Explain the factors which affect lease or buy decision
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Hello..
- Cash flow: A business can conserve its cash flow by leasing. Under a lease, the initial cash expense for the facility will be a month's rent and a security deposit.
- Credit rating: The company has not established a credit rating sufficient to support a mortgage.
- Maintenance: The landlord is responsible for maintaining the property.
- Property: You have been unable to find a suitable property that is for sale.
- Real estate values: The facility you've found meets the needs of the business but is located in an area where property values are declining.
- Mobility: You're not sure that the facility will meet the future needs of the business.
- Tax Savings: Rent is deductible as a business expense.
hope it helps..
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Answer:
Hii !!
a business conserve it's cash flow by leasing under a lease the initial cash expenses for facility will be a month rent and a security deposit..... tax saving... etc.
Explanation:
hope it's help u
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