Deb’s Equipment Leasing Blog

Deb’s Equipment Leasing Blog

So, what’s the Rate?

Apr 11 , 2019 by Deb Sands

When clients first talk to us about leasing, they always ask about the “rate.” As in, “what is the rate?” And to be honest, it’s not an easy question to answer. A lease is not like a mortgage where, if you qualify, you get the same rate as everyone else.

Financing rates to lease equipment vary depending on many different factors and they all have to do with YOUR specific business. From the time you incorporated the business, to what it does, to how you pay the company’s bills. And then there’s the type of equipment, the cost, the term, etc.

Often times people get very crabby with my team and say something like… “Whoa! That’s a lot of questions. I just want to know how much the payment is?” So after 30 years of trying to explain, I have come up with the PERFECT analogy.

Please follow along below….. One day a good lady friend comes to me and says….. “Can you please go buy me a new outfit? I have to go out” So, I head off to a nice ladies shop and pick out a lovely spring frock in pretty pastel colours with a cinched waist and a full skirt that settles just above the knee. Oh, and a matching purse and peek-a-boo heels. And yet, when she sees my offering, she yells at me and says….. “What is this? I am going on a field trip to the zoo with my youngest child and his grade 2 class. How on earth is this appropriate for a rainy day at the Calgary Zoo with 25 sticky, rambunctious seven year olds?” Of course, she has a point. It is not appropriate at all! But with so very little information to go on, the chances of being correct are incredibly low. So, the moral of the story is this – the more information we have about your company, the more accurate we can be with a lease payment quote.

We will always need:

1. How long have you been in business?

2. What does your business do?

3. What equipment are you buying?

4. Is the equipment new or used?

5. Is the business profitable?

For more tips on the complexities of leasing equipment, please download my free e-book at https://priorityleasing.net/equipment-leasing-guide-book/

#leaserates, #leaseplan #interestrates #interest #rates #rate

Trade Show Season is Approaching!

Mar 4 , 2019 by Deb Sands

 

Why not Illuminate your Booth this Trade Show Season!

The benefits of exhibiting at a Trade Show can surpass any marketing or growth technique. Thousands of business deals are done at Trade Shows every year. The costs involved to display all of your products and services with tables, drape partitioning, tenting for outdoors, power, lighting, etc. can be an expensive venture.

In our experience at Priority Leasing we found that the items on the list below are imperative to making your Booth at a Trade Show be flawless:

– Pipe and Drape

– Tables

– Chairs

– Flooring

– Easels

– Skirting

– Signature tablecloths

– Tents, Awnings, and more…

Save Money and Impress!

Trade Show success is measured by how much effort you want to put into it. Why not save some effort and stress.. lease just what you need instead and save money, storage space, and ensure a successful Trade Show event!

The attached link will give you an idea of what Trade Shows will be coming to Calgary this year. Feel free to contact me at Priority Leasing to see how we can help! Tradeshows 2019

What is the most unusual thing you have ever Leased?

Jan 16 , 2019 by Deb Sands
When it comes to business equipment leasing, you already know you can rent all the desks, chairs, computers and copiers you’ll ever need. Other common leases might include vehicles, conveyor systems, and construction equipment.
 
Over the past 25 years, we have leased some very strange equipment….. ambulances and the drugs on the ambulance, grand pianos, dental implants…. But this story takes the cake!”
 
 

Deb Sands
President
P: 403-216-1930
C: 403-703-7301
E: debbie@priorityleasing.net

How is Coffee like Leasing?

Dec 3 , 2018 by Deb Sands

Procaffeinating (n). – the tendency to not start anything until you’ve had your coffee…

Coffee and Leasing are similar in many ways. Both are very popular, both have a slight fascination.

Many companies view leasing as old hat, very similar to banks and other institutions. But in reality, leasing has also helped companies grow and expand.

The key is both Leasing and Coffee can be personalized to individual tastes and businesses.

As you know, the strengths of coffee are varied, from Double Espresso, Latte, Macchiato, Americano, all the way to Decaf, in order to suit individual tastes.

Well Leasing is much the same, whatever the equipment, whatever the taste, leasing will help you reach the next stage in your business.

For instance, if you are a start-up, it can help you acquire the equipment you need to start, or as an established company, help you seize other business opportunities, for growth to complete a new order, or to grow your business in other ways. When competition is hard, the key to any vendor program is to minimize the cost objection, and leasing is the perfect and proven answer to this objection.

With business opportunities, “the window” only stays open for a short time. For more information about what you can Lease and how we can get you through that window! Feel free to contact us.

Have a success-filled week!

Debbie

Smart finance solutions for your business!

Nov 22 , 2018 by Deb Sands

Every business owner needs equipment and technology for their day-to-day operations. However, you do not necessarily need to own the equipment.

For instance, owning a photocopier can be a financial burden for many small businesses. Aside from supply costs and maintenance fees, coming up with the initial capital to purchase the copier can stretch operational budgets beyond profitable limits. Copier leasing helps ease the up-front monetary investment and may also provide a number of other attractive benefits.

Copiers depreciate over time, losing their value due to use and to the constant introduction of newer, better technology. If your business purchases a copier, you can only upgrade in technology by investing in another new machine. You would also need to get rid of the previous model, adding to your time expenditure.

Rather than pay cash up front, a finance facility can give you much more control and flexibility. Whether you need a piece of computer software, a pizza oven, a tractor or even a snow plow, it is available for lease.

Calculating your costs when starting a business
As you may know, one of the most common causes of a new business failure is not having enough cash to meet expenses, especially in the first six to twelve months after start-up. But if you identify and plan for these costs, this is less likely to happen.

Calculate ongoing and one-time costs
Ensure you identify which costs will be one-time costs and which will be on-going. Some costs you may never have to cover again, while others may recur annually or every couple of years. It’s important to identify and budget for this early so you don’t get caught out in the future.

Set realistic expectations
As well as thinking about your start-up costs, also consider how long it will take until your business will open its doors and you will be generating revenue. Don’t set unrealistic expectations. If you get this wrong, costs can escalate quickly and you can find yourself under pressure to meet new costs without an income stream.

Overestimate costs
It’s better to over-estimate than to under-estimate. Many experts recommend adding 10% on top of your total costs to cover any miscellaneous expenses and unforeseen blow outs.

As I wrote earlier, every business owner needs equipment and technology for their day-to-day operations. However, a business does not necessarily need to own the equipment. Rather than pay cash up front, a finance facility gives you much more control and flexibility. Whether you need a piece of computer software, a pizza oven, telephone systems or even a snow plow, it is available for lease.

Leasing offers several advantages. Short-term leases allow businesses to explore new avenues without having to purchase expensive equipment for pilot programs. Leasing allows you to trade in your equipment periodically, staying current with the latest technology and trends.

The advantages keep on growing:

  • you don’t have to pay the full cost of the asset up front, so you don’t use up your cash or have to borrow money;
  • you have access to a higher standard of equipment, which might be too expensive for you to buy outright;
  • you pay for the asset over the fixed period of time that you use it, which helps you budget for the future;
  • as interest rates on monthly rental costs are usually fixed, it is easier to forecast cash-flow;
  • the leasing company can usually get better deals on price than a small business could and will have superior product knowledge

Keeping business equipment up-to-date with rapid advances in technology can quickly drain your capital. The right facility can give you the flexibility to upgrade your equipment.

Understanding the tax and accounting consequences and treatment of a lease is of primary importance.

This information is designed to provide a basic overview; applicability to specific situations would need to be determined through consultation with your professional accounting advisers. For more information.

This paper, which was written by the CFLA, will introduce some fundamental Canadian taxation and accounting concepts specific to the leasing industry. How leases are classified for tax purposes as either a capital or an operating lease will be discussed in addition to how a financial statement would record a capital lease from the perspective of both the lessee and the lessor. As well, the capital cost allowance system of tax depreciation will be reviewed.

For some commonly asked questions, I’ve written a Guide to help you decide what is best for your business.

Cash flow friendly payments

Clever finance solutions will help you manage your cash flow. With regular fixed payments, it’s easier to predict cash flow, and business capital is protected as you can access the equipment you need without large cash or capital outlays.

Tailor made finance

Flexible financing is our greatest strength. No two businesses have the same needs, so we can tailor a finance solution to meet your cash flow, timing and capital budget requirements.

Needless to say, efficiency translates to increased profit and a greater return on your lease investment.

For more information, please feel to contact me.

Northwest Dental Expo

Sep 27 , 2018 by Deb Sands

Bob and I enjoyed a day in snowy Edmonton last Friday at the Northwest Dental Expo.  We met a lot of our newly acquired dental lessees and learned about the amazing technology that is totally changing the face of dentistry.   For example, there is a laser available now that will allow dentists to fix cavities and do other procedures without having to freeze your mouth.  No More Needle!   And there are 3D printers and milling machines that can make and bake a crown for you while you wait.  No more sending impressions off to the lab.

As you can tell, I’m pretty excited to be involved in this new industry, but for we’re still very much involved in all types of equipment.   So if you have a question about new equipment for your business, please give us a call!

Apple Fitness

Sep 27 , 2018 by Deb Sands

Priority Leasing was pleased to be one of the sponsors of the Apple Fitness Stores “Experience 2019” yesterday at Heritage Park.     A host of industry experts spent the day speaking on the changes in the fitness industry including an amazing talk by Colin Milner, the CEO of the International Council On Active Aging.   We are a service provider to Apple Fitness and work with them to get state of the art fitness equipment into public facilities, boutique fitness clubs, condo corporations and office towers.

Good News!

Jul 13 , 2018 by Deb Sands

FOR IMMEDIATE RELEASE

Calgary Equipment Leasing Brokerage Expands Its Dental Market.

Priority Leasing Inc. is pleased to announce the purchase of Dental Leasing Options Inc. operating as Varndell Professional Leasing Corp.

Calgary, Alberta – July 1st, 2018.

Priority Leasing Inc, a Calgary based equipment financing company announced on June 15 2018 that it has purchased Dental Leasing Options Inc.

Dental Leasing Options Inc. was established by Mr. John Varndell 25+ years ago. The core industry that it has serviced is the Dental and Denturist businesses in Canada.  The company has facilitated equipment financings in excess of a $100 million dollars to 1000’s of practices and customers.

Priority Leasing Inc. was established 25 years ago and facilitates equipment financing to a broad range of industries. The addition of a well-established Dental portfolio will be a significant part of the business growth in the years to come.

“We have worked with John Varndell over the past eight years”, says General Manager, Bob Wall.  “We were very interested in acquiring Dental Leasing Options Inc. because we know how hard their group has worked to give their clients the best possible solutions and customer service. 80% of the incoming business comes from existing customers. That speaks volumes about the trust and care that they have shown for their clients.

Mr. Varndell, president of Dental Leasing Options Inc. had this to say, “After 34 years in the dental industry first as a dental rep and later as a lease finance provider, it is time to hang up my calculator and enjoy my retirement.   I can say with all sincerity I know that my dentists, denturists and hygienists will be well taken care of by Priority Leasing.”

To learn more about the acquisition and Priority Leasing’s expansion plans contact Bob Wall at 1-877-955-1930 or email, bob@priorityleasing.net.  You may also visit our website at www.prioritiyleasing.net

Lease HVAC? Of Course We Can!

May 23 , 2018 by Deb Sands

This week, the temperature in Calgary reached 30 degrees!  Is this a forecast (pun intended) of what a prairie summer is going to look like? For those of us tied to a desk and not frolicking at the beach, it might be a good time to discuss HVAC systems, and the simplicity of leasing one.

Yes, you can lease any size HVAC system!

To start this story, I would like to mention a church in southeast Calgary who was having an issue with a “hellish atmosphere” last summer.  No, this wasn’t a cheesy re-make of “Angels and Demons” where a leasing agent saves the day, but rather a case of an old air conditioning unit heaving its last chilly breath.

Since holding Sunday service down by the river was not an option, and the parishioners were melting in the stifling air, the good pastor gave us a call and asked if we could lease him a new air conditioner and all the duct work that goes with it.

Perhaps you’re asking yourself, is it really possible to lease a commercial air conditioner? And the metal ductwork permanently attached to the ceiling?  To arrive at an answer, credit managers will ask two simple questions.  “Can they pay?” and “Will they pay?”  In other words, does the church have the cash flow to make monthly payments?  And, does their corporate credit bureau show that they have paid other bills on time?

In this case, both answers were YES, and within a few days the air was cooler and the congregation was enjoying a renewed belief in miracles. This added greatly to the collection plate and the monthly lease payment was easily covered.

So here’s the moral of the story. Running a business is challenging enough without having to sweat while you source all the answers to all the problems.  If we can help you cool off, and enjoy your summer, give us a call and let’s figure this out together.

Stay cool this summer!

“Who invented the tube sock?”

Mar 27 , 2018 by Deb Sands

An article by guest writer, Ryan Dowson…. Mobile Account Executive, Western Financial Group.

“Commercial insurance is… oops, did I lose you already? It’s quite understandable considering it’s the least exciting topic next to 19th century agrarian farming practices and the question of ‘who invented the tube sock?’

Commercial Insurance & Equipment Leasing – Together is Better!

Maybe this will make it more interesting: Catastrophic losses in Alberta alone amounted to $5.03 billion dollars in 2016. This includes payments to damaged or destroyed businesses and property as a result of things beyond anyone’s control. In some cases, even having business insurance isn’t enough unless you know what you are covered for, and under what conditions or terms the insurance company will pay out. 

There are a wide variety of coverages available from property & crime, general liability, business interruption, machinery breakdown, tool expense, and many more. All of these types of coverage are designed to mitigate the day-to-day risks that a business owner either knowingly or unknowingly exposes themselves to as part of everyday operations. Even signing that next big contract with a new customer could put you in a tight spot if your equipment gets damaged, or, even worse, you damage someone else’s property and haven’t checked the fine print of the contract for things like “Hold Harmless” agreements. 

Insuring the assets of your business against damage and loss is the best way to ensure you have a business to come back to tomorrow. After all, those lease payments still need to be made whether or not that equipment is in one piece, or several.  Insure to ensure!” 

By the way, socks have evolved over the centuries from the earliest models, which were made from animal skins gathered up and tied around the ankles. 

Should you have any questions about Equipment Leasing and Financing, I’d be happy to help. Have a success-filled April!

Deb Sands, Priority Leasing