High Clearance Sprayers can be financed via loan or lease from a number of different financing and leasing sources we work with.
Because of the potential long term useful life of the asset, there are lots of strong financing opportunities for used high clearance sprayers as well.
The key difference between new and used, at lease in the current market, is that new equipment can be financed at or near 100% of the cost of the asset in some cases, where most used high clearance sprayers are going to need a down payment from 10% to 30% of the cost of the asset.
The lower interest rate facilities are always going to be provided by bank and other like institutional lenders through equipment loan or lease financing programs. Higher loan to acquisition cost ratios for low interest rate financing may only be 75% in many cases, even if the lender and provide the ag equipment financing through a government insured financing program.
Leasing companies, on average, will provide higher loan to value or loan amount to cost rations than institutional lenders, but rates will also be higher. And because of the self propelled aspect of these assets and the intention by most buyers to retain the asset for a longer period of time, an operating lease may not provide any taxation advantages over a capital lease or regular equipment loan.
If you’d like to better understand what type of high clearance sprayer financing your business will qualify for, the best thing we can recommend or suggest is for you to give us a call so we can go through your situation with you over the phone and provide immediate recommendations as to the types of financing is going to be available to you at a given point in time.
Applying for a pre-approval is also a good first step if you haven’t got anything lined up yet. This gets the financing process out of the way quickly, providing you with the rates and terms you can secure ahead of time, allowing you to focus on making offers or bids without having to worry about if the financing will be available or what the monthly costs are going to be.