Learn About Investment Options & Taking Advantage of Tax Incentives.
At Park Industries®, we understand just how important the proper management of cash flow is to the success of your business. There are a variety of ways you can get the machinery you need for your business, whether you lease, use a bank, or buy outright with cash.
Park Industries® would love to be your trusted adviser during the process of buying new equipment. By reaching out to us and providing a few details about your situation and your needs, we can guarantee a response within one business day.
Buying with a Bank
If you already have a great working relationship with a bank, you may choose to finance your new equipment by taking out a loan with your bank.
Relationships with Bank
Possible Lower Lifetime Cost
No Collateral Needed
No Buyout at the End of the Term
Leasing the equipment you need through Park Industries® is a great option for a variety of reasons.
Preserves Working Capital
Preserves Lines of Credit
If you don’t want to take out a loan with your bank or finance through Park Industries®, you always have the option of paying upfront with cash.
Saves Money on Interest
Free Up Credit for Other Uses
Stay on Budget
TAX INCENTIVES | SECTION 179
IRS SECTION 179
Essentially, Section 179 of the IRS tax code allows businesses to deduct the full purchase price of qualifying equipment and/or software purchased or financed during the tax year. That means that if you buy (or lease) a piece of qualifying equipment, you can deduct the FULL PURCHASE PRICE from your gross income. It’s an incentive created by the U.S. government to encourage businesses to buy equipment and invest in themselves.
Calculate What you Could Save with Section 179!
Deduction Limit = $1,000,000
This deduction is good on new and used equipment, as well as off-the-shelf software. The equipment must be financed/purchased and put into service by the end of the year.
Spending Cap on Equipment Purchases = $2,500,000
This is the maximum amount that can be spent on equipment before the Section 179 Deduction available to your company begins to be reduced on a dollar for dollar basis.
Bonus Depreciation: 100%
Bonus Depreciation is generally taken after the Section 179 Spending Cap is reached. Note: Bonus Depreciation is available for new equipment only. The bonus depreciation will phase down to 40% in 2018 and 30% in 2022.
The above is an overall, “simplified” view of the Section 179 Deduction. As with any major tax deduction, the effect on – or benefit to – your company depends upon many factors.
Park Industries® and its associates do not provide tax advice. As always, please consult with your tax advisor regarding your individual situation.