Financing

• We offer leasing and financing on machine tools and industrial equipment. This financing allows you to acquire the equipment you need to expand your business without tapping into your bank lines of credit or your cash reserves. Programs are available for those with good credit, marginal credit, and even new business start-ups.
  
  Some of the asset-based services provided include:
  - Quick Credit
  - Lines of Credit
  - Term Loans and Leases
  - Equipment Obsolescence Protection
  - Inclusion of “Soft Costs”
  - Tax Advantages
  - Co-Terminous Addenda (CTA) Allowances
  - Terms from 12 months to 60 months

Tax News for Manufacturing

Section 179
Section 179 of the Internal Revenue code allows for a 2007 business expense of $112,000 for capital expenditures (including new and used machine tools) up to an overall investment limit of $450,000. To capture this deduction this calendar year, your equipment must be placed in service before December 31, 2007.

There’s one negative aspect to Section 179, which you should be aware of. Every capital dollar spent above $450,000 will reduce your Section 179 deduction by $1.00. For example, if you spend $470,000 on capital equipment this year, your deduction would be reduced by $20,000 ($470,000 - $450,000), and therefore, would limit your overall deduction to $92,000 ($112,000 - $20,000).

If this opportunity makes sense to you, we recommend that you contact your accountant as soon as possible so he can evaluate your situation.

Trade-In
A Trade-In Program can help you realize 100% of the value of your surplus machine by trading it in to A&M. If you sell it outright and collect the funds you are responsible for paying a 20% capital gains tax to the US Government. If you utilize our Trade-In Program we sell your surplus and you direct us as to where to apply the funds. If you purchase another new or used machine and pay for it with all or part of these funds they are TAX FREE. We urge you to discuss this with your accountant.