We conducted an extensive survey and found that many business owners just aren’t aware of Section 179 and its many benefits
Irvine, California (PRWEB) September 11, 2013
An online survey conducted by Balboa Capital, a top provider of small business loans and equipment leasing in the United States, revealed that many small business owners are not familiar with the Section 179 Tax Deduction, which allows companies to write off up to $500,000 worth of qualifying equipment that is purchased or financed during the 2013 tax year. The online survey was sent to approximately 300,000 small business owners and 20,000 equipment dealers nationwide.
“With just a few months left to take advantage of the current Section 179 Tax Deduction limit, we wanted to gauge how much small business owners and equipment dealers know about this special IRS tax provision,” said David Chiurazzi, Chief Financial Officer at Balboa Capital. “We conducted an extensive survey and found that many business owners just aren’t aware of Section 179 and its many benefits. So, we took it upon ourselves to get the word out to America’s small-business community with a targeted email campaign, additional website content, and an all-new Section 179 video.”
Key findings in Balboa Capital’s survey of small business owners:
- 45% are not familiar with Section 179
- 47% have elected to take the Section 179 Tax Deduction in years past
- 54% plan to use the Section 179 Tax Deduction in 2013
- 45% will invest in up to $50,000 worth of capital equipment in 2013
- 28% will finance equipment in 2013, 17% will apply for a bank loan
In its survey of equipment dealers, Balboa Capital found the following:
- 28% are very familiar with Section 179
- 53% say their customers have elected to take the Section 179 Tax Deduction in years past
- 62% use the Section 179 Tax Deduction to help close sales
- 88% make their customers aware of the Section 179 Tax Deduction
- 31% will sell between $1,000,000 and $5,000,000 worth of equipment in 2013
The current Section 179 deduction limit of $500,000 is expected to decrease to $25,000 on January 1, 2014. Additionally, the current first-year bonus depreciation, which applies to new capital equipment, is 50% from now through the end of the year. “Currently, there is no indication that Congress will extend the 2013 Section 179 deduction limits, so now is the perfect time to invest in capital equipment,” said Dave Chiurazzi. You can view the results of Balboa Capital’s online survey in this Section 179 infographic.
About Balboa Capital
Balboa Capital is one of the largest privately-held independent finance companies in the United States delivering access to capital, speed of processing, dependable funding, state-of-the-art technology and innovative marketing tools that small and medium-sized customers require to fuel their growth and success. Celebrating 25 years in business in 2013, Balboa Capital markets its products through their small ticket, middle market and vendor sales channels. The company’s assortment of financing products includes equipment leasing, commercial financing, small business loans, equipment vendor financing, and franchise financing. For more information, and to hear Balboa Capital reviews from actual customers, visit http://www.balboacapital.com.