There are other choices when it comes to obtaining cosmetic laser machines besides just renting them. It may sound like the best choice, but you should consider leasing the equipment, or even buying it. Look at each option as it pertains to your business before you decide.
Cost Analysis and Your Cosmetic Practice
Before you can even consider making a decision about how to obtain your cosmetic laser machines, you have to sit down and look at your business costs. Do you have the funds if an unanticipated expense comes up? Are you looking to purchase major equipment in the near future? How much money do you have on hand right now? All of this matters when deciding whether to invest in the short-term or the long-term.
What Effect Taxes Have on Your Options
Tax refunds make everyone happy, most especially if you are a business owner. No one wants to have to pay more at the end of the year. What does that have to do with acquiring a laser machine? Laser equipment that is leased or purchased counts as a deductible business expense on a business return.
Impact of Borrowing Money
If you are looking to purchase your machine and don't have a lot of money, a loan may sound appealing. However, it's an arduous course of action that leads to further difficulties. Any future loans you may need would likely be denied since you would already have a loan in process.
Keep Your Finances Free by Leasing
One quick way to consume most, if not all, of your Reserve cash is to purchase new laser and ipl equipment. That means nothing will be left for other major expenses, should they come up. Before making this major decision, consider what funds you will eventually require. It might be a better choice to lease if you determine that your funds might be better used elsewhere for now.
Consider Annual Tax Bonuses
Before buying, leasing, or obtaining a loan for aesthetic laser machines, your business needs to check into tax incentives. These codes vary each year, including section 179 which specifically pertains to business expenses. Congress determines how high the deduction limits are for your equipment, so you will need to take advantage when you can.
You may take a maximum deduction of $500,000 on your laser machine, depending on the tax code that year. The higher the expense deduction allowed, the lower the income you can be taxed on. Your accountant is the one to talk to about the tax codes and whether this year is the best time for you to purchase laser equipment or not. Weigh each option carefully before you decide, so you can achieve your business needs and goals.