New Business Volume Up 24%

If your company does not offer leasing as an option, think about this- According to the ELFA's monthly leasing and finance index, overall new business volume was up 24% in January of 2011 compared to January 2010. With growth like this, you really should consider leasing as an option for your customers. Don't wait to find a solution when your customer needs to lease; have leasing available for them today. Find out how by contacting us (360)713-0695

Read the full index report

The ATMIA Show was a great success!

We are extending our ATMIA show factors through next week for all other ATM companies across the nation. If you are struggling with your current lease company due to mergers, lack of customer service, or issues with timely funding. ExecuTech is the company you need. Call today to find out about our extended show factors.

offce: (360)713-0695

cell: (360)606-9808

email: kylem@elgleasing.com

website: www.elgleasing.com

Having Cash

How is it that some businesses survive slow periods, recessions and emergencies? The reason is their ability to have the cash to weather the storm.

How would you like to be one of those businesses that has the ability to take advantage of an opportunity to further their business, or make an extra profit? When your business has the cash to make the deal, you come out ahead of the other businesses that do not.

Owning your equipment does not generate more profit. The productive use of the equipment generates profit. With leasing you can make your equipment pay for itself. The increased cash flow may then be used to generate additional profits. Use leasing for all equipment acquisitions and gain flexibility by keeping your capital and your bank lines of credit for emergencies.

ATM Leasing

Before determining whether an ATM lease or an ATM purchase would be your best option as an additional source of income, you should be sure to carefully weigh the pros and cons of both ATM leasing and buying. You may just find that leasing an ATM is a better option for the particular needs of your business.


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ATMIA Show 2011

The ATMIA show starts tomorrow. ExecuTech will be present to meet any leasing needs for the ATM industry. If your company is looking for a no hassle ATM leasing company. Come and meet with us at the show. You can either reach Kyle Moys, SVP Sales and Marketing on his cell, (360)606-9808 or email him (kylem@elgleasing.com) and he will be able to set up a meeting.

Offering Options To Your Customers Will Help You Close More Sales

More often than not, when purchasing equipment, business owners will look at every option before making their decision. This is especially true when the cost of equipment is higher than $2,000-$3,000.  Leasing is an attractive option due to how leases allow the buyer to affordably spread the costs of the equipment across 12 to 60 months, while still tapping into the tax advantages. Here are few points as to why your company should offer leasing an option to your clients:

• Lease payments are a tax-deductible expense for your customer.
• According to the Equipment Leasing Association of America, approximately 80% of U.S. companies lease some or all of their equipment.
• Leasing gives customers the option to purchase now without any upfront cash.
• In most cases, selling a payment is easier than selling a total price.
• Business owners usually focus on short term expense versus short term profit.  With a lease, payments become more attractive and allow better measurements of profit for the business owner.
• Your customers are able to purchase more of what they need with leases. Let’s say the product they need is $2,500.00, and they want to purchase a service agreement and install, but, the business owner does not have the upfront cash for all 3 items.  Upon approval, you can bundle the cost together for a low monthly payment.

Question: I need some new equipment, but I'm short on cash. What can I do?

We stumbled upon a great article written by bob Dahms of the Bellingham Herald. He made some good points about equipment leasing and we wanted to share.

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Restaurant Equipment Leasing

ExecuTech Lease Group is constantly expanding with new equipment industries we specialize in leasing for.  One of our newest lines is the restaurant equipment industry.  With commercial restaurant equipment we see there are some pieces better suited for leasing than buying outright.  Examples of these items are, but not limited to, Coffee Makers, Commercial Dishwashers, Ranges, and Ice Makers.  One of the major benefits to leasing restaurant equipment is that it can save restaurateurs large sums of money when opening a new restaurant.

If you have decided to go with an equipment lease, here are the steps to follow with ExecuTech Lease Group:

1.      Figure Out The Equipment You Are Looking For
There are numerous equipment suppliers out there who can help you with finding the best equipment for your establishment.  ExecuTech’s role in your purchase is to help you with the funding of this equipment by offering terms that meet your needs.  Make sure when looking at equipment suppliers you look at the service/maintenance package the supplier offers as well as their deliver and installation policy.  Once you have determined the supplier and the equipment contact ExecuTech to initiate the leasing paperwork.

·         If you are unable to find an equipment supplier or don’t know where to begin, please contact ExecuTech for a list of our preferred Vendors.

2.      Work With The Supplier To Determine A Program That Fits Your Needs    
ExecuTech offers numerous programs with restaurant equipment leasing.  Work with the supplier to determine a payment and term that works for you.

·         Most vendors will add service, maintenance, delivery, and install to the overall cost of the lease.

3.      Credit Check

Be prepared, if you have chosen to go with leasing for your restaurant equipment be aware that there will be a credit check. Based upon your credit score, this credit check can determine the payment for your equipment outside of what was already discussed.

4.      Get Ready For Delivery

Upon approval of the lease, ExecuTech will work with your equipment supplier to schedule payment for the equipment. The equipment provider will most likely work with you to determine the best date of install. Your first payment will be due 10 days after the installation of your equipment, make sure your funds are available.

Leasing VS Cash

Leasing VS Cash

In the equipment sales industry the question of purchasing equipment outright or leasing equipment comes up often.  Depending on the leasing or purchase program that your company offers, either could be of great benefit to the customer. However, as a leasing company, we would like to share a few key points when looking to make this decision.

Lease:  Leasing has only a slight impact on cash flow due to small monthly payments being made over time.	Cash:  Buying equipment has an immediate impact on cash flow due to making one large payment up front.
Lease:  Depending on the lease program, the burden of maintenance, interest, taxes and insurance is managed by the lessor	Cash:  The owner of equipment is responsible for all maintenance costs, taxes, insurance, and interest.
Lease:  Leasing equipment requires the user to be responsible for the equipment for the term of the lease agreement.	Cash:  The buyer is responsible for the entire life of the equipment.
Lease:  Depending on the lease program, some lessors offer upgrades of equipment throughout the lease program.  At the end of the lease the lessee is able to upgrade equipment easily.	Cash:  Owners are responsible for the disposal or selling of outdated equipment.  Depending on the choice, the upgrade process can be affected.
Lease:  The lessee transfers all risk of obsolescence to the lessor since there is no obligation to own equipment at end of the lease.	Cash:  The owner of the equipment bears all the risk of equipment devaluation. Obsolescence is the responsibility of the owner.
Lease:  Leased equipment is expensed when the lease is an operating lease. Equipment in this case does not appear on the balance sheet. This can help your company’s financial ratios.	Cash:  Financial accounting requires owners to have equipment appearing as assets with a corresponding liability on the balance sheet. In turn affecting the company’s financial ratios.
Lease:  Depending on the lease program, some lessors offer equipment management services as part of the lease. This leaves the responsibility for tracking the equipment to the lease company.	Cash:  For the life of the equipment, owners are responsible for tracking the equipment.

Office Equipment

Every business, both new and existing comes to a point where purchasing and/or replacing office equipment becomes a necessity.  When making the decision to purchase or lease your equipment there are some major items to look at before making the decision either way:

1)      Cash Flow

2)      Working Capital

3)      Equipment your business needs

Take a moment and determine the equipment that you will need for your business. If you are purchasing equipment to replace old equipment this can be a simple task. Either way, if you are furnishing a new office place or replacing old equipment, large sums of cash will be going out to do so. This in turn can seriously limit your cash flow and working capital. With an ExecuTech lease you can better manage your cash flow with set monthly lease payments and at the end of your lease, you have the added bonus of a $1.00 buyout option.

Also, when looking to purchase or replace your equipment you may find a need for certain equipment, but your budget may not allow for that specific equipment. With leasing, you can get the equipment that you need, with no out of pocket expense.

If you find that the option to leasing would be a better fit for your business. Contact us today and we can direct you to one of our preferred equipment vendors or we can use one of your own.

Phone: (360)713-0695

Email: kylem@elgleasing.com

Do you want to pay your sales reps tomorrow?

ExecuTech Lease Group specialized in Next Day Funding for your leases. Here is how it works: Merchant agrees to terms of lease and signs the lease agreement. Your company submits this lease along with the business documents (business license, DL, void check) to our offices. We will reply by fax or email with an approval and credit score within 15 minutes*. Upon installation of equipment, submit the Delivery and Acceptance for signed by the merchant to ExecuTech and we will fund your deal VIA ACH into your bank account Next Day**!!!!

*15 minuet approvals for all deals. However, if your deal is a decline due to credit, we want to work with you to get those funded. This may take more than 15 minutes to gain approval for the merchant.
**Next Day funding on all deals submitted by 11:30am PST.

Leasing Cost Analysis

To give an example of how a leasing can help businesses with their cash flow as well as the added benefit of tax deductions, see the Analysis below.

1)  Equipment Cost: $15,000.00
2)  Monthly Lease Payment Equipment Cost:  $375.00
3)  Annual Gross Cost ($357.00 x 12mo): $5,625.00
4)  Tax Deduction (Estimated 40% of Annual Gross Cost):  $2,250
5)  Net Annual Cost (Annual Gross Cost minus Tax Deductable Amount):  $3375.00
6)  Net Cost per Month (Net Annual divided by 12):  $281.25
7) Net Cost Per Day (Net Cost Per Month divided by 22*):  $12.78
8) Net Cost Per Hour (Net Cost Per Day divided by 8**):  $1.59


*22 is average business days in a month (you can adjust for your schedule)
**8 hours, based on the average business schedule

Differences Between Leasing and Bank Loans

There are numerous differences between leasing and bank loans. A few of these are as follows:


Down Payment:  With Leasing merchants have equipment that is 100% financed.  With a Bank Loan, more often than not, merchants will have to come up with 20% to 30% of the total cost of their loan amount.

Interest Rates:  With Leasing, merchants have a fixed rate and a fixed payment.  With Bank Loans, merchants are often seeing an adjustable rate.

Term:  Equipment Leasing through ExecuTech gives your company the option of Leasing for a term of 12 months to 60 months (1-5 yr).  With Bank Loans, most are standard 2-3+ year loans.

Financial Reporting:  Leases are not required to be reflected on balance sheet as debt.  With a Bank Loan it will be carried on balance sheet as debt.

Tax Benefits:  Leases are usually fully deductible over the term of the lease.  Bank Loans are depreciated over the IRS's life of the equipment.

Cash Flow:  Leases help to free up cash allowing you to invest further in your business unlike a Bank Loan where your capitol is tied up in bank lines preventing expansion.

Sales Tax:  With a Lease your sales tax is financed with monthly payment, however, with a Bank Loan it must be paid in advance.