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There are no good deals in financing. Paying with cash IS the best deal.
 

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John Deere/Great Dane have 0% for 24 mos. Also, they have one where you only pay 1% of the total financed the first year, so a $7,000 mower would only be about $70.00 a month. The second year it goes to 3%. I think it's a 9.9 apr. Pretty sweet deal if you're worried about overhead vs. income for the first couple of years.
 

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Originally posted by Tx Firefighter
Zero percent financing is better than paying cash.
I agree....100%...How could anyone think anything else...I have no idea!!
 

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I don't think that's true for everybody. If you're in your first 5 years of business you get your biggest tax breaks. Not only can you write off a percentage of the purchase price of the mower, but you can also write off depreciation. The best way to find out what would benifit you the most is to talk with a good CPA. Then make your decision of whether or not to finance. Another point to remember is that a lot of finance companies won't give you credit if you haven't filed taxes for a minimum of 2 years. That disqualifies you automatically if it's your first or second year as a business owner.
 

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Just an opinion and a lifestyle, I will not have payments ever again.
Read your contract word for word and note what you are actually paying for on the bottom line. Also hope that during the time frame of payments that nothing reduces or eliminates your income. I will also bet that you can get at least 10% or more off your purchase if you pay cash.

Do what you want but it's not for me.
The borrower is slaved to the lender.
 

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Try to find Advantage Finance they approve almost anyone you can have a credit score in the high 500's and get approve. if you have over a 600 you will proably get 8.9 for 48 months. Just bought a Husqvarna 48 inch 18 hp kaw and love it cut grass yesterday that was a foot tall down to 4 iches easy.
 

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The point is, say a new Z costs 7 thousand. Put your 7 thou in the bank and send the finance company a payment out of it every month for 3 years or whatever. You're not paying any interest, so whats left of your 7k sitting in the bank is earning some interest instead of paying for the machine up front.
 

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Is it hard to get approved for financing when your company is fairly new and very small?

I'm going on my 3rd season now, but the first two I didn't even show a profit since I had spent a lot on equipment.

Do they only consider your credit from the inception of the business, or is your past credit (when I had a 'regular' job) taken into consideration still???

Just kinda curious how it works.
 

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Tx Firefighter,

The only way what you are saying would be true is on 0% to maybe 3% interest loans. The average interest on a mower loan is probably 9%? If you are getting that on a savings account, well then I need to switch to your bank....
 

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Originally posted by gogetter
Do they only consider your credit from the inception of the business, or is your past credit (when I had a 'regular' job) taken into consideration still???
pay cash and you won't have to worry about credit.

if 7k is all you got you better put it in a growth stock mutual fund that earns 10-12%. and if its not all you've got, pay for it and be done with it. 3% at a bank? playing games for 3%?m
Whatever.
 

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Envy, my quote was that zero percent is better than paying cash. That's what I was referencing too. Any note that requires paying intrest, I have no use for. That's why I buy my stuff out right.

But, if my money can sit in the bank and earn even a little intrest instead of putting it in someone else's pocket right up front, I'm going to do it rather than paying it all out up front. This is obviuosly only true of 0% loans.
 

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Originally posted by bugspit
pay cash and you won't have to worry about credit.
Listen bugspit, you're not answering anybodies question here. You didn't answer the original posters, and you didn't answer mine.

Neither of us asked "what is better, cash or financing?", so your OPINION isn't helping. Thanks anyway.

Now, anyone have any input for my question?
 

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billyebrown,

Just check the "finance" section of each MFG's website and keep an eye on local paper ads and such. What are you looking for? Low interest long term? Short term same as cash? Short term low interest/payments? I've been thinking for a long time that we should have a 'sticky' thread for current finance offers and promotions. That might help get the ball rolling a little more for more competetion in that area.

Tx Firefighter,
Yeah that 0% stuff is tempting. The shorter the terms, the better too. A lot can happen over the long haul. If you are going to go in debt, that's what I refer to as smart debt, if there is such a thing. You just have to make sure you read and get a clear picture on all the fine print. Plus you need to be 100% sure you have the debt covered already as well.

Lat year Kubota was running 0% for 36 months. Boy was I ever so tempted to run out and get a ZD28 w/60" Pro Deck. But I managed to resist somehow. I'm glad I did. But at the same time I regret it to an extent too. Great deal.....
 
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