Financing industrial equipment: leasing, loan or subsidy?

Quick answer. Three main levers to finance a machine or production line: leasing (deductible rentals, asset off-balance-sheet until the purchase option is exercised), a bank loan (you become the owner, depreciate the asset and deduct interest within the financial-charges cap), and a subsidy (France 2030, ADEME, Region), which lowers the net outlay. Caution: the historical "robotics" accelerated depreciation (article 39 decies B of the French tax code) only covered 2019-2020 acquisitions; in 2026, the exceptional deductions in force mainly target clean-energy machinery, not generic industrial equipment.

Acquiring significant industrial equipment uses a large share of an SME's financing capacity. The right choice turns on three criteria: the immediate impact on cash flow, the status of the asset (capitalised on your balance sheet or off it), and the real tax saving. No option is universally best: it all depends on your cash position, the asset's technology horizon and your tax regime.

At Hayot Expertise, we always frame this decision within an overall financing view, alongside working-capital financing and the global trade-off between your financing sources.

Equipment leasing is a rental with a purchase option. Each rental is deductible from profit, which is its main tax advantage. Under French GAAP, the asset stays off the lessee's balance sheet until any purchase option is exercised.

Advantages: smoothed cash flow, no heavy initial outlay, simple accounting (no depreciation to track), and great renewal flexibility when technology moves fast.

Limits: the sum of rentals generally exceeds the direct purchase price (lessor's margin); you are not the owner before exercising the option; and VAT on rentals is recoverable only if you are VAT-registered. Watch-out: an abnormally low purchase-option price can be reclassified by the tax authority, with part of the rentals added back.

With a loan, you own the asset from acquisition. You capitalise it and depreciate it over its useful life (straight-line or, where eligible, reducing-balance depreciation). You also deduct the loan interest.

Two tax and financial watch-outs:

• Financial-charges cap (corporate tax). Net financial charges are deductible only up to the higher of €3 million and 30% of profit before tax, interest, depreciation and provisions (tax EBITDA), under article 212 bis of the tax code. The excess is carried forward.
• Term and security. Banks often require a down payment and a term shorter than the asset's useful life; an equipment loan can be secured by a Bpifrance guarantee, which reduces the personal guarantee.

Depending on the project, subsidies can fund part of the equipment: France 2030 calls, ADEME aid for the ecological transition, regional schemes. They lower the net cost, but their review is long (often several months) and tied to specifications.

For tax, an equipment subsidy is taxable income, but its taxation can be spread (article 42 septies of the tax code) over the financed asset's depreciation: the cash-flow benefit is therefore not neutralised immediately. Note: the asset's depreciation base remains its acquisition cost; the subsidy does not reduce it. For ecological-transition or innovation projects, support from an innovation-financing specialist secures the structure.

This is where the most misconceptions circulate. The "robotics and digital transformation" accelerated depreciation for industrial SMEs (article 39 decies B of the tax code) applies only to assets acquired from 1 January 2019 to 31 December 2020 (with a limited extension for firm orders placed before end-2020). A robot or machine acquired in 2026 is therefore not eligible. There is, in 2026, no generic accelerated depreciation for classic industrial equipment.

What remains in force mainly targets clean energy:

• Clean-energy non-road mobile machinery (article 39 decies F of the tax code): a 40% exceptional deduction for acquisitions made from 1 January 2024 to 31 December 2026 (machinery running on gas, electricity, hydrogen or hybrid). Relevant in particular for construction and public works.
• Low-polluting heavy vehicles: an exceptional deduction maintained, with enhanced rates since the 2025 budget.

Practical conclusion: do not base any financing plan on a "robotics" accelerated depreciation in 2026. Check whether your equipment falls under a genuinely applicable "clean-energy" scheme, and otherwise rely on ordinary depreciation.

• Micro-enterprise: no depreciation or expense deduction at the real regime; leasing remains possible, but without the tax benefit linked to depreciation.
• High capital intensity: if your financial charges approach the article 212 bis cap, leasing (rentals not subject to that cap) can be more advantageous than borrowing.
• Mixed project: it is common to combine a subsidy on the eligible part and a loan (or leasing) on the remainder.

• No "robotics" accelerated depreciation in 2026: article 39 decies B is closed for current acquisitions.
• Leasing purchase option: an abnormally low option price risks tax reclassification.
• Financial-charges cap: anticipate article 212 bis if you stack several loans.
• Subsidy lead times: several months of review; do not stall your investment on aid not yet notified.
• VAT on leasing rentals: recoverable only if you are VAT-registered.

We regularly advise industrial SMEs on this choice. Our reading in three points. First, leasing remains relevant for a young or cash-tight company, and for an asset prone to fast obsolescence. Second, a loan is often preferable for a strategic long-term asset, as it combines depreciation and interest deduction; just watch the article 212 bis cap. Third, a subsidy is worth targeting for eligible projects, despite the long review: a refusal commits nothing, while approval durably lowers the net cost.

A warning, however: we still see directors convinced of a "40% accelerated depreciation on robots" in 2026. That scheme is closed. Building a financing plan on an expired benefit leads to a tax disappointment. It is better to reason on ordinary depreciation and check, case by case, eligibility for the "clean-energy" deductions.

Hayot Expertise recommendation. Before signing, compare the three routes on a single table: cash-flow impact, ownership, tax saving, flexibility. Have your accountant validate the eligibility of any exceptional deduction and the treatment of a subsidy (article 42 septies spreading). A structuring error is quickly paid in recovered tax.