Category Archives for Construction Equipment Financing
Concrete Equipment Financing
“Concrete Equipment Financing For New And Used Assets”
Concrete equipment financing is available for both new and used equipment.
For used equipment, we can even look at licensed dealer sales as well as private sales.
With respect to private sales, the equipment financing process can take a bit longer as a security registration search needs to be performed to make sure that the title being provided is free and clear of any past obligations that could have been registered against it.
The key with all used concrete equipment financing is going to be the age of the asset and its condition for use going forward. As long as a financing or leasing company can feel confident that there is more useful life in the asset as compared to the lending term being considered, there is a good chance that construction equipment financing can be arranged.
Because of the amount of capital that can be required to operate a concrete company, the ability to secure equipment financing can be a critical component for the success of the business.
And while financing by itself is important, the structure of financing may be just as key to any equipment financing decision you are looking to make.
For instance, if you are looking to get financing for concrete equipment where there is generous early payment options, you are likely going to be better off considering a term or demand loan as compared to an equipment leasing facility.
If near term cash flow is a concern, then we can look at structuring financing into an operating lease with as large an end of term balloon payment as can be arranged.
There are many other examples of how specific business requirements can be tailored into a concrete equipment financing facility.
Concrete Equipment Financing Can Also Adjust For Seasonality
Depending on where your business is located, your concrete operations may be seasonal and as such you may only have seasonal cash flow to support the repayment of an equipment financing facility.
If that is the case, we can look to acquire a financing facility that will consider seasonal payments on a quarterly, semi annual, and even annual basis.
Concrete equipment financing options can also consider tax implications and on or off balance sheet requirements as well.
For new equipment, financing can be secured at or near 100% of the cost of the asset.
Leverage for used equipment can be as high as 90% as well providing considerable capital and cash flow savings on most deals.
So regardless of what your requirements are, or credit profile, I suggest that you give us a call so we can quickly assess your situation and provide concrete equipment financing options for your consideration.
Landscaping Equipment Financing
“Do You Need To Finance New Or Used Landscaping Equipment?”
Landscaping equipment financing can be secured by both new and existing businesses in Canada and the U.S.
This form of construction equipment financing is available both in the form of an equipment loan and an equipment lease.
There are a wide variety of assets that can fall under the category of Landscaping equipment and most will be eligible for equipment financing of some sort. If you’re not sure if the piece of equipment you’re looking to acquire is eligible for equipment financing, then please give us a call so we can quickly determine if the asset in question would fit into any of the available programs we work with.
The most common form of equipment financing for landscaping equipment is an equipment lease which can be in the form of an operating or capital lease. An operating lease must have at least 10% of the outstanding purchase price still outstanding at the end of the lease term with and option to purchase, while a capital lease will require the lessee to purchase the asset at the end of the lease term for a nominal purchase price such as a dollar.
The longer your company has been in business with profitable annual results, the higher the percentage of financing you’re going to be able to secure for your landscaping equipment with some assets being financed at or near 100% of their purchase price. The amount of financing available for start ups and new companies is going to be more limited and more dependent on personal credit and net worth of the business owners due to the fact that the business is too new to have established its own credit or created any appreciable amount of retained earnings to offer as a guarantee to the landscaping equipment financing facility being sought.
Get Landscaping Equipment Financing That Meets Your Needs
Landscaping equipment financing solutions can be acquired in as little as one day for amounts under $40,000 and up to one week for larger amounts.
Equipment loans through banks or other institutional lenders will tend to take longer due to the fact that most banks will only finance equipment through government sponsored insurance programs that require a fair amount of paper work to qualify for and administer. If you have a strong credit profile and the time required to apply, an equipment loan can be one of the lowest cost forms of financing available anywhere on the market.
Crane Financing
“Do You Need To Finance a New Or Used Crane?”
Crane financing and Crane equipment financing can be secured on both new and used equipment from both Canadian and U.S. lending sources.
This type of construction equipment financing is provided either in the form of an equipment loan or equipment lease.
Equipment loans for the most part are only provided through banks or institutional lenders, and are only available to applications that have an “A” credit profile.
While equipment leases are also available to “A” credit business, the spectrum of leasing companies in total tends to cover off a much broader spectrum of credit backgrounds including those with poor to bad credit.
For used crane financing, the key to getting financed with the best rates and terms is going to hinge on the age of the asset, its condition, and its estimated remaining useful life. The more heavy duty the crane or related crane equipment, the more likely it can be financed. Rates and terms for used equipment can vary considerably and will depend to large degree on the amount of used crane equipment that is available in the market now and projected into the near future when a loan or lease would be in effect. Especially with weaker credit profiles, the asset as security is going to be more important to the lender or leasing company, so the less amount of available supply of used equipment, the higher the confidence level the equipment financing company will have in being able to predictably be able to liquidate the asset in future if required.
Get Crane Equipment Financing That Meets Your Needs
With new crane equipment, it may be hard to improve upon the manufacturing financing programs that are being offered as they typically provide excellent if not below market financing rates. The focus on new crane financing would be if you were able to get a significantly different cash purchase deal that would require financing from another source. In these situations, either an equipment loan or lease could be explored, depending on the financial and credit profile of the applicant.
A crane equipment leasing option can provide you with a number of different considerations with respect to lease structure to fit your cash flow and potentially your taxation situation as well. Its best to review these different strategies with your tax adviser and/or financial planner to make sure that any specific type of leasing structure will be able to deliver the intended benefit(s) to you.
For more information on crane financing or if you have a unit picked out and need to get equipment financing in place, I suggest that you give us a call so we can provide a free initial assessment of your crane financing options and get all your questions answered as soon as possible.
Earth Moving Equipment Financing
“Do You Need To Finance a New Or Used Earth Moving Equipment?”
Earth Moving Equipment Financing can typically be financed through construction financing equipment such as an equipment loan or equipment lease.
For new equipment, many times the best deals on the market are through the manufacturer direct or sponsored financing programs which may even provide a discount in cost of financing under what you could other wise find in the market place. The only thing to be careful of with these types of offers is an increase in acquisition cost, especially with the major brands. So while you may be paying very little on interest rate, what is the related premium you’re paying on the asset?
In recessionary periods, this premium is going to be small if anything as there is high competition among manufacturers to move stock through their system. But when the economy is doing well, and people are more brand conscience, there can be a substantial premium built into the price.
For larger pieces of equipment there is much greater competition for lower interest rate business as there are more A lenders available for amounts over $500,000.
Regardless of credit profile, there are going to be different lending or leasing programs available to cover off the different slices of the market as every financing company strives to crave out their own unique competitive advantage.
Get Earth Moving Equipment Financing That Meets Your Needs
With used earth moving equipment financing, there can be considerable interest amount equipment financing sources for items even older than ten years, especially anything that is more heavy duty in nature with a long potential useful life. The stronger the resale market is for used earth moving equipment at any one time, the better the potential deal you can secure in terms of rates and terms of repayment as the lender or lessor risk will be lower in these situations.
Earth moving equipment loans tend to only be available for A credit situations for well established businesses. Equipment leasing can cover off a much broader range of asset ages and credit profiles due to the increased ability of the lessor to manage risk through asset ownership compared with a lender only having a registered interest in a financed asset that is owned by the borrower.
If you have to acquire earth moving equipment and want to better understand what equipment financing options may be available to you, I suggest that you give us a call so we can quickly assess your situation and provide you with relevant earth moving equipment financing options for your immediate consideration.
Scissor Lift Financing
Do You Need To Finance a New or Used Scissor Lift?
Scissor lift financing is provided by a number of our construction equipment financing sources in Canada and the U.S.
Finance options come in the form of equipment loans and equipment leases, both with their own features to consider.
Equipment loans are mostly offered through banks and represent lower cost forms of financing that require strong credit and business financial profiles to qualify for.
Equipment leasing is more broad based in that there are leasing companies and programs the collectively cover the full gambit of credit from the very best to the very worst.
So regardless of your personal or business financing profile, there is likely going to be an equipment financing solution of some type available for you.
Used scissor lift financing is also available, although the effective interest rate compared to new scissor lift acquisition is likely going to be higher with a shorter potential repayment term. However, this is not always the case as this type of asset, if taken care of, can last a long time, and the rates and terms offered on some used equipment will rival what would be available for a new asset.
As long as the equipment is viewed to still have a considerable amount of useful life remaining, there will likely be good financing options available.
Get Scissor Lift Financing That Meets Your Needs
In situations where companies need to refinance owned assets to generate more cash flow for the business, items like scissor lifts can be good candidates for sale and leaseback programs whereby the asset is sold to a leasing company in return for an operating or capital lease. While sale and lease back transactions can be an effective strategy to raised needed capital, they can be more difficult to arrange and require a solid view of the go forward operation to make the leasing company comfortable in the company’s ability to pay back the debt obligation over time.
If you’re just starting to shop the market for a new or used scissor lift, I suggest that you give us a call so we can get you pre-qualified for equipment financing in order to get the financing process out of the way and to allow you to go through the buying process knowing exactly how much money you have to work with and the related impact the repayment terms will have on your cash flow.
Or, if you currently have an accepted offer or bid and need scissor lift financing right away, we can help get an equipment loan or lease approved in one to five business days, depending on the equipment and your financing profile.
Click Here To Speak To An Equipment Financing Specialist For All Your Scissor Lift Financing Needs.