Home Contact Us   |   Company Information   |   Advantages of Leasing   |   FAQ   |   Community Bank Program   |   Endorsements   |   NCBA Article   |   Types of Equipment   |   Bank Partners   |   Application   |   Application   |   Newsletter Advantages of Leasing Obsolescence Insurance: Leasing allows your client the ultimate flexibility in managing their equipment investment. Upgrading to newer models to avoid obsolescence and disposing of equipment at the end of the term are made simpler under a lease. Expensive and complicated equipment management chores are avoided. Preserves Working Capital: By leasing equipment, working capital and bank credit lines are preserved. This allows your client to invest cash in high return opportunities and save credit lines for other needs such as payroll or inventory. Convenience: Leasing is easy and convenient. Documentation is minimal and payments are simple to budget. Maintain a competitive edge: Keeping equipment current helps your client achieve and maintain its competitive edge. Use leasing as a method of refreshing their equipment base at regular intervals. Single-Source Leasing: Single-source equipment leasing through TCP’s documentation and credit line approvals provide one source for all of your clients leasing needs. Tax Benefits: Certain lease structures allow monthly payments to be treated as operating expenses and are therefore deductible. Also, because leased equipment is not a capitalized, depreciable asset, it can be easily upgraded or replaced with current state of the art technology without incurring a book loss. Finally, certain structures also allow sales tax to be billed monthly rather than paid up front. Overcome Budget Restrictions: Off balance sheet leasing structures can help you overcome capital budgetary restrictions.