What is Equipment Financing?
Equipment financing works differently from most business loans. The machinery, vehicle, or tech you're buying serves as its own collateral, which means approvals move faster and rates run lower than unsecured options. APRs currently sit between 6% and 25% depending on your credit and what you're purchasing. New equipment from established manufacturers lands at the low end. Used or specialized gear runs higher.
Terms go up to 7 years, and some programs cover 100% of the purchase with nothing down. You start using the equipment immediately while spreading the cost over time. Our team handles the underwriting and finds the right structure based on what you're buying, what you can put down, and where your credit stands.
How do I qualify for Equipment Financing?
Key qualification requirements:
Credit Score
600 or above. The equipment itself serves as collateral, which gives you more flexibility than unsecured financing.
Time in Business
1 to 2 years preferred. Startups with strong personal credit may still qualify.
Equipment Quote or Invoice
A quote or invoice from the seller so we can structure the right terms.
Business Financials
Recent bank statements and tax returns to verify cash flow.
Rates and Fees
Equipment financing rates currently range from 6% to 25% APR. Your credit score, the type of equipment, and the loan term all factor in. New equipment from name-brand manufacturers qualifies for the lowest rates. Used or specialized equipment costs more to finance.
Down payments range from 0% to 20%. Putting more down reduces your monthly payment and total interest cost. Some programs require no down payment at all for qualified borrowers.
Watch for documentation fees, UCC filing fees, and end-of-term buyout costs on leases. We break down the full cost structure before you commit so you know exactly what you're paying over the life of the agreement.
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