GPS tracking systems...consider these points when purchasing a real time GPS tracking system via cash, a lease or a loan-
Liquidity: The #1 reason businesses fail is due to lack of liquidity. Maintaining ample cash balances in your checking account should be a top priority for a company of any size. Leasing GPS tracking systems allows you to conserve your cash for times when you need it most.
Convenience: EasyTracGPS will not burden your company with excessive reporting requirements. Simply complete the one-page online secure business lease application and send it to us in an email and you can expect a prompt response from an EasyTracGPS sales rep.
Quick Turnaround: If your company is like most, timing is everything. Who has time to undergo a lengthy and burdensome credit approval process? Upon receipt of your credit application and equipment quotation, you can expect a response from EasyTracGPS within 24-48 hours.
100% Financing: Conserve your line(s) of credit to support your accounts receivable, inventory and other working capital needs. Leasing can provide 100% financing, allowing you to acquire the GPS tracking systems you need without a major cash outlay.
Tax Advantages: Leasing a real time GPS tracking system provides your company with substantial tax advantages you can’t achieve when you pay with cash or finance via a traditional bank loan. Don’t wait - maximize your tax benefit this year via the recently modified IRS Section 179 allowing businesses to write off up to $112,000 in leased equipment. Alternatively, write off 100% of each monthly lease payment as an operating expense throughout the entire term of the lease.
Off Balance Sheet Financing: Leasing is the perfect tool to acquire new GPS tracking systems without further leveraging your company’s balance sheet. If additional debt may jeopardize an existing bank borrowing covenant, an operating lease of a real time GPS tracking device may be the perfect solution to your next equipment acquisition.
Fixed Payment: You will not need to worry about the rising cost of money. Now is the perfect time to lock in a low monthly lease payment.
Start-Up Financing: Often times, a bank may not consider a business for financing if it has less than two full years of operations. Typically, the only lenders that will provide financing to start-up businesses are those with a niche expertise in a particular line of equipment or industry. Therefore, leasing may be your best & most competitive option for acquiring your new equipment!
Establish Credit: As your business grows, you will need to either trade up or acquire more real time GPS tracking devices to meet your increased demand. By establishing your credit, it will be easier to acquire your next piece of GPS tracking system.
Flexible Payment Options: Leasing is an extremely flexible financing tool. Unlike bank loans that only offer fixed, level payments, leasing can offer flexible payment options.
Conserve Bank Lines: If your company has been successful in establishing a borrowing relationship with a local bank, why use up the available funds on a GPS tracking purchase that is easily financed via leasing? Again, conserve your bank borrowing availability to support your company’s ongoing cash flow needs.
Benefits of Leasing: Tax Benefits
Real Time Tracking Systems...save big when you lease a tracking system: decrease your taxable income
Leasing provides your company with substantial tax advantages you can’t achieve when you pay with cash or finance via a traditional bank loan. Don’t wait - maximize your tax benefit this year via the recently modified IRS Section 179 allowing businesses to write off up to $112,000 in leased GPS tracking systems. Alternatively, write off 100% of each monthly lease payment as an operating expense throughout the entire term of the lease.
Illustration of tax savings through IRS section 179. Compare taxes paid, highlighted in blue.
For illustrative purposes, assume taxable income of $125,000 for the following examples. See your tax advisor to determine your actual tax benefit.
Example #1: 
Example #2:Example #3:
Example #2:Example #3: No leased equipment Equipment Cost: $25,000 Equipment Cost: $102,000
Equipment Cost: $25,000 Equipment Cost: $102,000Year- end Year- end Year- end
Year- end Year- endtaxable income: $125,000 taxable income:$125,000 taxable income:$125,000
$125,000 taxable income:$125,000 taxable income:$125,000 Equipment leased: 0 Equipment leased: $25,000 Equipment leased: $102,000
$25,000 Equipment leased: $102,000 AdjustedAdjusted Adjusted
Adjusted Adjusted taxable income: $125,000 taxable income:$100,000 taxable income: $23,000
taxable income:$100,000 taxable income: $23,000 Tax bracket: 39% Tax bracket: 39% Tax bracket: 39%
39% Tax bracket: 39% Tax bracket: 39% Taxes paid: $48,750 Taxes paid: $39,000 Taxes paid: $8,970
$48,750 Taxes paid: $39,000 Taxes paid: $8,970 Actual tax savings will depend on your particular circumstances. Generally, IRS section 179 tax savings only apply to leases classified as capital leases for accounting purposes. You should consult a tax advisor for advice. To take advantage of IRS section 179 in 2009, you must take possession of the real time GPS tracking system prior to fiscal year-end. All leases are subject to EasyTracGPS credit approval.
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GPS Tracking Fleet Management - Real Time GPS Tracking
