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4 Smart Year-End Strategies To Kickstart 2021

4 Smart Year-End Strategies To Kickstart 2021

12/3/2020

 

We understand. Everyone’s ready to close the book—literally and figuratively--on 2020. So many unexpected challenges. So many unanticipated decisions. While it was a difficult year, some economists believe that “the worst of the economic downturn is behind us” and optimism is high that the economy will show a gradual recovery in 2021. 

One positive takeaway from the past year was the realization that trusted business partnerships often hold the key to profitable new opportunities. With that in mind, we encourage you to look at your company’s leasing and financing strategies with a fresh eye. As you map out your goals, intentions, and resolutions for the coming year, here are some of our best ideas on how to get ready for Day One of ’21:

 

1) Diversify Your Funding Sources

Are you open to thinking about new ways to manage your equipment financing? Would you be if you knew how much it could improve your company’s overall financial outlook? First American knows where to find these opportunities. Building on our reputation for honesty, innovation, and adaptability allows us to find and offer equipment financing options that include more available resources and smarter allocation, both of which are essential when it comes to critical purchases. Our equipment financing opportunities: 

  • Reduce Risk – Gaining access to diverse, low-rate funds means higher stability and lower uncertainty for your business.

  • Preserve Cash – Funding diversity helps maintain liquidity for fluctuating market conditions or unanticipated expenses, which allows you to utilize your cash for current operating expenses.


2) Strengthen Your Balance Sheet Through Cash Reimbursements

Both the market and your company’s priorities experienced unprecedented shifts in 2020. Now is the time to evaluate your current debt positions as well as purchases made in the last 12-18 months. Are you satisfied with what you see?  Are there areas where you might have done better?  Are your purchases required to continue growing?
 
Depending on your answer, consider a cash reimbursement through a Sale Leaseback. Leasebacks offer instant flexibility, liquidity, and stability during unpredictable budget cycles and customized end-of-lease options. You can improve your cash position, maximize your distributions, pay down debt, or put investments back into the business – endless possibilities, endless advantages!

 

3) Get Equipment Lines of Credit without Bank Fees 

Planning for growth while grappling with high levels of uncertainty sounds stressful—but it doesn’t need to be. An Equipment Line of Credit from First American gives you the flexibility to spend some or all of the line without the under- or non-utilization fees common to banks.
 
Equipment Lines provide ultimate stability to prepare for upcoming equipment and software acquisitions or long-term capital projects while guarding against market fluctuation.
 

What can go on an Equipment Line?
  • Equipment (IT, Machinery, Furniture)

  • Software and Related Services

  • Leasehold Improvements

  • Internal Capital Expenditures


4) Self-Designed Payments Tailored to Your Company’s Needs and Objectives

Uneven revenue flow or budget availability can impact your ability to service a traditional payment. First American understands that. Which is why we offer a non-level payment schedule that aligns completely with your objectives. Is there an upcoming project that can enhance results? Seasonality? Is there a capital investment that could take several years to ramp up? Custom-tailored payments, much like deferred or step payments, can be built around your needs.
 
We’re all ready to turn the page on 2020 and get back to business in 2021. Let First American help you make it your best year ever.
 

Fill out the form below to learn more about how First American can customize a financing solution for your business.

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