You can apply for equipment financing through a conventional lender, such as a bank or credit union. These institutions will typically offer lower rates and higher funding amounts; however, they also have stricter standards to qualify for financing.
Newer businesses or businesses that are still building a strong credit history can find more financing opportunities with online lenders. These lenders are more likely to approve businesses deemed a higher risk, but you’ll also potentially pay higher rates.
That said, equipment and auto loans were the No. 1 type of business financing application most likely to be approved, according to the Federal Reserve Banks’ State of Small Business Credit Survey. Specifically, these loans had an 87% approval rate.
When you’re ready to apply for equipment financing, most lenders need the following information:
- Information about you and your business
- Bank statements and/or tax returns
- Information about the equipment you want to finance.
Details will vary depending on the type of equipment, but can include:
- Condition (i.e., new versus used)
- Number of miles or man-hours the equipment has been operated
- Seller information (i.e., private seller or vendor)
Whether you’re financing an expensive piece of equipment that falls outside of your price range or the majority of your capital is invested elsewhere, a business equipment loan is an invaluable tool. Let us connect you with some of the best equipment financing companies to find the right funding option for you.
Complete our simple and secure application, and we’ll pair you with lenders for equipment financing.
Applying is fast, easy — and most importantly — won’t impact your credit.