Equipment Financing
Your Equipment. Keep Your Cash
Up to 100% financing on new or used equipment — the asset secures the loan, keeping rates competitive. Approvals in as little as 24 hours.
Already own equipment and want to borrow against it? See Equipment-Backed Lending →
Financing amount
$5K – $5M+
Approval speed
24–48 hours
Typical rate range
6–30% APR
What Is Equipment Financing?
Equipment financing lets your business acquire machinery, vehicles, technology, or other capital assets without paying the full purchase price upfront. The equipment itself serves as collateral — which means lower credit thresholds than most unsecured loans and predictable fixed payments matched to the asset's useful life.
Unlike a line of credit or merchant cash advance, equipment financing is purpose-built for asset acquisition. The lender pays your vendor directly. You receive the equipment immediately and begin making fixed monthly payments over the financing term.
Structures range from traditional loans (you own the equipment from day one) to leases (lower payments, flexibility to upgrade) to sale-leasebacks (unlock capital from assets you already own).
How Equipment Financing Works
Four steps from application to equipment in your hands.
Choose your equipment and get a quote
Select the equipment you need and get a detailed quote or invoice from your vendor. The quote is your primary document — it drives approval speed and financing terms.
Apply with basic business documentation
Complete a simple application with your equipment quote, 3 months of bank statements, and basic business information. Alternative lenders make same-day decisions; banks and SBA lenders take longer.
Review your financing options
Review your personalized financing options and select the payment structure — loan vs. lease, term length, down payment — that fits your cash flow and tax strategy.
Lender pays vendor; you get the equipment
We pay your vendor directly. Your equipment is delivered and starts generating revenue. You begin fixed monthly payments on the agreed schedule.
Types of Equipment Financing
Different structures to match your acquisition strategy and cash flow needs.
Equipment Loans
Traditional loans to purchase equipment outright. Fixed monthly payments over a set term, ownership from day one, and equity that builds with each payment.
Equipment Leases
Use equipment for a fixed period at lower monthly payments. At term end: return it, purchase at fair market value, or for a predetermined buyout amount.
Sale-Leaseback
Sell equipment you already own to a financing company, who then leases it back to you. Unlocks capital tied up in owned assets while maintaining full use.
Equipment Line of Credit
A revolving facility specifically for equipment purchases. Finance multiple pieces over time up to your approved limit — no separate application for each acquisition.
Equipment We Finance
From heavy machinery to office technology — financing across all industries.
Construction
- Excavators
- Bulldozers
- Cranes
- Loaders
- Backhoes
Transportation
- Semi-Trucks
- Trailers
- Delivery Vans
- Fleet Vehicles
- Specialty Vehicles
Manufacturing
- Production Lines
- CNC Machines
- Robotics
- Assembly Equipment
- Packaging Machinery
Medical
- Diagnostic Machines
- Imaging Equipment
- Surgical Tools
- Monitoring Systems
- Lab Equipment
Technology
- Servers
- Computer Systems
- Networking Infrastructure
- Software
- Security Systems
Restaurant
- Commercial Ovens
- Refrigeration
- Food Prep Equipment
- POS Systems
- Kitchen Appliances
How Equipment Financing Compares
Equipment financing is purpose-built for asset acquisition — here's how it stacks up against other business funding options.
| Equipment Financing | Term Loan | SBA Loan | Line of Credit | |
|---|---|---|---|---|
| Loan amounts | $5K – $5M+ | $25K – $5M+ | $50K – $5M | $10K – $500K |
| Typical APR | 5–30% | 6–25% | 6–8% | 8–25% |
| Term length | 2–7 years | 1–25 years | 10–25 years | 6 mo–3 yrs, revolving |
| Approval speed | 24–48 hours | 3–10 days | 30–90 days | 1–5 days |
| Min. credit score | 550+ | 650+ | 680+ | 620+ |
| Collateral | Equipment only | Often required | Required + PG | Secured or unsecured |
| Down payment | 0–20% | 0–20% | 10–30% | None |
| Best for | Specific asset purchase | One-time capital need | Long-term expansion | Ongoing working capital |
Real-World Example
$150,000 excavator — construction company, strong credit, 5-year term
Cash Purchase
Upfront cost
$150,000
Working capital preserved
$0
Monthly payment
$0
Total financing cost
$0
Time to equipment
Immediate
Bank Loan
Down payment
$30,000 (20%)
Working capital preserved
$120,000
Monthly payment
$2,413
Total interest
$24,780
Approval time
3–4 weeks
Equipment Financing
Down payment
$0
Working capital preserved
$150,000
Monthly payment
$3,076
Total interest
$34,560
Approval time
24–48 hours
Revenue opportunity: new excavator unlocks $50K/month in additional projects at 25% margin
Equipment financing costs $9,780 more than the bank loan over the term, but preserves $150,000 in working capital and gets the excavator in 48 hours vs. 3–4 weeks — weeks during which those new contracts could close with a competitor. The opportunity cost of waiting almost always outweighs the incremental interest cost.
Benefits & Considerations
Understanding both sides helps you make an informed decision.
Benefits
- Finance up to 100% of equipment cost with minimal upfront investment
- Predictable fixed monthly payments for easier cash flow planning
- Equipment serves as its own collateral — no additional assets required
- Section 179 deductions let you deduct the full equipment cost in year one — even while financing it
- Build equity in business assets with each payment
- Faster approval than most bank or SBA products
Considerations
- Down payment of 10–20% may be required for limited credit history
- Equipment may become obsolete before the financing term ends
- Maintenance and repair costs are your responsibility throughout the term
- Some agreements include prepayment penalties for early payoff
- UCC-1 lien will be filed on your business credit report
Industry Applications
How different industries use equipment financing to grow capacity and win more business.
Construction
Finance excavators, bulldozers, and cranes to win larger projects without depleting cash reserves. Payments can be structured to align with project-based revenue cycles.
Also consider SBA loansTransportation
Finance trucks, trailers, and specialty vehicles with terms matched to the equipment's revenue-generating life. Seasonal payment options available for cyclical operations.
Or explore term loansHealthcare
Medical practices finance diagnostic and surgical equipment with extended terms that match the long useful life and stable revenue of specialized medical assets.
SBA loans for medical practicesManufacturing
Finance production lines, CNC machines, and robotics to increase capacity. Payments are structured to reflect the increased output the equipment creates.
Pair with a line of creditQualification Requirements
Basic Requirements
- 3+ months in business
- 550+ credit score
- $8,000+ monthly revenue
- U.S.-based business
- Equipment quote from vendor
Required Documents
- Equipment quote / invoice
- 3 months bank statements
- Basic business information
- Driver's license
- Voided business check
Tell us what you need, your credit score, and time in business — we'll show you what you qualify for and what it will cost.
Get a Free EstimateFrequently Asked Questions
Free Tools to Help You Prepare
Run the numbers before you apply.
Business Valuation Calculator
Estimate what your equipment is worth and how it factors into your collateral position.
Business Loan Calculator
Model your monthly equipment loan payment at different amounts, rates, and terms.
Asset-Based vs. Unsecured
Compare asset-backed equipment financing rates to unsecured and MCA alternatives.
Financial Ratios Calculator
Calculate the ratios lenders use to evaluate your borrowing capacity before you apply.
Ready to Finance Your Equipment?
No hard credit pull. Tell us what you need — we'll show you what you qualify for and match you to the right lender in minutes.