What advantages does leasing have over purchasing?

Over the last 10 years, leasing has become the most practical method of acquiring vehicles. The benefits of leasing your next vehicle are many, and what is most important to you depends on your particular circumstance.

Most agree that leasing’s greatest benefit is IMPROVED CASH FLOW.

With no down payment and lower monthly payments, the retention of cash in a business or personal budget can have many advantages. Reinvesting this cash into corporate growth or personal items that increase in value can return a much greater dividend than tying up cash in a “depreciating” asset like a motor vehicle.

Other Leasing Benefits:

  • Fixed transportation costs/greater accuracy in budgeting
  • Lower acquisition cost of vehicles
  • Lower fleet administration costs
  • Conservation of credit lines
  • Accounting benefits
  • Improved balance sheet/increased bonding capacity
  • Improved financial ratios on balance sheet
  • Ability to expense monthly payments
  • Advantages over depreciation schedules
  • Professional services offered by leasing company
  • Elimination of vehicle disposal problems/inconveniences
  • Elimination of need for relationships with many different dealers
  • Better leverage with manufacturer for warranty problems

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