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Which is better, equipment finance or equipment leasing?

Deciding between equipment financing and equipment leasing depends on your specific business needs, financial situation, and long-term goals. Here’s a comparison to help you determine which might be better for your trucking business:

Equipment Finance (Loan):

  • Pros:
    • Ownership: The equipment is yours after the loan is paid off.
    • Long-Term Savings: Generally more cost-effective over time.
    • Tax Advantages: Potential for tax deductions like interest and depreciation.
  • Cons:
    • Upfront Costs: Down payments are typically required.
    • Maintenance: You’re responsible for the upkeep and repairs.

Equipment Leasing:

  • Pros:
    • Flexibility: Easy to upgrade to the latest equipment model.
    • Lower Initial Expense: Usually requires less money upfront, aiding cash flow.
    • Maintenance Included: Some leases cover maintenance costs.
  • Cons:
    • No Ownership: You don’t own the equipment, limiting asset accumulation.
    • Potentially Higher Long-Term Cost: Can be more expensive over time if you continually lease.

Learn more about Equipment Financing

BLF is here to assist you

Our goal is to provide you with expert help and guidance for you needs. Whether you need funding or business services for your trucking company, you are in reliable hands.

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