2701 Troy Center Dr.
Troy, MI 48084
2002, Primex Leasing
all rights reserved
There are many reasons why companies choose to lease their
equipment. In addition to flexibility and protection against
technological obsolescence, leasing provides the ability
better match cash outflow with revenue production. Leasing
is an efficient and convenient method of acquiring needed
equipment. Over 80% of companies lease some, or all, of
their equipment in order to take advantage of the following
In most cases, leasing allows you to finance 100% of the
equipment cost – including installation and setup.
Compared with more traditional forms of equipment financing,
leasing allows you to retain needed working capital for
Leasing provides fixed periodic payments for your equipment
acquisitions. Payments are usually made on a monthly basis
but can be structured as quarterly, semi-annual or annual
depending on your needs. A fixed payment amount enhances
your ability to forecast cashflow requirements. If your
business experiences seasonal fluctuations in revenues,
Primex can structure your lease to allow for lower payments
during the off-peak season.
Under certain lease structures, your business can lower
its taxable income while enjoying a lower payment than that
required under traditional financing methods. By converting
a depreciable asset expense to a rent expense, the full
payment can be expensed for tax purposes. The Primex professionals
are well versed in the tax code and can assist our clients
in minimizing federal income tax liability.
Through our experience and relationships, Primex can maximize
the resale value of off-lease equipment. This capability
allows us to structure leases with lower monthly payments
for our clients.
Balance Sheet Considerations
Leasing offers companies the ability to better manage their
balance sheets and improve financial ratios. Each type of
lease offers benefits unique to your company's financial
conditions and objectives. The leasing professionals at
Primex will work with you and your accountants or tax advisors
to develop a structure allowing you to maximize your objectives.