Why Cash Accounting Law Firms Lease—Even When They Have the Cash

Law firms that operate under a cash accounting model often assume leasing is only necessary when funds are tight. If there is plenty of cash on hand, why not purchase equipment outright?

The answer comes down to flexibility and control. Leasing is not a fallback option. It is a financial strategy that lets firms align capital deployment with tax planning, liquidity needs, and operational priorities.

Liquidity Creates Opportunity

Even for firms with strong reserves, tying up large sums in upfront equipment purchases can limit options elsewhere. Leasing keeps that capital accessible throughout the year.

With a leasing model, law firms can:

• Avoid major one-time cash outlays

• Maintain liquidity for other initiatives

• Upgrade systems without waiting for budget cycles

This becomes especially important for firms using a cash accounting model, where spending decisions directly affect taxable income.

Timing Matters More Than Ever

In Q4, many firms are looking for ways to reduce taxable income before year-end. Leasing provides a built-in mechanism for doing just that. You can continue making monthly payments or, if it supports your tax strategy, pay off select leases before December 31 and convert them into capital purchases.

The point is not whether you have the money. The point is whether it makes sense to spend it now or later. Leasing keeps that decision in your hands.

Client Highlight: Trusted Partnership Supports Strategic Growth

A Controller at a firm with 94 attorneys described CoreTech as “extremely professional and incredibly helpful throughout the entire capital financing process.” Over time, CoreTech has become “an excellent business partner” that helped the firm grow strategically. This relationship reflects the value of a leasing provider who understands both financial discipline and long-term planning needs.

How CoreTech Can Help

CoreTech builds leasing programs that support the goals of cash accounting law firms. Whether you are refreshing your IT infrastructure or investing in new systems across multiple offices, our team helps you preserve cash flow and retain control over capital decisions.

Here is how we help firms like yours:

• Lease essential equipment without draining reserves

• Time lease payoffs based on year-end cash position

• Align technology investments with tax strategy and budget planning

• Access white-glove support and lease portfolio insights year-round

Leasing is not just about spreading payments. It is about giving your leadership team more control, better timing, and the ability to act when it matters most. To learn how leasing can strengthen your financial strategy, contact CoreTech Leasing at info@coretechleasing.com.