What are business assets?

Most business assets can be written off (taken as an expense on the income statement) either as one large expense in the year of the purchase or by being depreciated, which is the process of spreading the cost of an asset over time. Some large, expensive assets may qualify to be expensed entirely in the year of purchase under section 179.

Tips for acquiring business assets:

• Research Your Options: Before you purchase any business asset, do your homework and research the market to determine which type of asset is right for your business. Consider what you need the asset to do, how much it will cost, and whether it's worth the investment.

• Make a Budget: Once you've identified the type of asset you need, create a budget to determine how much you're willing to spend. Set aside funds specifically for acquiring business assets, and stick to your budget.

• Shop Around: Don't limit yourself to one vendor. Compare prices, features, and customer service from multiple vendors to get the best deal.

• Negotiate: Negotiating is a great way to get the best value for your money. Don't be afraid to haggle and ask for discounts or special deals.

• Consider Leasing: If you don't have the cash to purchase assets outright, consider leasing. This can be a cost-effective way to acquire assets without breaking the bank.

• Utilize Tax Credits: Look into local, state, and federal tax credits and incentives that may be available to help offset the cost of your business assets.

• Be Smart with Financing: If you decide to finance your assets, be sure to shop around for the best rates and terms. Also, make sure you understand the repayment process and any fees associated with the financing.

• Insure Your Assets: Protect your assets with appropriate insurance coverage. This will help you in the event of an accident or theft.