TRUST CAPITAL Blog

The senate passed the HR5771 bill last night to extend Section 179 tax benefits to the end of 2014. It appears that we are very close to the President signing a reinstatement of the 50% bonus depreciation for equipment in place in 2014 up to 500k. This is not the law yet. I’d say it’s going to happen for sure as the vote was overwhelming on both sides. No reason for the President not to sign. 

Core Navigation

Financing should be a permanent option in the core navigation of your website. This helps repeat customers easily find information/links to manage their account while helping new customers easily find the information to apply for an equipment lease

Once the customer has decided to finance the acquisition of products, financing through the vendor is often more desirable than going directly to a bank or leasing company for a variety of reasons.

Rates are low for doctors. I've seen them starting at 5% for A credit profiles. For small to medium companies not in the medical industry I'm seeing rates come in at 7.5% for equipment loans as of April, 2014.

AVOID INTERIM RENT ON A BUSINESS LOAN AND EQUIPMENT LEASE

According to the IRS, the Section 179 tax deduction limit as of January 1st 2014 is $25,000 with a $200,000 investment ceiling. 

There are various ways for a start up business to raise capital for their company. Here are a list of solid ways to access the capital you need to grow your business. 

A small business loan is a true business finance loan with a fixed interest rate and term. A cash advance is not considered a loan. No need to change credit card processor's with a small business loan. With a cash advance you must change processors. On a small business loan lenders report your payment history to the credit agencies. On a cash advance there are no credit benefits. Both products are great for business cashflow needs and both have a quick approval process. Typical uses for both products include inventory, equipment, temporary cash flow management (if your sales volume fluctuates), working capital supplementation, marketing to generate new business, and unexpected business opportunities that you just can't pass up.

Business owners with strong company cash flow, despite their personal credit record that need quick access to capital benefit from a working capital loan. Generally businesses can be approved with a One-page loan application, previous 3 months of bank statements and previous 3 months of credit card statements. Business owners get decisions in as fast as 1 business day; funding in as fast as 2 business days.