This study provides evidence about the small firm lease/purchase decision, using survey data collected by the National Federation of Independent Business. The study describes the characteristics of small firms that prefer to lease equipment, identifies the primary reasons these firms lease equipment, and lists reasons why other small firms typically purchase equipment. The study results offer a profile of small firms most likely to lease equipment and also identifies two challenges facing the leasing industry in the small business sector.

Leasing Decisions of Small Firms study was conducted by Morris G. Danielson, Ph.D., St. Joseph’s University and Jonathan A. Scott, Ph.D., Temple University