Creative Business Finance brokers to many prominent lenders, including specialty finance and private lending resources. After significantly increasing their lending in 2013, most organizations seem poised for another banner year. The following is a list of a few of the lenders we work with, and their 2014 projection of funds that will be available for us to assist businesses finance working capital, equipment, and/or commercial real estate. If you would like to receive assistance on your business needs please contact us at (720) 446-5626 and your application will go to more than 20 lenders and maybe up to 100.
Tax Code Section 179 allows small and medium-sized businesses to deduct the full purchase of qualifying equipment and/or software financed from their gross income during the tax year. It is an incentive created to encourage businesses to buy equipment and invest in themselves. Today, millions of small and medium-sized businesses are taking action and getting real benefits from Section 179.
This incentive applies to the purchase of essential use equipment including machinery, computers, and other tangible goods, placed in service by December 31, 2013. The Section 179 limits for the year 2013 were increased by the American Taxpayer Relief Act of 2012 which allows businesses to write-off up to $500,000 of qualified equipment. Bonus Depreciation was reinstated at 50% allowing larger businesses that exceed the $2,000,000 limit on capital purchases to write-off 50% of qualified equipment.
When the total yearly equipment acquisition for the company does not exceed the 2013 Section 179 limit of $500,000 the Example 1 (Below) shows how the accelerated depreciation affects the equipment cost after tax savings. The equipment cost residing below the Section 179 threshold allows 100% of the equipment cost to be deducted this year.
When the total yearly equipment acquisition exceeds the standard Section 179 limit of $500,000, but does not exceed the ceiling of $2,000,000, Example 2 (Below) shows how the bonus depreciation affects the equipment cost after tax savings. The equipment cost in excess of the $500,000 is allowed by law for qualifying equipment to be depreciated by 50% coupled with normal deprecation rules according to MACRS.
When the yearly equipment acquisition for the company exceeds the full benefit ceiling of $2,000,000, the Section 179 tax deduction reduces dollar for dollar thereafter. (Below) Section 179 deduction is reduced by $100,000 as the total equipment acquisition exceeds the $2,000,000 ceiling by the same amount.
To to take advantage of the incentives and the substantial tax savings, your business equipment must be put to use by year-end. Interested in learning more? We’ll provide you with a free consultation and extend financing solutions so you can acquire the business equipment you need.
Tax Code Section 179 & Election to Expense Detail
The election, which is made on Part 1 of IRS form 4562, is for the tax year the property was placed in service or an amended return filed within the time prescribed by law. The total cost of property that may be expensed for any tax year cannot exceed the total amount of taxable income during the tax year. Section 179 property is property that you acquire by purchase for use in the active conduct of your business. To ensure property qualifies, reference Publication 946. Contact your tax advisor for further detail or visit www.irs.gov for specific detail.
Contact a Loan Officer at CBF for more information, (720) 446-5626
Deciding between equity financing and taking on a loan for your business is a challange for all small business owners when they need capital to expand a business. Should you go to a bank and apply for a business loan? Or should you look for an investor?
Consider the advantages and disadvantages of each to determine which type of financing is best for your business:
Equity financing: Having an investor write you a check may seem like the perfect answer if you want to expand your business but don't want to take on debt. After all, it's money without the hassle of repayment or interest. But the dollars come with huge strings attached: You must share the profits with the venture capitalist or angel investor.
Advantages to equity financing:
Disadvantages to equity financing:
Debt financing: The business relationship with a bank that loans you money is very different from a loan from an investor -- and requires no need to give up a part of your company. But if you take on too much debt, it's a move that can stifle growth.
Advantages to debt financing:
Disadvantages to debt financing:
Most businesses opt for a blend of both equity and debt financing to meet their needs when expanding a business. The two forms of financing together can work well to reduce the downsides of each. The right ratio will vary according to your type of business, cash flow, profits and the amount of money you need to expand your business.
For information on debt financing contact Steve Felt at (720) 432-9118 or firstname.lastname@example.org
Despite the challenges, we believe that medical equipment leasing is beneficial to hospitals, health systems, and other health care organizations, and that the medical equipment lessors who truly take the time to understand the considerations in the industry will be able to continue serving it.
What is more, we believe that some outcomes of the Affordable Care Act will have a positive impact on hospitals’ financial positions, making them more favorable to lessors. For example, access to affordable insurance will reduce focus and spending on collections from self-pay patients, saving providers time and money. Additionally, Medicaid expansion is likely to improve financial performance for most providers and could spur increased utilization by previously uninsured patients. As medical equipment lessors, an improved financial position of hospitals would be a positive change. A stronger position is good news on all fronts: for the hospitals, for the patients, and for the health care equipment leasing industry.
Beyond that, the benefits of leasing medical equipment for customers still remain. As always, better, faster, newer equipment continues to transform patient care – enabling quicker and more accurate diagnoses and treatment.
The Benefits of Leasing Medical Equipment Include:
To get started and discover your options please contact Steve Felt at (720) 432-9118 or email@example.com
If you're a typical Main Street small business, you know the financial challenges of maintaining and growing your business. When you started your business, you probably used your personal lines of credit to renovate or buy inventory. This hurt your personal credit score, which in turn, hurt your chances to receive a loan.
Best ways to increase Financing Options for your Business:
Minimize Risk – Maximize Opportunity with our Small Business Loans
CBF has a mission to help successful small businesses grow by providing small business loans when traditional lenders will not. We are not a leasing company or a merchant cash advance company. Our business loans range from $5,000 to $250,000. We lend to small businesses based on business performance, in addition to credit history and offer:
This option may be right for you if:
To Talk With a Loan Specialist, Simply Call (720) 432-9118, or Apply Online.
Medical Marijuana has been legalized by several states and two have decriminalized the possession and recreational use. Even though he doesn't see marijuana on the same level as alcohol, the current Drug Czar does think the administration should look at marijuana as more of a public-health issue. So we have reached out to our non-institutional and institutional underwriters to find out how we can provide commercial mortgages and leases on equipment for this growing industry and happy to say we have at least one commercial mortgage underwriter and one leasing underwriter that will lend to this industry. We can only assume that with each state legalizing its use for medicinal purposes we will be able to spread across the country with these programs. For more information and a confidential interview please contact Steve Felt at firstname.lastname@example.org or (720) 496-6353.
Stephen Felt is the Managing Director of Creative Business Finance, LLC and writes or reposts information from other sources for this blog.