With optimism steadily returning to the U.S. economy, now may be the time for owners to consider expanding their operations with small business equipment leasing.
A recent survey from Deloitte found the vast majority of executives (87.8 percent) believe the U.S. economy will continue to grow in 2015.
“I typically work with companies during times of change – during crises and growth,” Deloitte Financial Advisory Services CEO David Williams said in a media release. “Whether they’re looking to emerge from a regulatory or litigation challenge or they’re poising themselves for transactions, the executives I know are optimistic and moving ahead with confidence right now. We’re seeing big growth in sales and earnings, while improvements are made in hiring, in most sectors. Things aren’t perfect, but I’m bullish on the state of the U.S. economy in 2015.”
One reason why corporate executives may be feeling more confident in the economy is the steady growth in income among Americans, which in turn is translating to increased spending. The U.S. Department of Commerce’s Bureau of Economic Analysis reported personal income rose 0.3 percent month over month during August, reaching $47.3 billion. Meanwhile, personal consumption expenditures rose 0.5 percent during the same time period, increasing to $57.5 billion.
This activity has helped households across the country take a more optimistic view of their financial situation. According to Absolute Strategy Research’s “Survey of U.S. Household Finances: August 2014,” there was a 14 percent decline in the number of people who are worried about their finances – the best result seen in the 11 studies the organization has conducted.
“Over the past 12 months, more people now feel ‘better off’ than ‘worse off’ – the first time we have seen that since the survey began, while a net 24 percent think that their financial situation will improve over the coming 12 months – the best result recorded since January 2010,” the ASR report stated.
With both high-level executives and everyday citizens feeling more optimistic about the financial future, many small business owners will likely be wondering what steps they can take to capitalize on increasing confidence.
Getting the tools you need at the right price
Expanding business operations to achieve better positioning in a stronger market is smart strategy, but obtaining the equipment necessary can be easier said than done. Buying new equipment can be an expensive process, and leave small businesses with depleted cash reserves.
This is why many small business owners take advantage of different types of equipment leasing, allowing them to get the tools they need for expansion without sacrificing the safety net of strong cash reserves. Together with the tax benefits of leasing, it’s unsurprising that many owners have made this method part of their overall business strategy.