Should your company buy equipment if the demand is seasonal? Should you lease equipment for getting the work done? Can you use your equipment to get a loan? These are some of the questions that many businesses have to deal with, especially when it comes to production and manufacturing. There is no denying that equipment financing is a top priority for businesses in these sectors, and they often have to procure funds for the same when they expect the least. Thankfully, in Canada, you can work with companies Accord USA equipment financing that help clients in understanding how they can make the most of their requirements, while reducing the loan burden. Here are some things to know about equipment financing.
Getting finance in time
When it comes to financing equipment, it is important to first determine if buying or leasing makes more sense for your company. There are lenders who can offer equipment financing for up to $20 million, and if a company needs more, they also work with banks and other financers, to come to a more suitable arrangement. With equipment financing or lease, you can expect to get complete assistance for acquiring the loan. The term for such loans and leases is usually limited to five years or less, but you can always work with the lender, depending on the type of equipment you need and other aspects like use of the equipment in production.
Should you consider leasing from financial services other than banks?
While banks do offer loans for equipment leases and purchases, they often want to work with businesses with solid credit history and track record. This kind of requirements may not always work for small businesses that don’t always have details to prove their worth. With non-bank lenders, you can expect to get loans, even if you don’t have the necessary papers, or are new in the industry. There are lenders who can offer equipment lease solutions that are customized for your business, and you can expect to get a flexible repayment plan that doesn’t burden your expansion and growth plans for the future. Some lenders work with companies and enterprises that are operating on a smaller scale and have less than $1B in revenue.
When you need equipment on lease or have to buy for obvious reasons, do not delay the decision. Check for equipment financing options that are flexible and easy to manage.
