National Funding Releases White Paper on When to Repair or Replace Equipment

National Funding today released its white paper “Small Business Equipment: When Is It Time to Repair or Replace?” Readers take away valuable information on evaluating their equipment, the Section 179 tax deduction and 50 percent bonus depreciation tax break.

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National Funding White Paper

With two key tax codes, Section 179 deduction and the 50 percent bonus depreciation tax break, facing uncertain futures after 2013, small-business owners need information to make educated decisions.

“If you are faced with the reality of needing to buy new equipment, but don’t have the means to do so, that’s where our equipment financing and leasing options come into play," said CEO David Gilbert.

San Diego, CA (PRWEB) December 05, 2013

National Funding, a small business financial services company, today released its white paper titled “Small Business Equipment: When Is It Time to Repair or Replace?” As year-end tax planning is kicking into high gear, small business owners need to understand their options regarding repairing or replacing equipment. With two key tax codes, the Section 179 deduction and the 50 percent bonus depreciation tax break, facing uncertain futures after 2013, small-business owners need information to make educated equipment decisions.

The latest National Funding white paper addresses the subject of the longevity of usefulness and revenue creation criteria of small business equipment. Equipment repair and upgrades can be a hard subject to tackle for owners unfamiliar with the nuts and bolts of upkeep. In this white paper, owners will find a quick diagnostic to run in order to see if they need to continue repairs, or seek outside financing to purchase or lease new equipment. Depending on the type of equipment a business needs, financing or leasing equipment may make more sense than purchasing outright.

In the white paper, owners find equipment longevity resources to reference how long their equipment might last. It’s important for small-business owners not to rely on past experience or guesstimate equipment life cycles. Once a downward trend starts to emerge and more money is going into machine upkeep than money coming out from production, it might be time to search for a suitable replacement.

When owners do decide to go the replacement route, they are afforded numerous opportunities through the tax code to save money on new equipment purchases. The most notable is the Section 179 tax deduction for equipment. Current parameters allow for small-business owners to write off $500,000 for total equipment purchases exceeding no more than $2,000,000. Equipment must also be put into service in the tax year during which owners wish to write off money, for instance, between January 1, 2013 and December 31, 2013.

The political circumstances around the Section 179 deduction may also be a deciding factor in the debate to repair or replace equipment. The fiscal cliff deal extended the Section 179 limit to $500,000 in total write-offs through 2013 -- it came dangerously close to dropping to $25,000. With more uncertainty on the horizon for 2014, purchasing equipment and putting it into service during 2013 may be a major incentive to small-business owners.

“Our new white paper is meant to serve as a resource to help small business owners evaluate their equipment status -- should it stay or should it go – repair or replace,” said National Funding CEO David Gilbert. “If you are faced with the reality of needing to buy new equipment, but don’t have the means to do so, that’s where our equipment financing and leasing options come into play – all meeting the key requirements for equipment purchasing-related tax deductions.”

Download the free National Funding white paper “Small Business Equipment: When Is It Time to Repair or Replace?” by clicking on the link or by going to http://www.nationalfunding.com/white-papers/.

For more information about financing and leasing equipment, visit http://www.nationalfunding.com.

About National Funding
San Diego-based National Funding is a full service financial services company for small to medium-sized businesses nationwide. It provides working capital loans, equipment leases, merchant cash advances and credit card processing. National Funding serves a wide diversity of businesses including, but not limited to: trucking, restaurants, automotive repair, construction, excavation, multimedia, manufacturing, telecommunications, printing, packaging, waste management, and more. National Funding was recently recognized as a 2013 Inc. 500 | 5000 company as well as one of San Diego’s 2013 Fastest Growing Companies. For more information, visit the company's website http://www.nationalfunding.com.