A buyer or leaser be? small business traits. (Business Briefs).

Small companies that use leasing as a strategic financing option have several traits in common: Most are either partnerships or corporations; have more than $250,000 in assets; have been in existence for less than 20 years; employ managers that have a least five years' worth of experience; and are not among the firms with the very strongest credit ratings.

These are among the findings from a study by The Equipment Leasing and Finance Foundation (ELA), an Arlington, Va.-based non-profit association representing those in the equipment leasing and finance industry.

"The study implies the motivations behind the lease versus buy decision of small, privately held firms," said Lisa Levine, the ELA's executive director. She indicates there is a strong correlation between the characteristics of the small firm mostly likely to lease equipment versus purchase, and the top three reasons to lease identified by a study of larger firms.

She said the results show that small firms that are "younger and growing would find that the advantages gained by leasing equipment help them compete." Overall, equipment leasing is estimated at $244 billion in 2002, the organization added.

More information about leasing, including questions to ask before signing a lease, can be found at www.LeaseAssistant.org; the ELA's Web site is www.elaonline.com.