What is Equipment Financing?
Equipment financing as the name suggests is a loan option for purchasing new equipment for the business needs. This type of loan can fund you 100% of the cost of the new equipment. You are flexible to choose from tons of online lenders, according to your requirements.
Loan amount: Can get equipment loans for small businesses of up to $2 M.
APR: Interest rates can range from 8% to 30%.
Loan Terms: In this case, the loan term can be as long as 5 years.
Approval and Funding Time: Fast loan approval and funding can sometimes happen within 24 hours.
Collateral: No personal asset required, equipment can serve as collateral.
Different lenders have different requirements for lending money. But, there are some common minimum requirements that you have to prepare before getting equipment loans for small businesses.
The first requirement here is your credit score. The higher the credit score the lower interest rates you get and faster approval time.
Documents needed here are Copy of your ID’s, Business licenses and Financial statements. Sometimes you may also need to submit a business plan describing your business’s past, objective, plans for future growth. Some online lenders require a business to be operating for at least 2 years or with annual revenues of over $200,000.
- Instant cash funding for purchasing equipment.
- Minimum documentation required.
- It can get tax benefits on the loan interests.
- It can help to improve cash flow.
- Equipment can get old and worn out sometimes by the time loan is repaid fully.
- This loan can sometimes require down payments.
How and where to get equipment loans?
Pineapple funding is a one-stop solution for all your funding problems. You just need to follow 4 simple steps to get equipment loans for small businesses from us.
Fill your details, get a consultation call from us, select from a variety of offers provided by us and last apply for the loan online with your loan lending manager.