Equipment Financing
The Equipment financing industry just got some great news. The “Big Beautiful Bill” that passed is the best thing to happen to our industry.
After over 10 years in the industry, we have seen lot of things come and go. This time, we got something really good. They have made 100% bonus depreciation permanent – meaning businesses can write off their entire equipment purchase in the first year, forever. They also fixed the interest deduction problems that were making it harder for companies to finance equipment. No more wondering if these benefits will disappear next year or the year after.
Any and all equipment used in any business can be funded as long there is use case for it. Medical, Construction, IT, Restaurant and other retail businesses always have some equipment that needs to be upgraded to grow their business and depreciate it as lease rather than purchase a depreciating asset like a vehicle or something that will reduce value over time. Hence allows you to amortize the cost over the length of the term so your business always has the latest equipment to drive growth and take your business to the next level.
Equipment Financing lets you depreciate new equipment
What does this actually mean? Our customers want more equipment because they can immediately deduct the full cost and their loan interest is fully deductible again. The Equipment finance agreements are perfectly fits in with these new rules. The customer owns the equipment, gets the tax benefits, and has predictable monthly payments. It is exactly what businesses were looking for.
Tax Advantages of Equipment Lease Financing
A business owner who understands they can write off a $200,000 piece of equipment this year instead of over seven years is going be more interested in buying it and upgrading his obsolete equipment. And here is the really good part – they can buy that equipment in December and still write off the entire amount this year. When they are ready to buy they are going to need financing and advice on how to structure the deal.
The companies that understand these changes and can help their customers take advantage of them are going to win. We’ve been waiting for news like this for a while. Now let’s make sure we’re ready for what comes next.
Recently funded Equipment financing deals by Venus Capital
Deal 1
A 46 year old vending company was looking to purchase refrigerated sandwich vending machines. Based on their tenure in the industry we were able to secure them a great rate!
- Deal type – App only
- Funded amount $51,200
- Rate 10%
- FICO 720
- TIB 15yrs
- Equipment – Refrigerated sandwich vending machines
Deal 2
A 10 year old tree service company needed a bucket truck to increase the number of crews they could have out.
Even though the unit they wanted was a little older, we were still able to help them out with a decent rate!
- Deal type- App only
- Funded amount $57,000
- Rate 14%
- FICO 691
- TIB 18yrs
- Equipment 2006 International Bucket truck
Give us a call to help you take full advantage of these new deductions and tax write off so you can use the latest equipment and leverage it to grow your business.