The Benefits of Financing
So your ideas for your playground don’t match your budget. Don’t fret, you are not alone. You would be surprised how often this comes up when talking to potential playground buyers. At the end of the day, it is up to you or your organization to determine the best possible methods for getting the structure that you feel would best meet your needs. Very organizations have the capital to purchase a commercial playground outright. However, there are grants available. This method is quite often a very positive step in acquiring partial funding but you should be prepared to meet some competition for that grant money. Most schools and PAC’s fundraise privately through any number of methods from bake sales to bottle drives and even school dances. But what about financing?
Does it make sense? If you find that after sourcing grants and raising funds the old fashioned way, there is still a residual amount of money required to meet the overall costs, then financing could be a consideration. Working with a lender to help expedite your playground project with an affordable payment plan to meet your budget may be an option. Waiting to raise the money required can often result in lengthy delays and in some cases, many of the students and families partaking in the fundraising may move up to the next school before the fundraising is complete.
So what are some of the other benefits? First of all, you have some options. You have the option to finance any part, or all of your equipment. Perhaps you have raised enough capital to purchase the equipment, but what about the shipping, surfacing and installation? It may make sense to finance the remainder if it keeps your project on track. Or you can use available credit to finance other features to your playground such as benches or picnic tables. Having credit available also helps to preserve funds for emergencies or contingency projects.
There are may be tax advantages for your organization. In some cases the interest charged may be tax deductible. It may be worthwhile to speak to your accountant to see if it is advisable to amortize your playground as a capital investment over the life of the playground. It is important to understand that an investment in playground equipment purchased by private organizations increases property value and provides a positive return on investment in terms of amenities.
In the end, it really comes down to personal preference. Some prefer to wait and save, while others would like to see a quicker result. If you want to learn more about financing and what is required please contact Green Roots Play Equipment Inc. We can help to get you on your way to building the playground you’ve been planning for.