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Improve Your Bottom Line by Increasing Your Technology

The ever accelerating pace of technology is changing business in every industry in every country around the world. Advances in computer processing power, software complexities, internet capabilities and telecommunications are finding new and expanding use in every sector of the economy; whether it’s automated tellers, computerized loan applications, wild new advances in medical devices, massive new data collection technologies for businesses and Universities, or real-time connectivity for every employee of a business, no one is immune to the drumbeat of coming change. No industry will be spared the new applications that are transforming how business is done every day.

How to keep up is the question that is causing Business Technology Experts and Chief Operating Officers to toss and turn late into the night. How can you stay at the forefront of the wave of technology, and ahead of the competition, without breaking the budget? How can a company manage to afford to repeatedly upload, upgrade, and update the technologies that drive their industry and keep up with the ever increasing rate of change?

KLC Financial can help you to find the financing to allow your company to keep up with the breakneck speed of change in your industry. We can create an equipment lease that will provide you with the most advanced technologies or powerful new software with monthly payments that will work for your budget. We can provide you with 100% financing, with no down payment so that you can keep your operating capital.

We understand how fast business moves these days, and we can set you up with a business technology lease just as fast, and we’ll leave you with all of your credit lines still fully available, so you are ready for the next opportunity that comes your way.

KLC Financial can help you to ride the waves of new technologies and create more opportunities for your business going forward. Contact us today to learn more.

Take Your Business to the Next Level With Office Equipment Leasing

Staying on top of your industry in the modern world can be like trying to ride a bucking bull.  Business in the 21st century comes with wild new changes in available technologies, the advent of powerful new software, and plenty of new avenues for growth. Who can afford to take advantage of all the advances and avenues available to business in the new wild west of internet connectivity, computing speeds and bold new leaps in technology? You can with KLC Financial’s Office Equipment Leasing options. Whether you need a leasing line of $10,000 or $100,000, KLC Financial can help you take your business plan to next level.

Office Equipment Leasing allows you to take those next steps toward making your company the leader in your industry.

Whether it’s bringing in new technology or upgrading existing equipment, training your staff to new software capabilities or opening a new office in the next town over, KLC financial will work with you to make it all possible for your business.

In a competitive industry, it takes more than a great idea to compete. It takes being able to put that idea into action. KLC can help you to find the funds to implement your great ideas and put you ahead of your competitors. The landscape of your industry is littered with good ideas that lacked the capital to come to fruition. We will work with you to make your corporate dreams a money making reality.

Whether your company is a brand new start up or if you have been working in your industry for decades, KLC Financial can help you with our Office Equipment Leasing options. We can create a plan for you with all of the flexibility you need and provide access to all the resources you want to push your business to another level. Conquer the competition and lead the race in your industry…with a little help from KLC Financial. Contact us today to get started!

Lesley Farmer Selected 2017 Top Women in Finance Honoree by Finance and Commerce

KLC Financial is proud to congratulate Lesley Farmer as 2017 honoree of the Top Women in Finance Award.  Thank you for your outstanding service to KLC Financial and the Minnesota community.  We are proud to have you as a leader on our team.  Congratulations on a well-deserved recognition!

Lesley Farmer – CLFP, Business Development, has been a member of the sales team at KLC for over 12 years.  Her goal has always been and continues to be to build the best customer relationship through customized financing solutions and personalized service. She works with a variety of industries to bring them equipment leasing and financing tools that best meet their needs.Lesley Farmer - KLC Financial

“It’s an honor to be selected by Finance & Commerce for this award. The group of outstanding women that I am joined by this year as well as years past is an honor and privilege. I am very thankful to my friend and business partner, Erin Procko, who nominated me for this wonderful award!”

This is the 17th year that Finance & Commerce has been featuring a woman’s honor program. The program not only celebrates and honors women who are making a significant impact in their profession, but women who continuously make a positive impact on their Minnesota community.

The 2017 Top Women in Finance Honorees includes women from a wide variety of professions and positions including CEOs, entrepreneurs, financial advisors, accountants, and lawyers. Honorees come from diverse industries ranging from non-profits and government to real estate. In addition, many of the selected women volunteer in their communities and mentor other women.

Lesley, as well as the other deserving honorees, with be further recognized at an awards event on November 16th, 2017.

KLC Financial

KLC Financial leases and finances capital equipment and assets across industries to businesses throughout the nation. Contact KLC Financial today for all of your equipment leasing, financing, and cash flow needs.


3 Reasons Why Companies with High Cash Reserves Still Choose to Lease

The affordability of equipment, technology, and other hard assets can make or break a company’s growth. This is why leasing and operating lesases are so appealing to many businesses – acquiring these necessary items with a manageable monthly payment. Why then do established businesses with large cash reserves choose to lease, when they could just pay off the asset and avoid the interest? It turns out that there are quite a few benefits to financing for all types of organizations, from start-ups to Fortune 100s alike.

First… There are Tax Benefits

Leasing allows your customers to deduct monthly lease payments on a true lease as an operating expense. Depending on the lease structure and the accounting treatment, this means their lease may qualify for off-balance sheet treatment, which may assist them in acquiring the equipment they need while maintaining compliance with bank and loan covenants, staying within capital budget constraints, and  improving their financial position.

Another set of tax benefits many organizations take advantage of are Section 179, bonus depreciation, and qualified leasehold improvements. With Section 179, the IRS allows for the project cost to be fully deductible if your business uses the leased equipment and lease payments pay the cost over time. Interest as part of the payments is also deductible.

Bonus depreciation is the provision that allows businesses to expense a portion of an asset in the year it is added. This has proven to be very helpful for businesses with large amounts of qualifying equipment, as they can save large amounts of tax in the year of purchase.

Second… There are Budget Friendly Fixed Monthly Payments

Knowing that a fixed cost is on the horizon can be a relief to a company. One of the most difficult things about expense accounting month-to-month is factoring in the new, surprise costs that pop-up. That is why even when they can pay the full cost up-front, many businesses opt for monthly payments since they are expected costs that allow them to better manage their budgeting cycle.

Third… Leasing is a Hedge Against Technology

In an age when the next best thing may be available a month after you purchase the latest and greatest, there can be a fine line behind staying up to date and lagging far behind. This is one benefit that leasing can provide better than paying for assets outright. Depending on the structure of the financing agreement, many companies lease assets as a way to stay current with advancement, updates and new features on a regular basis. This usually proves easier than trying to sell the asset themselves at a loss, only have to turn around and buy something new at full price.

Since leasing is a hedge against technology, many businesses choose operating leases in which they have the option to return the asset at the end of the lease term. If the then fair market value of the asset is less than the residual that the business assumed, they bear the loss but are protected from fair market value fluctuations. Also, if the lessee chooses to swap the asset for one of newer technology, the existing lease can typically be terminated and a new lease initiated.

When You’re Ready to Start Leasing, KLC Financial is Here…

Companies need their technology and office solutions to keep up with them. KLC can help them with this challenge. Here are just a few ways we have already helped other companies:

Data Center Company:

Data center, network management, integration company, $525,000 lease line. KLC Financial provided an equipment lease line of credit for allowing Lessee to expand their data center offering and to update their technology.

Insurance Agency:

The company needed a $75,000 cash injection into the business to expand their agent training capacity. KLC Financial did a sale-leaseback of their office equipment and some personal assets to get them the cash they needed. They have grown their business over 30% so far.

Wholesale Clothing Facility:

We leased them an upgraded software package for $20,000 to help streamline their order processing and inventory management.

For more information about equipment leasing, contact the team at KLC Financial today.


5 Reasons to Set Up a Vendor Finance Program

If you are in the business of selling machinery, large equipment, or expensive technologies to businesses, you know that conducting an all-cash transaction is a tough sell. Not only businesses have limited capital available to invest in equipment or technology, many of them do not want to go through the lengthy procedures of applying for a bank loan. That’s where vendor finance programs come in.

The term ‘vendor financing’ refers to the lending of money by a manufacturer to its customers so that they can purchase the equipment or technology they need. This way, manufacturers can increase their sales volume with vendor financing even though they are buying their own products.

While increased sales volume remains the primary reason most companies set up a vendor finance program, there are various other benefits as well that make vendor financing a smart choice for businesses. These include:

1. Sell Products at a Better Price

Customers perceive vendor financing as an ‘incentive’. Since they are not required to pay a hefty amount right away, they are ready to buy a product at a higher price than they would have accepted if it were an all-cash purchase. This way, manufacturers can earn more revenue per sale and make accelerated progress towards their sales targets.

2. Negotiate More Favorable Terms

The company providing financing for the purchase of equipment or technology gains the upper hand in the deal. As a result they are able to exercise greater control and negotiate terms that suits their interests and preferences. In addition to this, customers are often ready to accept the terms because of lack of funding options available to them.

3. Generate a New Income Source

By opting for a vendor finance program, the customer is required to repay the loan in small monthly payments over the entire repayment period. In addition to this, they are also required to pay interest at a rate set by the financer. Since equipment and technology purchases often worth thousands of dollars, vendors are able to earn a significant amount of interest over the money lent by them to the customer.

4. Close Deals More Efficiently

With a vendor finance program, the purchaser does not have to search for financing or apply for bank loans. This saves the time the purchaser would have spent on completing all the paperwork required to secure a loan. As a result, the manufacturer is able to close a deal in a more efficient manner.

5. Gain an Edge Over Your Competitors

In today’s competitive marketplace where companies are seeking innovative ways to differentiate themselves from other market players, a vendor finance program can prove to be really valuable. Often time, a vendor finance program becomes the deciding factor for the purchaser when they have to choose between two products.

To learn more about how vendor financing works or to partner with KLC on vendor financing, please contact KLC Financial at 952-224-4300.

Marc Keepman Speaks on Equipment Leasing During CVN Webinar

Marc Keepman, Chairman and CEO, Spencer Thomas, President, and Jena Morgan, Marketing and Portfolio Manager of KLC Financial, participated in a fantastic webinar hosted by the Community Venture Network (CVN) earlier this week.


There was a great turn out of CVN members for the BR&E webinar. Marc Keepman led part of the webinar and shared his experience and knowledge of the equipment leasing environment. He touched on key points including; the benefits of equipment leasing for small and large companies, partnering with local banks, and the many advantages of the 179 deduction and bonus depreciation.

Jandra Lubovich, Tyler Hoch, and Chris Kampa from Stifel, a large investment firm, shared their experience and insight into municipal bond markets and the process of conducting a bond offering.

Click here to view the presentation.

The Community Venture Network focuses on economic development in rural areas of the Midwest with the goal of connecting small-medium businesses with rural communities.

Contact KLC Financial

If you have questions about equipment leasing, or if you would like to learn more about how equipment leasing could benefit your business, the team at KLC Financial is here to help you navigate the leasing process and answer any questions you may have. Contact KLC today for more information.

KLC Supports Local Events and Organizations

Summer has arrived, and the team at KLC Financial is making big plans to support local events and organizations through sponsorship and participation over the next few months.

KLC Golf Sponsership

The list of events will continue to grow, but here are three big events KLC Financial would love to see you at this summer!

33rd Annual MPMA Open Golf Classic

KLC will be sponsoring a hole at this exciting event on July 11th. Participants will enjoy lunch, a round of golf, and the awards dinner banquet at Bunker Hills Golf Course in Coon Rapids, Minnesota. In addition, there will be a putting contest and time set aside for networking and socializing. There is still time to register for this event, or if you prefer,there are sponsorship only opportunities!

Learn more about the MPMA Open Golf Classic

RMA MN and MNCPA 19th Annual Golf Tournament & Networking Event

KLC Financial will be sponsoring a hole at this event on August 14th. The event will be held at Brookview Golf Course in Golden Valley, Minnesota. There are still sponsorship opportunities available, or if you want to join in the tournament, you have plenty of time to register and practice up!

Learn more about the RMA MN and MNCPA 19th Annual Golf Tournament

NEFA Lake Minnetonka Educational Panel and Networking Cruise

KLC will beco-sponsoring this great event taking place on August 23rd. The cruise leaves from Al & Alma’s in Wayzata, Minnesota, and provides the perfect opportunity to enjoy beautiful Lake Minnetonka with friends and colleagues. The event includes an afternoon of top-notch educational sessions on land followed by a cruise on the water with dinner, drinks, and networking.

Learn more about the NEFA Lake Minnetonka Educational Panel & Networking Cruise

All of these fantastic events are open to the public. Click on the links above to register, and we will see you there!

3 Primary Methods of Funding your Startup

When you have big dreams for a small business, there are many things you must consider. The first hurdle most entrepreneurs need to fly over is that of funding. For most startups, financing is going to come from multiple angles. The majority of people don’t have the cash in hand to fire up their brand new company and get the wheels rolling. Building their funding takes time, work, and creativity. There are three main sources of financing for startups that folks typically turn to that we’ll highlight here.

The Employing of Personal Assets

Making use of personal assets to fund your startup is the least expensive and most efficient method of getting your wheels off the ground. This method does present certain risks, however. By using your own assets, you’re reducing your savings and the collateral you may need for a larger loan further down the line.

The Fundraising of Startup Money

This obviously isn’t a bake sale sort of fundraiser we’re discussing here: fundraising financing for startups in Minnesota looks more like finding investors. This may be family, friends, or strangers. You might be able to find a few investors willing to shell out larger amounts of cash for your startup, or you may need to access many small investors. With their investment, they’re usually promised equity in your company, the money is given as a loan, or they invest with the promise of a reward of some sort.

The Securing of a Bank Loan

The benefit of getting a bank loan to fund your startup is that it’s typically less time consuming than fundraising and you’re not sacrificing equity in your business. You’ll have to have decent credit to qualify for a startup bank loan and the interest can range from 12-25% per year depending upon the institution which is similar to what you’d pay on a credit card. Unlike a credit card, this is a loan lump sum: the entire amount is immediately accessible from your bank account which means you’ll also be paying interest on the total sum right off the bat.

Financing for Startups in Minnesota and beyond

Whichever option you choose, it’s always wise to consult a financial institution for advice on how to handle the finances of your new business. KLC Financial is unique in our approach to startups because we’re not a bank: we’re an independent finance company able to creatively address your startup funding needs. Contact us today to make your business dreams into reality.

KLC Team Attends Sky Zone Convention 2017

Lesley Farmer and Spencer Thomas attended the Sky Zone Convention 2017 May 8-11, 2017. The event took place in Chicago, Illinois at the Loews Chicago O’Hare Hotel.

About Sky Zone

Sky Zone is the originator of wall-to-wall aerial action. Their goal is to get people active, healthy, and happy, and they do this through a variety of exciting activities offered at their parks. Guests can enjoy freestyle jumping on wall-to-wall trampolines, obstacle courses, Ultimate Dodgeball and trampoline dunking. This is a popular venue for birthday parties, charity events, family get togethers, and as a fun place for friends to gather.


The Sky Zone Convention 2017 included a welcome party, educational sessions, breakout sessions, a visit to Sky Zone in Orland Park, vendors, and award receptions. Farmer and Thomas attended the event to support franchise owners and to share their vast knowledge of leasing and financing solutions.

About KLC Financial

KLC Financial offers creative, flexible, custom solutions that support businesses that don’t easily fit the typical bank or finance company models. We believe in establishing solid, long term relationships with our customers, investing partners and referral sources.

If your franchise needs access to working capital or if you have questions regarding equipment leasing or financing, contact KLC Financial today and we would be happy to answer any questions you might have.

3 Benefits of Equipment Leasing

A rapidly expanding business is an exciting prospect. When the possibilities seems endless, sometimes it’s easy to get lost in dreams of the future and forget to plan for the present. With the rapid turnover of technology and in order to keep up with your burgeoning business, you may need to look into equipment leasing. For expert equipment leasing MN, KLC Financial is your go to. Before contacting us, read up on the benefits of leasing equipment with the help of KLC Financial.

Equipment leasing works a lot like renting. You’re responsible for making monthly payments for the duration of your agreement, and once that’s done, you’ll have the option to renew, terminate, or purchase the equipment at fair market value.

Lower Costs

One huge benefit of equipment leasing is that it allows you to rent equipment necessary for your business that you’re unable to buy. Monthly payments for leasing are also usually lower than a business loan or line of credit.

Stay Current with Technology

Another bonus of accessing equipment leasing is that when you’re in a field with frequent turnover rates (high computer use, for example), you can keep your equipment cutting edge without making constant updates to your equipment out of pocket. Leasing allows you to essentially trade in obsolete equipment for fresh technology. Sometimes, mid contract trades can even be made depending upon your contract specifications.

Financial Benefits Abound

When you take advantage of equipment leasing MN with KLC Financial, you qualify yourself for tax incentives and free up cash flow that can better be used elsewhere in your business. Because you more often than not don’t need to provide additional collateral, your funds are free to be budgeted elsewhere.

Equipment Leasing MN with KLC Financial

For professional and friendly assistance for your equipment leasing, contact the team at KLC Financial today.