Morton Buildings Agrifinancial Brochure

Storage | Farm Shop | Office | Commercial

Morton Buildings, Inc. has partnered with AgriFinancial to offer affordable financing options to our customers. This partnership allows us to provide prompt, professional service and competitive pricing.

Why Producers and Suppliers Like Leasing: "Our Morton salesman recommended AgriFinancial (AgFi) for lease financing, which offered consistent payments over 10 years and allowed for quicker depreciation. AgFi impressed us with their friendly people and the process–fast and streamlined. One afternoon I met with and gave AFS my financials; the next morning I was approved. If we had any problems, they were accommodating and timely. We would recommend them to anybody."

AgriFinancial, a Subsidiary of CGB Enterprises, Inc., is a premier nationwide ag lender offering an array of flexible financial solutions and expertise to help landowners achieve their goals.

David Robinson – Brookfield, MO

How A Lease Might Work For You: • New building or re-Skin • Streamlined application–only process for buildings up to $300,000 • Fully underwritten leases available for larger transactions

800-447-7436 • mortonbuildings.com

• Lease terms of 5, 7, or 10 years are available • Sale/Leaseback options • 100% financing available • Minimize capital outlay • Maximize or accelerate your tax deductions* • Choose monthly, semi-annual, annual, or harvest plan payments • Set residual value of 20% • Have $1,000/year or more of verifiable farm income

877-548-2622 • cgb-agfi.com ©2018 Morton Buildings, Inc. Morton Buildings is a registered trademark of Morton Buildings, Inc. All rights reserved.

A listing of GC licenses available at mortonbuildings.com/licenses. Form # 2124/12M/11-18 Printed in the U.S.A.

Lease Financing

By AgriFinancial

Preserve Capital, Maximize Deductions and Get Investments You Need!

Why Consider Leasing a Building?

Many people are familiar with the concept of leasing a vehicle. However, fewer are aware of the financial benefits that can be achieved by leasing a building.

Before considering traditional financing options or paying cash for your building, it is important to understand why so many people are choosing leases and the reasons behind it. Leasing is a way to make improvements to your property and receive the benefits of faster deductions compared to depreciation. Essentially this equates to more money in your pockets.

Minimize capital outlays Many people underestimate the importance and value of holding onto their cash. With a lease you don’t pay a dime until your building is ready for use. A lease also eliminates large up-front down payments. When the building is complete you begin making your scheduled payments.

Maximize your tax position Lease payments can be fully tax deductible providing a larger income tax deduction compared to a standard depreciation schedule. Leasing is often the cheapest, “after-tax” method of acquiring a building for your operation.*

Own your building At the end of your pre-determined lease term you can purchase your building for a final residual payment of 20%. You also have the option to lease for another period of time.

Here is one example: Leasing a $250,000 building today over 5 years could provide more than $10,000 in savings when compared to traditional financing. When calculating your real cost on a building you must consider your after-tax cost.

This means traditional financing or even paying cash could cost you thousands more on your building purchase.

Do I Qualify?

Leasing isn’t just for “farmers”. Individuals and Corporate Structures may also be eligible in many cases. This includes partnerships as well as absentee farm owners.

Did you know that you can apply for an Ag Lease by having as little as $1,000 per year in Ag-Related income?

This could be from the sale of hay, sweet corn or livestock.

Also, if you file a schedule F you most likely qualify.

Farm leases have, and continue to be popular among full-time farmers. Now we understand that this option may be available to many more individuals looking to build in rural America.

How does it work?

The building project needs to be greater than $40,000, or $25,000 for a re-skin, which can be set up for 5, 7 or 10 year terms. You are essentially renting the structure over the term and this is where you receive the tax benefit and eliminate the hefty capital outlays. Payments are structured to cover that value vs. the outright ownership of the asset.

Leases are available with annual, semi-annual and monthly payments. A residual value will be set at 20%. This is the purchase price you would pay at the conclusion of the lease if you decide to purchase the building at that time.

Each lease through Morton Buildings provides 100% financing and covers the project from start to finish.

Taking advantage of this lease option is one way you can own your next Morton building for less!

At the end of the lease you have two options: 1. Purchase the building 2. Lease it for another period of time *Always consult a CPA or tax specialist regarding the benefits and tax deductibility of a lease for your farm.