Does Leasing Farm Equipment Make Sense for My Operation?

Submitted by Koenig.Equipment on Mon, 12/28/2020 - 11:47am

Key Factors and Benefits to Consider before Leasing Farm Equipment

Are you considering leasing for your new farm equipment? Once you've evaluated the key factors, advantages and disadvantages of leasing before making your decision, the Large Ag experts at Koenig Equipment are here to help find a leasing agreement that meets the needs of your operation.


Leasing Consultant


Why Lease Farm Equipment?

When it comes to the decision of buying or leasing farm equipment, the main factor that needs to be considered is your cash flow. Leasing equipment over buying it usually results in better cash flow opportunities. As you will see below, there are multiple advantages to leasing equipment if the situation is correct, including lower upfront payments. When you lease farm equipment, you are still able to trade which can further reduce payments, add equity, or receive cash back. Do you already know that leasing farm equipment is a solution you want to explore? Find the Koenig Equipment location nearest you and contact our team today.


What are the benefits of farm equipment leasing?

While there are both advantages and disadvantages that need to be discussed with your accountant for what is best for your operation, here are some of the benefits of leasing equipment instead of buying.

  • Down payments are usually less on leases than they are on purchases
  • Lease payments are traditionally less than loan payments
  • Ideal when equipment is only needed for a short time
  • Payments on leases are classified as production expenses for taxes
  • Gives you the option to  ‘Lease to Own’

Which types of equipment can I lease for my operation?

If you have talked with your accountant and decided that leasing is the right choice for you*, Koenig Equipment is here for all your Large Ag equipment needs. At Koenig Equipment, you can lease Large Ag equipment such as:

  • Combines
  • Tractors
  • Sprayers
  • Compact Construction Equipment


How can I connect with a farm equipment leasing expert?

At Koenig Equipment, all our Large Ag Equipment team is available to help with finding a lease agreement that matches the needs of your operation. They can easily be contacted at any of our 15 convenient Koenig Equipment locations. Connect with us today, and get the equipment you need with a lease plan to support your growing business.

*Koenig Equipment is not an accounting agency. To best determine if leasing is the best for you and your operation, please visit with your personal accountant.