Case Studies of Successful Leasing Strategies: Unlocking Growth with Industrial Equipment Leasing

Businesses can achieve operational and growth efficiencies with the help of the best financing options, . Leasing can be a smart move for many businesses seeking large capital expenditures for machinery and equipment.

Industrial equipment leasing offers many advantages, such as improved cash flow management, access to cutting-edge technology, and low upfront costs.

In this article, we’ll explore successful leasing strategies through case studies that demonstrate how CMS funding has enabled businesses to grow and innovate.

Key Benefits of Industrial Equipment Leasing

Understanding the key benefits of leasing industrial equipment is crucial before you go through the specifics of each case study:

• Allow to Manage Cash Flow: With leasing equipment, businesses can preserve their cash flow. This allows them to spend it on other crucial operations.
• Flexibility: With flexible payment terms and end-of-term options, businesses have the flexibility to respond to their evolving requirements.
• Efficiency in Tax:  Lease payments are considered business costs. This means it can be deducted as a business expense. This results in tax benefits and a lower total lease cost.

Case Study 1: Enhancing Healthcare Services with Advanced Equipment

A healthcare provider can improve medical services with cutting-edge diagnostic tools. It is not a practical option to buy medical technology outright, due to its high cost and specialized nature.

Solution: The healthcare provider can get the latest diagnostic machines through a short-term lease by leveraging CMS Funding’s expertise in industrial equipment leasing. They can also obtain authorization to upgrade them every two years.

Outcome: By securing a lease, the healthcare provider can provide state-of-the-art diagnostic services. Thus, it enhanced patient outcomes and solidified their competitive position in the market.

Case Study 2: Expanding Manufacturing Capabilities

A mid-size manufacturing company can boost its production capacity to meet the increasing market demands.  The cost of the new machinery was substantial, and to purchase the equipment immediately would have exhausted the company’s cash reserves.

Solution: Businesses can choose an industrial equipment leasing plan designed to meet their unique requirements after consulting with CMS Funding. This strategy allows them to acquire state-of-the-art manufacturing equipment without incurring the full upfront cost.

Outcome

With the help of the leasing agreement, the company can

• Double its production capacity, and 
• Maintain a healthy cash flow. 

An additional benefit of the flexible lease terms was the chance to assess the equipment’s performance without committing to a long-term lease.

Case Study 3: Upgrading Technology in a Construction Firm

A real-estate company had to upgrade its fleet of heavy machinery to undertake larger projects and comply with new environmental regulations. However, the rapid pace of technological advancement in heavy equipment posed a significant risk of obsolescence.

Solution:  CMS Financing managed a lease for business equipment with flexible end-of-term options. This gave the company the option to extend the lease. Additionally, you can get a better deal on the equipment or exchange it for a newer model.

Result: By implementing a leasing strategy, the company can reduce the risk of obsolescence and maintain financial alignment with its plans. The construction company successfully completed several large-scale projects with increased efficiency and compliance with environmental standards.

Conclusion

Leasing industrial equipment can make a big difference when used to save money, as discussed in the above cases. Many industries choose leasing options to manage their finances as well as stay ahead of technological advancements and regulatory changes.

CMS Funding is committed to providing flexible and unique financing solutions, like industrial equipment leasing. They help businesses reach their operational goals and grow. Contact CMS Funding today for more information and customized leasing options.