ELFA also predicted the majority of US firms will look at financing this year, which will lead to dThe number one trend in US leasing for 2014 will be that overall investment in the equipment and software market will reach an all time high, with an estimate that the market in the US will see $1.5tl (1.09tl) in new investment over the year as the economy improves, according to 10 predictions from the Equipment Leasing and Finance Association (ELFA) which represents the US leasing industry. iversity in the types of equipment financed.
In addition, the investment in new equipment will be in a drive to replace existing equipment as it ages or wears out. While 2014 will see a return of confidence in business, ELFA said that demand will still not be enough for the industry to invest in additional production capacity.
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Equipment financing demand will also expand due to the more stable nature of federal budgeting in 2014. ELFA tempered both this and the hope of a strengthening economy by reflecting that the global economy will still continue to be a factor in any growth in the US.
"External factors like the stagnant Eurozone, foreign oil prices and the cooling of a hot Chinese economy, which have combined to impede growth, will continue in 2014," the report said.
ELFA also said two other factors which will continue into 2014 will be the low interest rate environment and a favourable credit market environment for those looking to invest.
US leasing firms will also invest in improving web and cloud customer services in 2014, ELFA suggested, thus improving the customer experience.
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By GlobalDataHowever, the blot on the horizon could well be the continued debate over lease accounting standards which were described in 2013 as being "too burdensome and complex."
