There's more than one way to buy a CMM: Capital Leaseson April 26, 2016 From News And Comment
No matter what kind of measuring equipment you’re thinking about acquiring: stationary coordinate measuring machines, portable measuring arms, laser trackers or vision systems, there are now more ways than ever to get the measuring equipment you need without having to write a check or obtaining a bank loan for an upfront purchase. In a prior post, we looked at how equipment rentals are right in some circumstances. Today, we’ll look at an alternative kind of loan called capital leasing.
Capital Equipment Leasing
Debra Demotto, Account Executive at National Machine Tool Financial (Elk Grove Village, IL) one of our capital leasing providers, says that capital leasing is an increasingly popular option for companies to acquire equipment. Just about any kind of metrology equipment can be leased, from CMMs to Multisensor CMMs, Portable Measuring Arms, Laser Trackers, even software. “Unlike an automobile lease, an equipment lease is structured based on 100% of the equipment value over a 60 month term at a low fixed interest rate, with a $1.00 buyout at the end, after which you own the equipment outright. It’s a great way to acquire the latest technology with little or no initial cash outlay.”
So let’s say that you were interested in a new 7.10.7 SF shop floor cmm (pictured). You can utilize a capital lease to spread out the payments for 5 years, pay $1 at the end, and the machine is yours. Your return on investment payback could be far faster than 5 years. In fact, customers upgrading from a manual to a DCC CMM will see extremely quick paybacks based on the inspection speed gains alone. So the machine could have paid for itself long before you pay it off.
Demotto also points out that there are also unique benefits to leasing when you consider any state or federal tax incentives for investing in plant and equipment that may be available. “Under some of these tax incentives combined with a lease, it can be possible for you to write off the entire cost of the metrology equipment long before you’ve actually paid for it. We’ve seen customers where the amount they saved in taxes was MORE than the total of their first year’s payments.” Obviously we aren't tax accountants and you should consult your tax professional for how any available programs might apply to you and before you make a decision based on tax savings.
Are you interested in looking at a capital lease? You don’t have to go far. Visit www.Hexmet.us/financing for a complete online calculator and application form if you already have a quote from Hexagon Manufacturing Intelligence. It will allow you to calculate your payments, and a very handy cost per hour calculation (based on a 40 hour week).