires $151,500 (approximately) in earnings to purchase $100,000 of equipment in after tax dollars (Federal taxes are about $51,500 at the 34% level). In addition, you must pay up to 8% - $8,000 - in sales taxes at the time you acquire the equipment. Your total additional up-front cost by purchasing with cash is approximately $59,500 (In this example).

Is it difficult to apply for a lease ?

No. The credit process for leasing is similar to other types of financing. In some instances, financial statements may not be required.

Doesn't it cost more to lease ?

Leasing is a practical way to use equipment without the problems of ownership and compares favorably to other forms of equipment financing.

Isn't leasing paper intensive ?

No. With TCP's masterLeaseJ Agreement most of the documents are completed with the initial closing. After this, new schedules of equipment can be closed with only two documents - a Schedule and a Delivery and Acceptance. We handle all of the paperwork associated with the purchase and payment for the equipment.

Am I forced to accept a fixed structure for all schedules ?

Our flexible masterLeaseJ program was designed to give you maximum flexibility in meeting your company's leasing needs. You may have one or many schedules open at once. The lease term (schedule rentals) can be adjusted to meet your needs - for equipment replacement or accounting purposes.

Do I have to wait for all of my equipment to arrive before installation ?

Due to the complexity of equipment systems today many stand-alone units may arrive at your site at different times. In order to meet your requirements you need to start installing sections as they arrive and not wait on a consolidated shipment.

Our masterLeaseJ program permits you to have a schedule open for 60 to 120 days to allow for multiple installs from one or many vendors. You benefit from having your equipment on line when you need it and from satisfied vendors who receive payment when it becomes due.

Can I lease used equipment ?

Yes. Mixing previously owned equipment is an excellent way of controlling the total cost of your equipment.

Am I the only one who leases ?

No. According to industry and government statistics, 80% of all businesses lease some of their equipment; an estimated $250 billion in equipment this year.


	Home Contact Us \| Company Information \| Advantages of Leasing \| FAQ \| Community Bank Program \| Endorsements \| NCBA Article \| Types of Equipment \| Bank Partners \| Application \| Application \| Newsletter FAQ Why not pay cash for my equipment ? Purchasing with cash is buying with after tax dollars. You lease equipment with pretax dollars. It requires $151,500 (approximately) in earnings to purchase $100,000 of equipment in after tax dollars (Federal taxes are about $51,500 at the 34% level). In addition, you must pay up to 8% - $8,000 - in sales taxes at the time you acquire the equipment. Your total additional up-front cost by purchasing with cash is approximately $59,500 (In this example). Is it difficult to apply for a lease ? No. The credit process for leasing is similar to other types of financing. In some instances, financial statements may not be required. Doesn't it cost more to lease ? Leasing is a practical way to use equipment without the problems of ownership and compares favorably to other forms of equipment financing. Isn't leasing paper intensive ? No. With TCP's masterLeaseJ Agreement most of the documents are completed with the initial closing. After this, new schedules of equipment can be closed with only two documents - a Schedule and a Delivery and Acceptance. We handle all of the paperwork associated with the purchase and payment for the equipment. Am I forced to accept a fixed structure for all schedules ? Our flexible masterLeaseJ program was designed to give you maximum flexibility in meeting your company's leasing needs. You may have one or many schedules open at once. The lease term (schedule rentals) can be adjusted to meet your needs - for equipment replacement or accounting purposes. Do I have to wait for all of my equipment to arrive before installation ? Due to the complexity of equipment systems today many stand-alone units may arrive at your site at different times. In order to meet your requirements you need to start installing sections as they arrive and not wait on a consolidated shipment. Our masterLeaseJ program permits you to have a schedule open for 60 to 120 days to allow for multiple installs from one or many vendors. You benefit from having your equipment on line when you need it and from satisfied vendors who receive payment when it becomes due. Can I lease used equipment ? Yes. Mixing previously owned equipment is an excellent way of controlling the total cost of your equipment. Am I the only one who leases ? No. According to industry and government statistics, 80% of all businesses lease some of their equipment; an estimated $250 billion in equipment this year.