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START UP
LEASING
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Time
in Business: 0-2 years
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Bank
Reference: Business checking account is required
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Business
Documentation: Business License, and/or Secretary of State
documentation is required
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Personal
Credit: Two most recent personal tax returns, and personal
financial statement for all owners with over 20% equity.
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Personal
Documentation: Two most recent personal tax returns, and
personal financial statement for all owners with over 20%
equity.
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Lease
Terms: Lease terms will range from 24-60 months with $1.00,
FMV or 10% buyout options available
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Transaction
Size: Between $5,000 & $100,000
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For
the VC-backed, and Startup Company, there are many benefits
venture leasing offers:
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The
equipment leased in the primary collateral for the lease.
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The
company can use the proceeds from equity offerings for other
important investments such as marketing, R&D, and other
company activities.
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Venture
leasing provides an alternative to traditional banking, and
funding sources that may not consider your company qualified.
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Venture
leasing offers an alternative to raising capital through an
equity offering, which dilutes ownership, and may bring on
penalties included in the original vc agreement.
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