Equipment Leasing

Alliance’s equipment finance program provides an alternative to the traditional business loan. Our product offers 100% commercial financing. The debt is solely reported under the business bureau. All signers’ personal credit will remain intact without adding additional debt and increasing the debt-to-income ratio. This is the only form of financing that provides the ability to keep business credit separate from personal.

Whether just starting out or being a long-established business, it is quite the challenge trying to purchase the equipment necessary to grow without depleting your working capital.

 

Frequently Asked Questions

 How does equipment financing differ from a traditional business loan?

  equipment
financing
traditional
loan
 
100% Financing check block Compensating Balances Required
Expands Credit Availability check block Reduces Credit Availability
No Down Payment check block Large Down Payment
Application Only Program check block Full Financial Disclosure
24-Hour Approval check block 2-3 Week Approval
2-5 Year Terms check block 2-3 Year Terms
New OR Used Equipment check block New Equipment ONLY
Includes Soft Costs Such as Labor, Install and Delivery check block NO soft costs
No Additional Collateral check block Pledge of Additional Assets
Doesn’t add Additional Personal Debt Reported to Business Bureaus Only check block Increases Personal Revolving Debt & Reduces Credit Availability
Payment 100% Tax Deductible check block Interest Portion Only Can be Deducted

What’s the first step?

  1. Determine type of equipment and the estimated sales price.
  2. Submit an application online and receive a decision within 24 hours.
  3. Review available terms.
  4. Grow Your Business.

What is the interest rate?

The payments are not comprised of principle and interest. The finance charges are built directly into the payment which are determined on a case-by-case basis. The benefit to the borrower are fixed payments that do not fluctuate with the economy. Once we have the sales price, and an initial approval, available terms and payments can be reviewed.

Can payments be tailored to fit my specific needs?

We are continually adding innovative services to our existing capabilities and offering flexible finance options. Through our network of bank lines, partnerships, and private investors, Alliance Leasing promotes its services to literally hundreds of business customers each month.

Flexible Finance Programs

  1. Seasonal – good for businesses that experience fluctuating time periods of higher and lower revenue production. Pick three months you want on an irregular payment schedule.
  2. 60/90 Day Deferred – This is a great asset for acquiring equipment that does not generate income during the first several months.
    • 1 advance payment, followed by 3 months deferred, followed by a regular payment schedule for remaining term.
  3. Working Capital - provides customer with additional cash to be used as seen fit, i.e. marketing, inventory, expansion, cash flow, etc.

What types of equipment do you finance?

Virtually any equipment can be financed. Here is a brief overview of just some of the industries we have experience working with:

  • Auto Restoration & Repair
  • Fire Systems
  • Moving
  • Signage
  • Carpentry
  • Fitness
  • Painting
  • Information Technology
  • Concrete and Paving
  • Flooring
  • Photography & Video
  • Sports
  • Construction
  • Food Services
  • Plastering
  • Storage
  • Copy and Mail Centers
  • Hair and Nail Salons
  • Plumbing
  • Surveillance/Security
  • Day Spas
  • HVAC
  • Pool and Spa Maintenance
  • Textile
  • Dental
  • Industrial Cleaning
  • Power Washing
  • Transportation
  • Dry Cleaning
  • Computer and Telephone
  • Property Management
  • Vending
  • Electrical
  • Landscaping
  • Restaurant
  • Waste Removal
  • Engraving
  • Manufacturing
  • Retail
  • Welding
  • Entertainment
  • Marina
  • Roofing
  • Excavating
  • Medical
  • Schools/Education
  • Farming and Agriculture
  • Mining
  • Sewing and Embroidery
  • and more...

Is there a penalty for early payoff?

The way to save the most money is to choose the shortest term available.

There are a few options for early payoff:

  1. You can pay more than the monthly payment, which is applied to the balance of the agreement.
  2. If paying off entire amount prior to term end, a nominal discount will be given.
  3. If financing more equipment, a greater discount will be given.

What is the maximum amount I can finance?

  1. Startup Business up to Two Years Established - 49,500.00 (plus applicable taxes)
  2. Established Business 2+ years - maximum $200,000 Application Only.
  3. $200,000+ - Three Year Business/ Personal Tax Returns and Financial Statements
  4. Minimum financed - $5,000.

Does A LEASE mean that I don’t own the equipment?

Our product is unique because it is written in the form of an Equipment Finance Agreement. This allows you to write off 100% of the sales price and own the equipment at term end.

What if I have a low credit score?

Alliance does not “credit score”. Although credit can be a factor in the final determination, it is only part of a larger picture considered. We look at the whys of your score, time in business, business credit, comparable borrowing, payment history, etc.

Is this type of financing really 100% tax deductible?

Section 179 of the IRS Tax Code allows business owners to deduct the full equipment purchase price from gross income. The cost of the equipment can be deducted in a single tax year and gives the business ability to expense up to $1,000,000.00 in equipment purchases if put into use by December 31.

The $1,000,000.00 deduction phases out when a business purchases more than $2,000,000 in one year. An example of non-tax/capital leases includes a $1.00 Buyout Lease, an Equipment Finance Agreement (EFA) and a Fair Market Value Lease. Section 179 property is property acquired for use in the active conduct of business. By taking advantage of Section 179, the tax savings realized could be significant.

Even though this is commercial financing, does it still reflect on my personal credit?

All financing provided is strictly commercial. All owners are required to sign on behalf of their company; however, this is the only form of financing that gives you the ability to keep business credit separate from personal.

We only report to business credit bureaus which won’t add additional personal debt or increase revolving balances. This allows you to build business credit while protecting your debt-to-income ratio on your personal credit bureau.

More Questions? Please Contact Us we would love to help you!