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Lease Is More

Save money by leasing, price your product to sell.

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This story appears in the January 1998 issue of Business Start-Ups magazine.

Short on capital but long on equipment needs? Consider leasing instead of buying. Leasing frees up capital because it eliminates the large cash outlays and down payments required when purchasing or financing equipment.

"The smart way to obtain equipment is to borrow capital from a bank because it costs less to repay the loan and you ultimately own the equipment," says Carl Evans, who, with his wife, Norma, owns and operates Santa Fe Printing, a full-service print shop in Santa Fe, New Mexico. Unfortunately, you might not have that option. Because the Evans didn't qualify for a bank loan when they needed $18,500 for a new printing press, they leased the new press at $550 per month for four years.

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