Eight out of ten American companies lease all or some of their equipment. Each year more companies choose to procure new productive equipment through leases rather than loans. Companies that lease tend to be growth and/or technology oriented organizations. According to the Equipment Leasing and Finance Association
(ELFA), leasing continues to be the most widely used method of asset-based financing in the U.S., accounting for approximately one-third of the external financing of capital investment.
ELFA statistics indicated that equipment financing volume
was forecast to exceed $1.049 trillion in 2016. The 2016 forecast didn't
meet expectations, but the 2017 volume forecast is expected to improve.
For 2017, the ELFA predicts the U.S. economy will grow by 2.7%, and the
investment in equipment and software should expand approximately 3.0%.
A Recent Leasing Survey Addresses
the Following Questions:
1) What percent of companies lease their equipment?
2) What type of equipment do companies lease?
3) Do companies continue to repeat the leasing experience?
4) Why do companies lease instead of purchasing their equipment?
5) How do companies rate leasing as a financing option?
6) What type of companies lease?
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