Cash Reimbursement
At the end of a fiscal quarter, and especially at the end of a fiscal year, utilizing a cash reimbursement with First American can help your firm:
- Maximize Partner Distributions
- Avoid Bank Covenant Violations
- Improve Liquidity Ratios
- Consolidate Capital Acquisitions Onto One Lease
How Does It Work?
In a cash reimbursement, also known as an equipment sale-and-leaseback, you sell your equipment to a lessor, and the lessor reimburses the firm 100% of the original purchase price of your equipment. You continue the use of your equipment and use the cash for:
- Growth Initiatives
- Strategic Projects
- Debt Reduction
- Strengthened Cash Position
Additionally, with an equipment sale-and-leaseback, today's partners are not paying for the entire cost of equipment used by future partners.
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