Money you spend on equipment is treated differently to other
costs in your business.
When looking at your Profit and Loss
statement you'll notice that the cost of buying equipment is
spread over the period you will use it. This give you a truer
representation of the profitability of your business over the
period the equipment will be adding value for you.
You'll still have to pay for it up-front of course - so you'll
see (and have to plan for) a big hit to your cashflow when the
payment is due.
As an example, if you buy a machine with a serviceable life of
3 years, your P&L shows one third of the cost each year
for three years whereas your Cashflow shows one big lump in
the month the payment is due.