Choosing between equipment financing and leasing is one of the most important financial decisions for medical spa owners. Whether you’re purchasing a $70,000 laser hair removal system, a $150,000 CoolSculpting unit, or outfitting an entire practice with aesthetic equipment, understanding the true costs and benefits of financing versus leasing can save you tens of thousands of dollars over the equipment’s lifetime.

This comprehensive guide breaks down everything you need to know about equipment financing and leasing for medspas, including:

• Clear definitions and how each option works
• Side-by-side cost comparisons with real numbers
• Interactive calculator to compare your specific situation
• Pros and cons of each approach
• Real-world scenarios from actual med spa owners
• Tax implications and financial considerations
• When to finance, when to lease, and when to pay cash
• Common mistakes to avoid

By the end of this guide, you’ll have a clear framework for making the best equipment acquisition decision for your medical spa.

Table of Contents

1. Equipment Financing vs Leasing: Key Definitions
2. How Equipment Financing Works
3. How Equipment Leasing Works
4. Side-by-Side Comparison Table
5. Interactive Cost Calculator
6. Pros and Cons Analysis
7. Real Med Spa Scenarios
8. Tax Implications
9. When to Finance vs Lease
10. Common Mistakes to Avoid
11. FAQ

<a name=”definitions”></a>

Equipment Financing vs Leasing: Key Definitions

What is Equipment Financing?

Equipment financing is a loan used to purchase medical spa equipment. You borrow money to buy the equipment, make monthly payments with interest, and own the equipment once the loan is paid off. The equipment itself typically serves as collateral for the loan.

Key characteristics:

• You own the equipment from day one
• Equipment serves as loan collateral
• Monthly payments include principal + interest
• Asset appears on your balance sheet
• You’re responsible for maintenance and obsolescence risk
• Can claim depreciation tax deductions

Example: You finance a $50,000 IPL system at 9% APR over 5 years. Your monthly payment is $1,038. After 60 payments totaling $62,280, you own the equipment outright.

What is Equipment Leasing?

Equipment leasing is essentially renting equipment for a specified period. You make monthly payments for the right to use the equipment but don’t own it unless you exercise a purchase option at lease end. The leasing company owns the equipment.

Key characteristics:

• Leasing company owns the equipment
• You pay for the right to use it
• Lower monthly payments than financing
• May have purchase option at lease end
• Leasing company responsible for obsolescence risk
• Can deduct full lease payment as business expense

Example: You lease the same $50,000 IPL system for 5 years at $850/month. After 60 payments totaling $51,000, you can either: purchase it for fair market value (typically $5,000-$10,000), lease new equipment, or return it.

The Fundamental Difference

Financing = Buying with borrowed money
Leasing = Renting with option to buy later

This core distinction drives every other difference between the two approaches.

<a name=”financing-works”></a>

How Equipment Financing Works for Medspas

The Equipment Financing Process

Step 1: Choose Your Equipment

• Research and select the specific equipment you need
• Get quotes from authorized dealers or manufacturers
• Confirm warranty, training, and service agreements

Step 2: Apply for Financing

• Submit application to equipment financing lender
• Provide business and personal financial information
• Typical documentation: credit report, bank statements, business plan
• Credit score requirements: typically 650-720+ depending on amount

Step 3: Approval and Terms

• Lender reviews and approves your application
• You receive terms: loan amount, interest rate, term length, payment schedule
• Interest rates typically range: 7-14% APR depending on creditworthiness
• Terms typically: 3-7 years (36-84 months)

Step 4: Equipment Purchase

• Lender pays equipment supplier directly
• You take possession of equipment
• Equipment becomes collateral for the loan
• Lien is placed on equipment until paid off

Step 5: Repayment

• Make monthly payments (principal + interest)
• Payments are fixed for the loan term
• Can typically prepay without penalty
• Once paid off, you own equipment free and clear

Equipment Financing Structure

Typical Terms for Med Spa Equipment:

Collateral and Security

Equipment as Collateral:

• The equipment you’re purchasing serves as primary collateral
• Lender places a lien on the equipment
• If you default, lender can repossess the equipment
• Reduces lender risk, which can mean better rates

Additional Security (sometimes required):

• Personal guarantee from business owner(s)
• Business assets as secondary collateral
• First right to insurance proceeds if equipment damaged

Down Payment Requirements

Typical down payments for med spa equipment financing:

• 0-10% for excellent credit (720+): Many lenders offer 100% financing
• 10-15% for good credit (680-719): $5,000-$10,000 on $50,000 equipment
• 15-20% for fair credit (650-679): $7,500-$10,000 on $50,000 equipment
• 20%+ for challenged credit (under 650): Higher down payment improves approval odds

<a name=”leasing-works”></a>

How Equipment Leasing Works for Medspas

The Equipment Leasing Process

Step 1: Choose Your Equipment

• Same as financing: select specific equipment
• Work with leasing company-approved vendors
• Leasing companies often have relationships with major manufacturers

Step 2: Apply for Lease

• Submit lease application
• Generally easier approval than financing
• Credit requirements often more flexible (down to 600)
• Less extensive documentation required

Step 3: Lease Agreement

• Review lease terms carefully
• Understand purchase options at lease end
• Note any restrictions (usage limits, modification prohibitions)
• Typical lease term: 3-5 years

Step 4: Lease Types

Capital Lease (Finance Lease):

• Acts more like financing
• Purchase option at end for nominal amount ($1-$100)
• You’re likely to own equipment at end
• Equipment may appear on your balance sheet
• Depreciation benefits possible

Operating Lease (True Lease):

• Acts like pure rental
• Purchase option at “fair market value” at end
• More flexibility to upgrade or return
• Equipment stays off your balance sheet
• Full lease payment is business expense

Step 5: Equipment Use

• Leasing company purchases equipment
• You take possession and use it
• Make monthly lease payments
• Leasing company retains ownership

Step 6: End of Lease Options

You typically have three choices:

Option 1: Purchase Equipment

• Pay fair market value (operating lease) or nominal fee (capital lease)
• Fair market value typically 10-20% of original cost
• You then own equipment outright

Option 2: Lease New Equipment

• Return old equipment
• Lease newest model
• Continue monthly payments
• Always have latest technology

Option 3: Return Equipment

• Walk away with no further obligation
• No residual value concerns
• Equipment becomes leasing company’s problem

Lease Payment Structure

Lease payments are typically 15-30% lower than financing payments because:

• You’re not paying for full equipment value
• Leasing company expects residual value at lease end
• You’re essentially paying for depreciation + profit margin

Example Lease Payment Calculation:

$50,000 IPL Laser System – 5 Year Operating Lease

• Equipment Cost: $50,000
• Estimated residual value (20%): $10,000
• Amount financed through lease: $40,000
• Lease rate factor: 0.021
• Monthly payment: $50,000 × 0.021 = $1,050/month

Compare to financing the same $50,000 at 9% over 5 years: $1,038/month

Note: In this example, payments are similar, but at lease end you still need to pay $10,000 to own it or walk away.

Lease Rate Factors Explained

Leasing uses “money factors” or “lease rate factors” instead of interest rates.

To convert money factor to interest rate: Money Factor × 2,400 = Approximate APR

Example: Money factor of 0.00375 0.00375 × 2,400 = 9% APR equivalent

Common lease rate factors for med spa equipment:

• Excellent credit: 0.00250 – 0.00350 (6-8.4% APR equivalent)
• Good credit: 0.00350 – 0.00450 (8.4-10.8% APR equivalent)
• Fair credit: 0.00450 – 0.00625 (10.8-15% APR equivalent)

<a name=”comparison-table”></a>

Equipment Financing vs Leasing: Side-by-Side Comparison

Complete Comparison Table

Real Numbers Comparison

Let’s compare financing vs leasing a $75,000 Laser Hair Removal System over 5 years:

Equipment Financing Scenario

• Equipment cost: $75,000
• Down payment (10%): $7,500
• Amount financed: $67,500
• Interest rate: 9% APR
• Term: 60 months
• Monthly payment: $1,401
• Total payments: $84,060
• Total cost: $91,560 (including down payment)
• You own it after 60 months

Equipment Leasing Scenario

• Equipment cost: $75,000
• First month + security deposit: $3,000
• Lease rate factor: 0.00375 (9% equivalent)
• Term: 60 months
• Monthly payment: $1,181
• Total payments: $70,860
• Purchase option at end (20% FMV): $15,000
• Total cost if purchasing: $88,860
• OR return equipment, total cost: $73,860

Analysis

If you plan to keep equipment:

• Financing: $91,560 total
• Leasing then purchasing: $88,860 total
• Leasing saves: $2,700 (but less predictable with FMV variability)

If you plan to upgrade after 5 years:

• Financing: $91,560 (but you own equipment worth $15,000+, net cost ~$76,560)
• Leasing and returning: $73,860
• Leasing saves: $2,700 (plus no hassle of reselling)

Monthly cash flow:

• Financing: $1,401/month
• Leasing: $1,181/month
• Leasing saves: $220/month (15.7% lower payment)

<a name=”calculator”></a>

Interactive Equipment Financing vs Leasing Calculator

How to Use This Calculator

Enter your equipment details below to see a personalized comparison of financing versus leasing costs.

=== EQUIPMENT FINANCING VS LEASING CALCULATOR ===
EQUIPMENT DETAILS
Equipment Cost: $__________ 
Equipment Type: [Dropdown: Laser/IPL, Body Contouring, RF Microneedling, Hydrafacial, Other]
Expected Useful Life: ____ years
FINANCING OPTION
Down Payment: __% (or $____)
Interest Rate: __% APR
Loan Term: __ years
LEASING OPTION  
Lease Rate Factor: 0.00___ (or equivalent APR: __%)
Lease Term: __ years
Estimated Residual Value: __% (typically 10-20%)
First Month + Security: $____
CALCULATE BUTTON
=== RESULTS ===
EQUIPMENT FINANCING
- Down Payment: $____
- Amount Financed: $____
- Monthly Payment: $____
- Total Payments: $____
- Total Cost: $____
- You Own Equipment: YES
EQUIPMENT LEASING  
- Initial Cost: $____
- Monthly Payment: $____
- Total Lease Payments: $____
- Purchase Price (if buying at end): $____
- Total Cost if Purchasing: $____
- Total Cost if Returning: $____
COMPARISON
Monthly Payment Difference: $____ (Leasing is __% lower)
Total Cost Difference (if keeping): $____ (Financing/Leasing is cheaper)
Break-Even Point: After __ months, financing becomes cheaper
Cash Flow Advantage: Leasing preserves $____ more working capital
RECOMMENDATION
Based on your inputs: [Financing/Leasing] is recommended because ________

Manual Calculation Formulas

For Equipment Financing Monthly Payment:

M = P × [r(1+r)^n] / [(1+r)^n - 1]
Where:
M = Monthly payment
P = Principal (loan amount after down payment)
r = Monthly interest rate (annual rate ÷ 12)
n = Number of months
Example:
$50,000 at 9% for 60 months
r = 0.09 ÷ 12 = 0.0075
M = 50,000 × [0.0075(1.0075)^60] / [(1.0075)^60 - 1]
M = $1,038

For Equipment Leasing Monthly Payment:

M = Equipment Cost × Lease Rate Factor
Example:
$50,000 at 0.00375 factor
M = $50,000 × 0.00375 = $1,875/month
(Note: Actual lease calculations are more complex and include residual value)

Quick Reference: Monthly Payment Estimator

Based on 9% APR / 0.00375 Lease Factor | 5-Year Terms

Note: Actual payments vary based on credit, down payment, and specific terms

<a name=”pros-cons”></a>

Equipment Financing vs Leasing: Pros and Cons

Equipment Financing: Pros

✅ Lower Total Cost Long-Term

• If you keep equipment 5+ years, financing is almost always cheaper
• No residual payment at end of term
• No ongoing payments once paid off

✅ You Own the Asset

• Equipment is yours from day one
• Builds business equity
• Can sell or trade equipment if needed
• Flexibility to modify or customize

✅ Tax Benefits

• Depreciation deductions (Section 179 or bonus depreciation)
• Can deduct up to $1,160,000 immediately under Section 179 (2026 limit)
• Interest portion of payment is deductible
• Potential tax credit for certain equipment

✅ Predictable Costs

• Fixed monthly payment
• No surprise costs at end of term
• Total cost known upfront

✅ Build Business Credit

• Reporting to business credit bureaus
• Improves creditworthiness for future financing

✅ Resale Value is Yours

• Keep proceeds if you sell equipment
• Used medical equipment holds value reasonably well
• Can offset next equipment purchase

✅ No Usage Restrictions

• Use equipment as much as needed
• No penalties for heavy use
• No restrictions on modifications

Equipment Financing: Cons

❌ Higher Monthly Payments

• Typically 15-30% higher than leasing
• Impacts monthly cash flow
• Requires more revenue to cover payments

❌ Obsolescence Risk is Yours

• Stuck with equipment if it becomes outdated
• Technology changes may reduce value
• Can’t easily upgrade to newer models

❌ Larger Down Payment Usually Required

• 10-20% down typical (though 0% is possible)
• Ties up $5,000-$40,000+ in capital
• Reduces funds available for marketing/operations

❌ Maintenance Responsibility

• You pay for all repairs and servicing
• No coverage after manufacturer warranty expires
• Unexpected repair costs can be substantial

❌ Loan Approval More Difficult

• Higher credit score requirements (650-720+)
• More documentation required
• Stricter underwriting standards

❌ Balance Sheet Impact

• Loan appears as liability
• Can affect debt-to-equity ratio
• May impact ability to secure additional financing

❌ Less Flexibility

• Can’t easily upgrade to new equipment
• Must sell old equipment if upgrading
• Committed to equipment for loan term

Equipment Leasing: Pros

✅ Lower Monthly Payments

• 15-30% lower than financing payments
• Preserves working capital
• Easier to manage cash flow

✅ Easier Approval

• More flexible credit requirements (600+ often OK)
• Less documentation needed
• Faster approval process

✅ Minimal or Zero Down Payment

• First + last month payment typical
• Preserves capital for business operations
• Can lease multiple equipment pieces without large cash outlay

✅ Easy Equipment Upgrades

• Return old equipment at lease end
• Lease newest technology
• Stay competitive with latest equipment

✅ Obsolescence Protection

• Leasing company bears risk of outdated equipment
• You can walk away at lease end
• No worry about resale value decline

✅ Off Balance Sheet (for operating leases)

• Doesn’t appear as debt on balance sheet
• Improves financial ratios
• May make it easier to secure other financing

✅ Tax Advantages

• Full lease payment is deductible business expense
• Simpler tax treatment than depreciation
• Predictable annual deduction

✅ Maintenance Often Included

• Many leases include service and repairs
• Predictable costs
• No surprise repair bills

✅ Try Before Committing Long-Term

• Test equipment in your practice
• Ensure it meets your needs
• Less commitment than purchasing

Equipment Leasing: Cons

❌ Higher Total Cost if Keeping Equipment

• Paying for convenience and flexibility
• Residual payment at end adds significant cost
• Can be 20-40% more expensive than financing over equipment life

❌ No Ownership (unless you purchase at end)

• Building zero equity
• Nothing to show for payments if returning
• Leasing company keeps equipment appreciation

❌ Locked Into Lease Term

• Early termination fees are substantial
• Can’t simply stop paying if business struggles
• Often responsible for remaining payments

❌ Fair Market Value Uncertainty

• Purchase price at end can vary
• Leasing company determines FMV
• May be higher than expected

❌ Restrictions and Limitations

• Usage limits may apply
• Can’t modify equipment
• Geographic restrictions possible
• Must maintain insurance requirements

❌ No Depreciation Benefits

• Can’t take Section 179 deduction
• Miss out on accelerated depreciation
• Less valuable tax treatment for profitable businesses

❌ Personal Guarantee Usually Required

• Still on the hook if business fails
• Not completely risk-free
• Credit risk remains

<a name=”scenarios”></a>

Real Med Spa Scenarios: Finance vs Lease Decisions

Scenario 1: New Med Spa Startup – Limited Capital

The Situation: Jennifer is opening her first med spa in Orange County, California. She has $75,000 in savings and needs to stretch her capital as far as possible. She needs an IPL laser ($50,000), Hydrafacial system ($28,000), and RF microneedling device ($35,000).

Total Equipment Cost: $113,000

Option 1: Finance Everything

• Down payment needed (15%): $16,950
• Monthly payments (5 years, 9%): ~$2,175
• Remaining capital: $58,050
• Owns all equipment after 5 years

Option 2: Lease Everything

• Upfront cost (first + last + security): ~$8,500
• Monthly payments: ~$1,700
• Remaining capital: $66,500
• Can purchase, upgrade, or return after 5 years

Jennifer’s Decision: Lease

Why Leasing Made Sense:

• Capital Preservation: Leasing left her with $8,450 more capital for marketing, working capital, and unexpected costs
• Lower Payments: $475/month lower payments eased cash flow pressure during critical first year
• Flexibility: As a first-time owner, she wasn’t sure which equipment would be most popular; leasing allowed her to reassess after 5 years
• Upgrade Path: Technology changes rapidly in aesthetics; she wanted ability to upgrade to newer models

5-Year Outcome: Jennifer’s med spa succeeded. After 5 years, she returned the IPL (outdated), purchased the Hydrafacial at residual value ($4,000), and leased the newest RF microneedling device. The flexibility proved valuable when newer technologies emerged.

Total Cost Analysis:

• If she had financed: $130,530 (paid off all equipment, owned everything)
• By leasing: $102,000 in lease payments + $4,000 purchase = $106,000 (owned one device, had newer equipment)
• Effective savings: $24,530 plus she had latest technology

Scenario 2: Established Med Spa – Expanding Services

The Situation: Dr. Martinez has run a successful med spa in Los Angeles for 3 years. He’s generating $800,000 annual revenue and wants to add body contouring. He’s considering a $180,000 CoolSculpting system. He has strong cash flow and excellent credit (750).

Equipment Cost: $180,000

Option 1: Pay Cash

• Uses business savings
• No monthly payments
• No interest costs
• Immediate ownership

Option 2: Finance

• Down payment (10%): $18,000
• Amount financed: $162,000
• Monthly payment (7 years, 8%): $2,615
• Total cost: $237,660
• Owns equipment after 7 years

Option 3: Lease

• Upfront cost: $12,000
• Monthly payment: $2,300
• Total cost: $150,000 lease + $30,000 buyout = $180,000
• Can return, buy, or re-lease after 5 years

Dr. Martinez’s Decision: Finance

Why Financing Made Sense:

• Cash Flow Strength: His established practice could easily handle $2,615/month
• Long-Term Investment: He plans to offer body contouring for 10+ years; ownership makes sense
• Tax Strategy: Section 179 immediate expensing of $180,000 provided huge tax benefit in profitable year
• Equity Building: Wanted to build business assets
• Low Interest Rate: His excellent credit secured 8% rate, making financing cost reasonable
• Preserve Cash for Opportunity: Preferred to keep $180,000 cash available for potential second location

3-Year Outcome: The CoolSculpting system generated $240,000 in additional annual revenue. The equipment paid for itself in under 2 years. With ownership, he has no ongoing payments after year 7 while continuing to generate $200,000+ annually from the equipment.

Why Not Pay Cash: While he had $180,000 available, financing allowed him to:

• Keep cash reserves for opportunities
• Leverage debt at reasonable 8% vs potential 15-20% return on invested capital
• Maintain emergency fund
• Take advantage of tax deductions (interest + depreciation)

Scenario 3: Med Spa Chain – Regular Equipment Refresh

The Situation: Sarah owns 4 med spa locations across San Diego County. She has 8 laser systems across her locations, each costing $60,000. She believes in always having current technology to stay competitive. Her lasers are 5 years old and she wants to upgrade.

Current Equipment Value: $480,000 (8 systems × $60,000) Current Equipment Worth Used: ~$120,000 (25% of original)

Option 1: Finance New Equipment

• Sell old equipment: $120,000
• Finance new equipment: $480,000
• Down payment (20%): $96,000
• Amount financed: $384,000
• Monthly payment (5 years, 8.5%): $7,885
• Total cost: $473,100 + $96,000 = $569,100
• Must sell old equipment herself

Option 2: Lease New Equipment

• Return old equipment: $0 proceeds but no hassle
• Lease new equipment: $480,000
• Upfront cost: $25,000
• Monthly payment: $6,200
• Can upgrade again in 5 years

Sarah’s Decision: Lease

Why Leasing Made Sense for Her:

• Technology Refresh: She upgrades every 5 years; leasing aligns perfectly with this strategy
• No Resale Hassle: Returning 8 lasers is easier than selling 8 used lasers
• Cash Flow: $1,685/month lower payment across 4 locations was meaningful
• Predictability: Knows she’ll upgrade again; lease makes ongoing upgrades smooth
• Tax Simplicity: Fully deductible lease payment vs depreciation calculations on 8 assets

5-Year Outcome: After 5 years, Sarah returned all 8 lasers and leased 8 newest models. Her clients always experience latest technology. Her cost structure is predictable. She doesn’t worry about equipment becoming obsolete.

Cost Analysis:

• Leasing (5 years): $372,000 + $25,000 = $397,000 (she has no equipment at end)
• Financing (5 years): $569,100 (she owns equipment worth ~$120,000)
• Net difference: $51,900 more for financing

But consider:

• Zero hassle factor for Sarah
• Always latest technology = competitive advantage
• Predictable upgrade cycle
• Time saved not selling equipment = more time building business

For her model, leasing makes financial and operational sense.

Scenario 4: Single Practitioner – Conservative Approach

The Situation: Dr. Lisa Chen is a dermatologist adding aesthetics to her existing practice. She wants to test the market with minimal risk. She’s considering adding laser hair removal with a $55,000 system.

Equipment Cost: $55,000

Option 1: Finance (Traditional)

• Down payment (20%): $11,000
• Amount financed: $44,000
• Monthly payment (5 years, 10%): $935
• Total cost: $67,100
• Owns equipment outright after 5 years

Option 2: Lease with Early Buyout Option

• Upfront cost: $4,000
• Monthly payment: $750
• Total payments (5 years): $45,000
• Purchase option year 3: $20,000
• Total if buying year 3: $49,000

Dr. Chen’s Decision: Lease with Buyout Clause

Why This Hybrid Approach Made Sense:

• Test the Market: She wasn’t sure how much aesthetic revenue she’d generate; leasing reduced commitment
• Lower Initial Investment: $4,000 vs $11,000 upfront preserved capital
• Exit Option: If aesthetics didn’t work out, she could return equipment after 3 years with minimal loss
• Buyout Flexibility: If successful, she could buy at year 3 for $20,000, total cost $49,000 (cheaper than financing)

Year 3 Outcome: Laser hair removal was very successful, generating $120,000 annually. Dr. Chen exercised her year 3 buyout for $20,000. Her total cost:

• 36 lease payments × $750 = $27,000
• Year 3 buyout: $20,000
• Total: $47,000 (vs $67,100 if she had financed)

She saved $20,100 by leasing then buying, PLUS she had the option to walk away if it hadn’t worked out.

Scenario 5: Equipment Refresh – Finance vs Trade-In

The Situation: Michael owns a successful med spa in Sacramento. His 6-year-old IPL system (originally $50,000) still works but is outdated. New model costs $65,000. His old unit might sell for $8,000-$12,000 used.

Options:

Option 1: Finance New + Sell Old Separately

• Finance new equipment: $65,000 at 9% for 5 years = $1,350/month
• Sell old equipment privately: $10,000 (optimistic)
• Net cost: $78,000 – $10,000 = $68,000

Option 2: Lease New + Return Old (if currently leased)

• Return old equipment: $0
• Lease new equipment: $1,100/month
• Total: $66,000 over 5 years
• Can buy for ~$13,000 at end or return again

Option 3: Dealer Trade-In + Finance New

• Dealer offers $7,000 trade-in (instant, no hassle)
• Finance $58,000 at 9% for 5 years = $1,205/month
• Total cost: $72,300

Michael’s Decision: Dealer Trade-In + Finance

Why Trade-In Made Sense:

• No Hassle: Instant $7,000 credit, no listing/selling/negotiating
• Time Savings: Avoided weeks of trying to sell used equipment
• Lower Payment: $1,205 vs $1,350 (because of trade-in reducing principal)
• Ownership: He plans to keep equipment 7+ years, so ownership made sense
• Tax Benefit: Section 179 deduction on $58,000 financed amount

Though he “lost” $3,000 vs private sale (getting $7K vs possibly $10K), he saved 20-30 hours of time and eliminated selling hassle. For a busy practitioner, the convenience was worth it.

Key Takeaways from Real Scenarios

Lease When:

• ✅ Starting new practice with limited capital
• ✅ Wanting latest technology every 3-5 years
• ✅ Testing new service lines
• ✅ Uncertain about long-term equipment needs
• ✅ Managing multiple locations with regular refresh needs

Finance When:

• ✅ Established practice with strong cash flow
• ✅ Planning to keep equipment 7+ years
• ✅ Want to build business equity/value
• ✅ Profitable and can use tax benefits
• ✅ Equipment holds value well long-term

Hybrid Approaches:

• ✅ Lease with buyout option for flexibility
• ✅ Finance core equipment, lease new/unproven technology
• ✅ Trade-in old + finance new for convenience
• ✅ Finance some assets, lease others based on planned upgrade cycle

<a name=”tax-implications”></a>

Tax Implications: Financing vs Leasing

Understanding the tax treatment of equipment financing versus leasing can significantly impact your after-tax cost.

Tax Treatment of Equipment Financing

Depreciation Deductions:

When you finance and own equipment, you can depreciate it over its useful life:

1. Section 179 Deduction (Immediate Expensing)

• Deduct up to $1,160,000 in equipment purchases in first year (2026 limit)
• Only applies if equipment is placed in service during the tax year
• Phases out after $2.89 million in total equipment purchases
• Must have taxable income to benefit (can’t create a loss)

Example: You purchase a $100,000 CoolSculpting system. Under Section 179, you can deduct the entire $100,000 in year 1 (assuming you have $100,000+ in taxable income).

Tax savings: $100,000 × 32% tax rate (24% federal + 8% state) = $32,000 first-year tax savings

2. Bonus Depreciation

• 60% bonus depreciation in 2024, decreasing 20% per year until phased out
• Applies to new equipment
• No income limit
• Can create a loss to offset other income

3. Standard Depreciation (MACRS)

• Medical equipment is 5-year property
• Double declining balance method
• Deduct percentage each year over useful life
• Less beneficial than Section 179 or bonus depreciation

Interest Deduction:

• Interest portion of your monthly payment is deductible as business expense
• Reduces effective interest rate by your tax rate

Example:

• You pay $12,000 interest in year 1
• At 32% tax rate, you save $3,840 in taxes
• Effective interest rate: 9% × (1 – 0.32) = 6.12% after-tax cost

Tax Treatment of Equipment Leasing

Operating Lease:

• Full lease payment is deductible as ordinary business expense
• No depreciation (you don’t own it)
• Simpler tax treatment
• Immediate deduction of full payment

Example: Monthly lease payment: $1,500 Annual lease payments: $18,000 Tax savings (32% rate): $5,760

Capital Lease:

• Treated like financing for tax purposes
• You can claim depreciation
• Interest portion is deductible
• More complex than operating lease

Side-by-Side Tax Comparison

$100,000 Equipment | 32% Combined Tax Rate | Year 1 Analysis

Over 5-Year Life Cycle:

Financing:

• Total payments: $150,000 (original price + interest)
• Total tax savings: ~$48,000 (depreciation + interest)
• After-tax cost: $102,000

Leasing:

• Total payments: $120,000 (lease payments)
• Purchase at end: $20,000
• Total tax savings: ~$44,800 (lease payments)
• After-tax cost: $95,200

In this scenario, leasing is slightly cheaper after-tax, but you must account for residual value risk.

Tax Strategy Considerations

Choose Financing for Tax Benefits When:

• ✅ You have significant taxable income to offset
• ✅ You want to maximize first-year deductions (Section 179)
• ✅ You’re in high tax bracket (maximizes deduction value)
• ✅ You want to build depreciable assets
• ✅ Equipment qualifies for bonus depreciation

Choose Leasing for Tax Benefits When:

• ✅ You want predictable annual deductions
• ✅ Simpler tax treatment is preferred
• ✅ You’re near Section 179 limits
• ✅ Operating lease keeps equipment off balance sheet (better financial ratios)
• ✅ You want to maximize deductions while preserving upgrade flexibility

Important Tax Considerations

1. Placed-in-Service Rules To claim Section 179 in current tax year, equipment must be:

• Purchased and paid for (or financed)
• Delivered to your location
• Installed and ready to use
• Actually being used in business operations

December 31 is the deadline; don’t wait until December to buy if you want current year deduction.

2. Taxable Income Limitations Section 179 can’t create a net loss. If your business has $75,000 taxable income and you expense $100,000 equipment, you can only deduct $75,000 this year. The remaining $25,000 carries forward to next year.

3. State Tax Considerations Some states don’t conform to federal Section 179 or bonus depreciation rules. Check with your tax advisor about state-specific treatment.

4. Recapture Rules If you claim accelerated depreciation (Section 179 or bonus) then sell equipment before its useful life ends, you may owe “recapture tax” on the gain. This claws back some of the tax benefit.

Work with a Tax Professional

Tax rules are complex and change frequently. Always consult with a CPA or tax advisor who understands:

• Medical spa industry specifics
• Current tax law (Section 179 limits change annually)
• Your specific situation (income level, entity type, state rules)
• Long-term tax strategy (not just current year)

The right tax strategy can save $20,000-$50,000+ on a $100,000 equipment purchase.

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When to Finance vs Lease: Decision Framework

Use this framework to determine which option is best for your specific situation.

Decision Matrix: Finance vs Lease

Answer these questions to guide your decision:

Question 1: How long will you keep this equipment?

7+ years → FINANCE

• Financing is almost always cheaper long-term
• You’ll use equipment well beyond loan payoff
• Resale value at 7+ years is low anyway

5-7 years → EITHER

• Costs are similar for both options
• Consider other factors (cash flow, upgrade desire, etc.)

3-5 years → LEASE

• Equipment will be outdated soon
• Want ability to upgrade easily
• Lease costs work better for shorter timeframe

Under 3 years → LEASE or DON’T BUY

• Too short for either financing or leasing to make sense
• Consider per-use rental or don’t acquire

Question 2: What’s your cash position?

Strong reserves ($100K+) → FINANCE

• Can afford down payment
• Can handle higher monthly payments
• Want to build assets

Moderate reserves ($30-100K) → EITHER

• Need to preserve some working capital
• Consider financing with 10% down
• Or lease to preserve more cash

Limited reserves (under $30K) → LEASE

• Need to preserve maximum working capital
• Can’t afford 10-20% down payments
• Lower monthly payments are crucial

Question 3: How important is having latest technology?

Critical (competitive advantage) → LEASE

• Want to upgrade every 3-5 years
• Technology changes rapidly
• Latest features drive revenue

Moderate (nice to have) → EITHER

• Will upgrade when it makes financial sense
• Not essential to competitive positioning
• Can tolerate slightly older equipment

Not important (commoditized) → FINANCE

• Equipment functionality stable over time
• Latest models offer minimal improvement
• Cost matters more than cutting-edge

Question 4: What’s your credit situation?

Excellent (720+) → FINANCE

• Qualify for best rates (7-9%)
• Lower cost of capital makes financing attractive
• Can get 100% financing if desired

Good (680-719) → EITHER

• Qualify for decent rates (9-11%)
• Either option accessible

Fair (650-679) → LEASE

• Higher financing rates (11-14%)
• Leasing has more flexible approval
• Preserve credit for other business needs

Poor (under 650) → LEASE

• May not qualify for equipment financing
• Leasing companies more flexible
• Work on credit while building business

Question 5: What are your tax considerations?

High taxable income (need deductions) → FINANCE

• Section 179 immediate expensing valuable
• Maximize current year deductions
• Depreciation benefits significant

Moderate income → EITHER

• Both offer tax benefits
• Operating lease = simpler treatment
• Capital lease or financing = larger deductions

Low/no taxable income (startup or losses) → LEASE

• Can’t utilize Section 179 deduction now
• Operating lease deductions spread over time
• Don’t need aggressive depreciation

Question 6: What’s your equipment obsolescence risk?

High risk (rapidly changing technology) → LEASE

• Leasing company bears obsolescence risk
• Can upgrade without selling old equipment
• Body contouring, laser technologies evolve fast

Moderate risk → EITHER

• Balance risk with cost considerations
• Consider lease with buyout option

Low risk (stable technology) → FINANCE

• Equipment will be useful for 10+ years
• Worth owning outright
• Examples: basic microdermabrasion, some lasers

Question 7: What’s your business growth plan?

Rapid expansion (multi-location) → LEASE

• Preserve capital for growth investments
• Easier to scale (lease multiple units)
• Consistent technology across locations
• Can return equipment from closed locations

Stable (single location) → FINANCE

• Build equity in your business
• Lower long-term cost
• Ownership benefits matter more

Exit planned (3-5 years) → LEASE

• Don’t want assets to sell when exiting
• Easier business transfer without equipment
• Buyer can establish their own equipment

Quick Decision Guide

FINANCE IF:

• ✅ Keeping equipment 7+ years
• ✅ Strong cash reserves
• ✅ Excellent credit (720+)
• ✅ Need tax deductions now
• ✅ Building business value/equity matters
• ✅ Equipment is stable technology

LEASE IF:

• ✅ Upgrading every 3-5 years
• ✅ Limited cash reserves
• ✅ Lower monthly payment critical
• ✅ Want latest technology always
• ✅ High obsolescence risk equipment
• ✅ Testing new service line
• ✅ Rapid expansion planned

HYBRID APPROACH IF:

• ✅ Uncertain timeline
• ✅ Want flexibility
• ✅ Lease with buyout option
• ✅ Finance core, lease peripheral equipment

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Common Mistakes to Avoid

Financing Mistakes

❌ Mistake #1: Not Reading Fine Print on Prepayment Some equipment loans have prepayment penalties. If you expect to pay off early (from cash flow or refinancing), ensure contract allows prepayment without penalty.

Solution: Before signing, specifically ask: “Can I prepay without penalty?” Get it in writing.

❌ Mistake #2: Overextending on Monthly Payments Financing equipment with monthly payments that consume too much cash flow. Generally, total equipment payments shouldn’t exceed 15-20% of monthly revenue.

Solution: Use the 20% rule: If monthly revenue is $50,000, equipment payments shouldn’t exceed $10,000/month. Leave room for other expenses.

❌ Mistake #3: Ignoring Total Cost Focusing only on monthly payment instead of total interest paid. A 7-year loan at 12% might have affordable payments but costs significantly more than 5-year at 9%.

Solution: Calculate total cost over loan life, not just monthly payment. Sometimes a slightly higher payment (shorter term) saves thousands overall.

❌ Mistake #4: Financing Depreciating Assets Too Long Financing equipment for longer than its useful life. Example: 7-year loan on equipment that will be obsolete in 5 years means paying for equipment after it’s worthless.

Solution: Match loan term to equipment useful life (typically 3-5 years for med spa equipment).

❌ Mistake #5: Not Shopping Rates Accepting first financing offer without comparing. Rates can vary 2-4% between lenders, meaning $10,000+ difference over loan life.

Solution: Get quotes from at least 3 lenders: equipment manufacturer financing, banks, and specialized healthcare lenders.

Leasing Mistakes

❌ Mistake #6: Not Understanding Lease Type Confusing operating lease with capital lease. They have different tax treatments, balance sheet impacts, and end-of-term options.

Solution: Explicitly ask: “Is this an operating lease or capital lease?” Understand implications of each.

❌ Mistake #7: Underestimating Residual Value At lease end, purchase price may be higher than expected. “Fair Market Value” can be subjective and favor the leasing company.

Solution: Negotiate specific residual value ($X or Y% of original cost) upfront instead of vague “FMV.”

❌ Mistake #8: Ignoring Early Termination Costs Not reading early termination clause. Some leases require you to pay ALL remaining payments if you terminate early.

Solution: Before signing, ask: “What happens if I need to terminate early?” Understand your liability.

❌ Mistake #9: Not Accounting for Total Cost Comparing monthly lease payment to finance payment without considering lease doesn’t lead to ownership. Need to add residual payment for true comparison.

Solution: Calculate true total cost: (Monthly payment × term) + residual purchase price. Then compare to financing total.

❌ Mistake #10: Assuming Leasing Company Handles Maintenance Not all leases include maintenance. Some are “triple net” meaning you pay maintenance, insurance, and taxes.

Solution: Explicitly ask: “Does this lease include maintenance and service?” Get it in writing.

General Mistakes

❌ Mistake #11: Not Considering Tax Implications Ignoring tax benefits of Section 179, bonus depreciation, or lease deductions. This can mean tens of thousands in lost tax savings.

Solution: Consult with CPA before acquiring equipment. Run both scenarios (finance vs lease) with tax implications included.

❌ Mistake #12: Buying Equipment Before Securing Financing Ordering equipment before financing is approved. If financing falls through, you’re stuck with equipment order you can’t afford.

Solution: Get financing pre-approved or “subject to” approval before placing equipment order.

❌ Mistake #13: Financing Everything Together Putting all equipment (new and old, essential and experimental) into one loan/lease. If something doesn’t work out, you’re stuck paying for it.

Solution: Finance/lease in stages. Acquire core equipment first, add additional equipment once revenue proves concept.

❌ Mistake #14: Not Negotiating Terms Accepting first offer without negotiation. Equipment financing terms are often negotiable, especially interest rates and down payment.

Solution: Everything is negotiable. “Is this your best rate?” “Can we do less down payment?” “Can you match X competitor’s terms?”

❌ Mistake #15: Letting Equipment Sit Idle Acquiring equipment before your practice is ready to use it efficiently. Paying for equipment that sits unused for months is pure waste.

Solution: Time equipment acquisition to when you have: trained staff, marketing in place, and scheduler booked. Don’t buy equipment just because financing is approved.

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Frequently Asked Questions

General Questions

Q: What’s the difference between equipment financing and leasing?

A: Equipment financing is a loan to purchase equipment—you borrow money, make monthly payments with interest, and own the equipment once paid off. Equipment leasing is renting equipment—you make monthly payments to use it but don’t own it unless you purchase at lease end. Financing = ownership, leasing = renting with option to buy.

Q: Which is cheaper, financing or leasing?

A: Financing is almost always cheaper long-term if you keep equipment 5+ years. However, leasing has 15-30% lower monthly payments, which can be valuable for cash flow. Total cost analysis depends on: how long you keep equipment, interest rates, residual value, and tax implications. Use our calculator above to compare your specific situation.

Q: Can I finance or lease equipment with bad credit?

A: Yes, though options are limited. Leasing is generally easier to qualify for with credit scores as low as 600. Financing typically requires 650+ (680+ for best rates). With challenged credit, expect: higher interest rates (12-18%), larger down payments (20%+), personal guarantees, and possibly co-signers.

Q: How much down payment do I need?

A:

• Equipment financing: 0-20% typically (0% possible with excellent credit, 10-15% typical, 20%+ for fair credit)
• Equipment leasing: Usually first month + last month + security deposit (typically 2-3 months total payment)

Q: What’s the typical interest rate for med spa equipment?

A: Interest rates vary by creditworthiness:

• Excellent credit (720+): 7-9% APR
• Good credit (680-719): 9-11% APR
• Fair credit (650-679): 11-14% APR
• Poor credit (under 650): 14-18%+ APR or may not qualify

Financing Questions

Q: Can I pay off equipment financing early?

A: Most equipment loans allow prepayment without penalty, but some have prepayment penalties (especially loans with very low rates). Always ask before signing: “Is there a prepayment penalty?” Get it in writing.

Q: Does equipment financing improve my business credit?

A: Yes, if the lender reports to business credit bureaus (Dun & Bradstreet, Experian Business). Ask lender: “Do you report to business credit bureaus?” Making on-time payments builds business credit score.

Q: What happens if I can’t make payments?

A: Missing payments on equipment financing has serious consequences:

1. Damages personal and business credit
2. Late fees and penalties accrue
3. Lender can repossess equipment
4. You’re still liable for remaining balance (deficiency judgment)
5. May face collections or lawsuit

Contact lender immediately if facing difficulty. Many will work with you on temporary payment modifications.

Q: Can I refinance equipment financing?

A: Yes, equipment financing can be refinanced if rates drop or your credit improves. You’d take out a new loan to pay off existing loan, ideally at better terms. Consider refinancing if you can reduce rate by 2%+ or need to extend term to lower payment.

Leasing Questions

Q: What happens at the end of equipment lease?

A: You typically have three options:

1. Purchase equipment: Pay residual value (operating lease) or nominal fee (capital lease)
2. Return equipment: Walk away with no further obligation
3. Lease new equipment: Trade in for newer model and continue leasing

Choice depends on your situation, equipment condition, and available alternatives.

Q: Who’s responsible for maintenance on leased equipment?

A: Depends on lease type:

• Full-service lease: Leasing company maintains equipment (more expensive monthly payment)
• Net lease: You maintain equipment (lower monthly payment)

Always clarify before signing. Get maintenance responsibilities in writing.

Q: Can I terminate an equipment lease early?

A: Yes, but with significant costs. Early termination options:

• Pay remaining payments: Often required to pay substantial portion of remaining lease
• Equipment return + fee: Return equipment and pay termination penalty
• Transfer lease: Find someone to assume your lease (if allowed)

Early termination is expensive—avoid leasing if you’re uncertain about timeline.

Q: How is residual value determined at lease end?

A: Residual value (purchase price at lease end) is typically:

• Capital lease: $1-$100 nominal fee (essentially finance)
• Operating lease: “Fair Market Value” (typically 10-30% of original cost)

Problem: FMV is subjective. Best practice: Negotiate specific residual percentage upfront (e.g., “20% of original cost”) rather than vague “fair market value.”

Q: Is equipment leasing tax deductible?

A: Operating lease: Full monthly payment is deductible as business expense. Capital lease: Treated like financing—you can depreciate equipment and deduct interest portion.

Operating leases have simpler tax treatment. Always consult your CPA.

Decision-Making Questions

Q: Should I finance or lease as a startup med spa?

A: Most startups should lease core equipment for these reasons:

• Preserves limited capital (lower upfront cost)
• Easier approval with limited credit history
• Lower monthly payments ease cash flow pressure
• Flexibility to upgrade or return if business doesn’t work out
• Reduces risk in uncertain early stages

Once established (year 2-3), consider financing future equipment to build equity.

Q: Which option is better for tax purposes?

A: Depends on your situation:

Financing + Section 179 is better if:

• High taxable income (need current-year deductions)
• Want to build depreciable assets
• In high tax bracket

Operating lease is better if:

• Prefer predictable annual deductions
• Want simpler tax treatment
• Don’t have current taxable income to offset

Consult your CPA—they can model both scenarios with your specific numbers.

Q: Should I finance equipment I’ll upgrade in 3-5 years?

A: Probably not. If you plan to upgrade in 3-5 years, leasing makes more sense:

• Lower total cost for short timeframe
• No hassle selling old equipment
• Easy upgrade path
• Operating lease keeps equipment off balance sheet

Finance only equipment you’ll keep 7+ years.

Q: Can I mix financing and leasing?

A: Absolutely—and it’s often smart. Example strategy:

• Finance core equipment: Lasers for primary services you’ll offer for 10+ years
• Lease peripheral equipment: New technology you’re testing or expect to upgrade
• Finance used equipment: Certified pre-owned gear with lower obsolescence risk
• Lease latest tech: Cutting-edge equipment likely to be superseded

Tailor each piece of equipment to optimal acquisition method.

Q: Is it better to pay cash or finance/lease?

A: Generally, finance or lease even if you have cash, because:

Advantages of financing/leasing vs cash:

• Preserve cash for operations, marketing, emergencies
• Leverage OPM (other people’s money) for growth
• Equipment can generate revenue immediately (ROI exceeds interest cost)
• Tax benefits (Section 179 deduction same whether you pay cash or finance)
• Keep liquid reserves for opportunities

Pay cash only if:

• You have substantial cash reserves ($500K+)
• Interest rates are extremely high (15%+)
• Equipment is small purchase (under $10K)
• You have no better use for capital (unlikely)

Equipment-Specific Questions

Q: Should I finance or lease a laser hair removal system?

A: Lease initially, finance if keeping 7+ years. Reasoning:

• Laser technology evolves (newer wavelengths, faster treatment times)
• Upgrading every 5-7 years keeps you competitive
• Lower monthly payments help during service line ramp-up
• Exception: If buying proven, established laser technology, financing works

Q: Should I finance or lease CoolSculpting equipment?

A: Consider leasing. Reasoning:

• Expensive equipment ($150K-$250K)
• Leasing approval easier for large amount
• Body contouring technology evolves rapidly
• Lower monthly payment makes profit margins better initially
• However: If you’re certain about offering body contouring long-term and have capital, financing builds equity

Q: Should I finance or lease used/refurbished equipment?

A: Finance used equipment. Reasoning:

• Used equipment already depreciated significantly
• Lower obsolescence risk (it’s already “old”)
• Lower price means financing is affordable
• Leasing companies don’t lease used equipment (they want residual value)
• Build ownership in proven, functional equipment

Q: Can I finance software or services, or only hardware?

A: Equipment financing typically covers:

• Included: Hardware (lasers, machines, computers)
• Sometimes: Software packaged with hardware
• Rarely: Standalone software licenses
• Not included: Service contracts, subscriptions, ongoing fees

Some lenders offer “technology financing” for software/services, but terms are usually less favorable.

Final Recommendations: Your Equipment Acquisition Strategy

The Framework for Smart Equipment Decisions

Step 1: Assess Your Situation

• Cash reserves available
• Credit score and history
• Revenue and profitability
• Growth plans (stable vs expanding)
• Risk tolerance

Step 2: Evaluate Each Piece of Equipment

• How long will you keep it? (3 years vs 10 years)
• How critical is latest technology?
• How fast does this equipment category evolve?
• What’s your confidence level in this service line?

Step 3: Run the Numbers

• Use our calculator to compare specific costs
• Include tax implications (consult CPA)
• Model best-case and worst-case scenarios
• Calculate ROI timeline for equipment

Step 4: Match Equipment to Acquisition Method

Core Equipment (High Certainty, Long Term) → FINANCE

• Examples: Primary laser system, essential devices
• You’re confident in 7-10 year use
• Want to own outright
• Build business value

New/Experimental Equipment (Test Phase) → LEASE

• Examples: New service line equipment, unproven technology
• Not sure about demand
• Want exit option if unsuccessful
• Preserve capital while testing

Rapidly Evolving Equipment (Competitive Tech) → LEASE

• Examples: Latest body contouring, newest laser tech
• Technology changes rapidly (18-36 month cycles)
• Staying current provides competitive advantage
• Plan to upgrade regularly

Step 5: Negotiate Terms

• Don’t accept first offer
• Shop 3+ lenders/leasing companies
• Negotiate rates, down payment, residual value
• Get prepayment and early termination terms in writing

Step 6: Plan for Equipment Lifecycle

• When will you upgrade?
• What’s exit strategy?
• How will you dispose of old equipment?
• What’s replacement budget?

Sample Equipment Portfolio Strategy

Year 1 Startup Med Spa:

• Lease: IPL laser ($50K) — testing market, want upgrade flexibility
• Lease: Hydrafacial ($28K) — preserve cash, popular established tech
• Finance: Treatment beds, small equipment ($15K) — low-cost, long useful life
• Total capital required: ~$25K down vs $85K+ if financing everything

Year 3 Established Practice:

• Finance: Second laser ($60K) — proven demand, keeping 10+ years
• Lease: Body contouring ($150K) — new service, want latest tech
• Buy cash: Microneedling pens ($5K) — small amount, consumable-focused
• Strategy: Mix methods based on confidence and equipment type

Year 5 Multi-Location Owner:

• Lease everything: 15+ pieces across 3 locations
• Standardize technology: Same equipment all locations
• Regular refresh: Upgrade all locations every 5 years simultaneously
• Operational simplicity: Return/upgrade rather than selling used
• Strategy: Leasing scales better for multiple locations

The Bottom Line

There’s no universally “best” answer—it depends on YOUR situation.

Financing wins on:

• ✅ Long-term total cost
• ✅ Building equity
• ✅ Tax benefits (if profitable)
• ✅ No surprise residual payments

Leasing wins on:

• ✅ Lower monthly payments
• ✅ Flexibility and upgrade ease
• ✅ Reduced obsolescence risk
• ✅ Capital preservation

Smart operators use BOTH strategically to optimize their equipment portfolio.

Need Help Deciding?

Every med spa’s situation is unique. Factors like your credit profile, cash position, tax situation, growth plans, and risk tolerance all influence the right decision.

Our equipment financing specialists can help you:

• Run detailed cost comparisons for your specific equipment
• Connect you with both financing and leasing providers
• Negotiate better terms on your behalf
• Structure optimal acquisition strategy
• Coordinate with your CPA on tax implications

Contact us for personalized guidance:

• Phone: (714) 642-9595
• Email: info@medspalending.com
• Online: [Schedule free consultation]

Whether you finance, lease, or use a hybrid approach, we’ll help you get the best terms possible for your equipment acquisition.

Additional Resources

Download our free tools:

• [ ] Equipment Financing vs Leasing Comparison Spreadsheet
• [ ] Equipment ROI Calculator
• [ ] Section 179 Tax Deduction Worksheet
• [ ] Equipment Acquisition Checklist

Read related guides:

• Complete Guide to Med Spa Equipment Costs
• How to Negotiate Equipment Financing Terms
• Used vs New Equipment: Complete Buyer’s Guide
• Tax Planning for Med Spa Owners

Browse equipment resources:

• Recommended Equipment Vendors
• Certified Pre-Owned Equipment Dealers
• Equipment Maintenance and Service Contracts

Last Updated: February 2026

Disclaimer: This guide provides general information about equipment financing and leasing. Specific terms, rates, and tax treatment vary by lender, lessor, equipment type, and individual circumstances. Always consult with financial and tax professionals before making equipment acquisition decisions. MedSpaLending.com is not a lender or lessor—we connect medical spa owners with financing and leasing providers.