For those interested in equipment leasing and financing, we at Neal Business Funding focus entirely on the aspirations of small business owners and entrepreneurs that dream big. Some solutions we offer for construction equipment financing and leasing include:
Equipment Loans – At Neal Business Funding, we fund all kinds of construction equipment, with either small or no down payment for the loan. With loans starting at $25K, our equipment loan plans will be able to give you tax benefits, maintain good credit, and keep you up with the latest for in construction equipment. Some programs we offer for our heavy equipment leasing and financing include federal programs, sale and lease programs, and much more.
Equipment Leasing- We offer several leasing options including Capital Equipment Leases and Fair Market Value Leases. Depending on your long term plans for the equipment you may be interested in one of these options. Your loan officer can help you determine the best loan or lease for your company.
SBA Loans – SBA Loans work wonders for small businesses and companies wishing to expand. With lower interest rates, SBA loans not only can be used to purchase construction equipment, but also can support other necessary ventures such as real estate, hiring and managing worker compensation programs, and more. We also can approve for up to $5 million, typically have lower interest rates, and are a great way to begin any business.
A business line of credit – Credit lines give you immediate access to money without the potential for requiring collateral. For entrepreneurs beginning their business, we offer credit lines up to $150K, and those with existing companies can gain access to a credit line up to $500K depending on their generated revenue.
Capital lease – As the most common type of lease, capital lease permits businesses to purchase equipment and at the end of the contract sometimes for $1, and then own the equipment.
Operating lease – Operating leases are typically used for equipment with high turnover or necessary updates. With these types of contracts, you will need to return the borrowed equipment to the lender, then either purchase or lease new equipment. These leases tend to be the most popular for construction companies who like to replace their equipment every few years.
Financing construction equipment comes with a wide variety of advantages, depending on the type of loan you apply for and how you apply for your loan.
Pros of Financing
Immediate funding – Through financing or leasing construction equipment, you can obtain the equipment and capital you need to improve revenue growth, establishing a beginner’s start for any business.
Negotiable terms – Equipment loans often have negotiable terms attached to them when compared to traditional bank loans. When you work with an online lender, you’ll be able to have payment programs in place that allow you to decide how long you use the equipment and whether or not you wish to have ownership of the equipment at the end of the loan payment.
Improved credit – Any loan has the opportunity to make a positive impact on your credit score, but combining its flexible terms with fast money approval makes improving your credit a breeze.
Keep your cash- With financing or leasing you are able to keep your own cash in the bank for emergencies or other opportunities that may come up.
Cons of Financing
Potential for needing collateral – For business owners with a lower credit score, lenders may require collateral to be attached to the terms and conditions of the loan, which can often not include property or other equipment assets. With collateral, lenders will be more willing to make the loan or lease to you as their investment is protected.
Length of term – Just because the equipment doesn’t last forever doesn’t mean that the loan ends. You, as the business owner, might still need to make loan payments on the machines, even after it’s beyond use.
Construction Equipment Financing Experts
Why You Should Finance or Lease Construction Equipment
Construction companies run on their equipment. No matter the size of the business, whether it’d be a small business or a large corporation, construction workers need heavy equipment that reliably works and is up to date with government and state requirements to complete the tasks at hand. For the owners and manager of a construction business, managing workers, providing quality training programs, and serving as a liaison between clients already takes up a significant amount of time, energy, and money to operate. That’s why you should use equipment leasing and financing as an alternative to paying out of pocket.
Business equipment loans provide a quick, easily obtainable amount of capital to work from, where you can buy or lease the equipment you need for your business. 78% of US businesses rely on equipment financing, according to the Equipment Leasing and Financing Association. While banks will lend at least 80% to 100% of the funding for equipment, it doesn’t mean that the terms of the agreement will be flexible or that small business owners with credit lines attached to their business will be able to apply for them. That’s why our lenders at Neal Business Funding offer flexible financing terms for equipment leasing and financing, as well as numerous pieces of equipment such as:
- Skid Steer Loaders
- Dump trucks
- Concrete trucks
- Van leasing
- Steam rollers
Before making any business decision, consulting a professional for advice will significantly benefit you and your business. At Neal Business Funding, applying for a loan or lease will require information related to you and your business, including credit score, revenue and income, potential assets, and the age of your company to assess what loans and leases you can apply. Our company cooperates with small to medium-size businesses by offering affordable terms and low-interest rates. If you find yourself in need of Construction Equipment leasing or financing, then contact us to see what financing you can qualify for today!