In the financing world, some loans have ambiguous names that give no indication as to what they’re used for... we’re looking at you, SBA 7(a) loans. Other loans are thoughtful enough to put their intentions right in their name, and equipment financing falls into this camp. As the name suggests, it’s financing that can be used to purchase equipment (anything from tractors to office cubicles).
Equipment financing allows you to keep your working capital in your business instead of sunk into equipment. And as an added bonus, it’s excellent for building your business credit.
Because equipment financing is a more secure loan than most, lenders are quite willing to work with you. This is why an equipment loan can often be secured with only our 15-minute application – no additional documentation needed. And since there’s fierce competition among lenders to fund equipment loans, you can be sure you’ll get the best rates and terms possible.
If you’re not fond of down payments and collateral, get ready for some good news. The equipment that you’re financing can act as your collateral, allowing you to secure a loan without emptying your wallet on a bunch of upfront costs. As long as you’ve been in business at least 12 months, have $50,000 or more in annual revenue, and have a credit score of 650 or higher, you should be good to go.
Our goal is to help small business owners have all the tools and knowledge possible about loans. We’ve connected to hundreds of banks to keep you up to date with the best loan offers and options for your business!