Small businesses have seen unprecedented change in recent months. Some industries have slowed and contracted dramatically. For example, many long-established retailers are closing.[1] Social distancing and telework has come at a real cost for companies like J. Crew and Ann Taylor.[1] However, other industries are booming. One case in point is the boom in home improvement projects.[2]
The decrease in business casual clothing purchases makes sense. So does the increase in home makeovers. Now that many Americans are working from home, they’re finally finding the motivation to tackle the projects that piled up over the years. Working from home has also created new needs for office-like spaces. Some real estate ads are even listing “zoom rooms” among the desired features in homes.[3] The truth is, for many organizations, there’s plenty of room to grow right now. The trick is really finding the right niche.
For many small businesses, a pivot is in order. Organizations of all sizes are making it in a tough economy by changing the way they operate. Recently, one innovative entrepreneur from Harlem was highlighted for praise by famed businessman Gary Vaynerchuk.[4] Brian Taylor’s Harlem Doggie Day Spa has always offered a valuable service to the community. However, with COVID-19, the main brick and mortar location had to close.[4]
But Taylor knew there was still a need for dog grooming in Harlem. It’s a neighborhood where most people live in apartments. They don’t have lots of space to groom their pets at home. Taylor was decisive and made a quick pivot: he took his operation mobile by buying a van.[4] This move has helped Taylor survive a trend that’s seeing many of the small businesses owned by Black Americans close.[5] Instead of shuttering, Taylor was able to refine his strategy and keep his business alive.[4]
At Alliance Leasing, we help people make these kinds of changes all the time. Equipment financing empowers small businesses to expand or change lanes with less of a burden than traditional bank loans.[7] For example, with equipment financing, business owners can buy used goods like trucks and vans.[7] This provides a huge savings over buying new vehicles, which depreciate substantially once they roll off the lot.
Equipment financing requires no down payment. It’s also fully tax deductible, within the year of acquired up to $1.4 million annually, provided the equipment purchased is put into use.[6] At Alliance, we finance all kinds of equipment. Whether it’s an oven, conveyor belt, vehicle or camera; we can finance it. We also offer flexible finance programs, including a 60-90 day deferred option.[7] We take pride in helping entrepreneurs acquire the goods they need to succeed.
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