No Lease on Life

Why business owners are opting to buy
Magazine Contributor
1 min read

This story appears in the May 2004 issue of Entrepreneur. Subscribe »

In the Equipment Association's (ELA) recently released survey covering business owners' attitudes toward leasing, the big surprise was not an attitude change, but the lack thereof. Nearly 70 percent of respondents said the newly enacted and Growth Tax Relief Reconciliation Act of 2003, which increases the depreciation allowance, would not affect whether they lease or buy. The reason for this flat-line change, says ELA president Michael Fleming, is that "we're in a very, very low interest-rate environment, and people have opted to buy." Fleming mentions, however, that "as interest rates start to tick up, more people will start showing interest in leasing options."

loading...

More from Entrepreneur

We created the Start Your Own Business (SYOB) course to help you get started on your entrepreneurial journey. You will learn everything you need to know about testing the viability of your idea, writing a business plan, raising funds, and opening for business.
Jumpstart Your Business. Entrepreneur Insider is your all-access pass to the skills, experts, and network you need to get your business off the ground—or take it to the next level.
Entrepreneur Store scours the web for the newest software, gadgets & web services. Explore our giveaways, bundles, "Pay What You Want" deals & more.

Latest on Entrepreneur