Should You Finance or Lease

Equipment Financing Agreements (EFA)

An Equipment Financing Agreement (EFA) can be a cost efficient way to secure equipment. With the Section 179 Tax Deduction, equipment is 100% deductible in the year it is put into use. Those tax savings can have a big impact on your bottom line and may even cover the first year’s payments.* In addition to the tax savings, you will own the equipment at the end of the payment period. Unlike a lease, there is no residual payment at the end of the term.


A lease is similar to paying rent. Since you are not required to keep the equipment at the end of the term you have the opportunity to return any equipment that may be obsolete in order to secure something newer. If you choose to keep the equipment, you will make a balloon payment at the end of the term.

Your business needs will determine if an EFA or lease is the better option. Review financing options with your Harlan Health Products representative to determine which is right for you. This information was provided as a service to our customers by Kara Bundy from Banleaco, long time financing partner of Harlan Health Products, Inc.  Contact Harlan Health Products for special financing programs provided by Banleaco exclusively for our customers.

*For additional information please consult your tax advisor.

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