We’ve been working on flexible asset-backed financing solutions with our clients for nearly thirty years. We understand the frustration growing companies can experience when they pursue financing solutions through traditional lenders. We are focused on helping our clients acquire the assets they need to continue to thrive. Our team works with each company to find the best financing solution for their specific needs. Our strong reputation, deep expertise, and superior service help us establish a relationship of mutual trust with each and every client.
Here are just a few reasons companies come to us to support them as they grow their business:
- We understand your business.We offer deep enterprise expertise for businesses in equipment-heavy industries.
- We’re invested in you.We approach asset-backed lending as a sound and innovative financing vehicle which enables us to provide growth capital to strong management teams with solid business models in need of revenue-producing (or cost-saving) assets.
- We appreciate your business is unique.Just having industry expertise isn’t enough. We take the time to understand all the ins and outs of your business.
- We’re flexible.We are not restricted to formulaic, cookie-cutter transactions. We take a private equity-like approach to investing backed by the collateral and security of equipment financing.
- We’re focused.By targeting our energies on transactions with in-house equipment professionals between $1MM and $10MM, our mission is to support businesses not sufficiently served by traditional financing companies and banks.
- We offer turnkey solutions.When access to inexpensive capital is limited, our equipment financing provides a less capital-intensive solution for business owners to acquire equipment. When business cycles are strong, our equipment financing activities increase with the growth of businesses.
What is commercial equipment financing?
If the term “commercial equipment financing” is new to you, it’s a relatively simple concept. Simply put, commercial equipment financing is a method of extending capital to businesses for the purpose of acquiring equipment. Financing methods include but are not limited to leasing, loans and sale-leasebacks (where the collateralized existing equipment is used to raise cash for additional purchases). In short, commercial equipment financing can assist your business in financing up to 100% of the new or used equipment you need for your business.
Why might your business finance equipment?
- Acquire a needed asset while preserving your capital.
- Gain flexibility in capital asset inventory management.
- Develop additional cash flow management strategies.
- Better manage technological advances.
- Ability to expense the cost so that it can be passed through to another party.
Preserve capital rations through off-balance sheet treatment of expenses.
Which businesses finance equipment?
- Companies that need long-life, business essential assets.
- Corporations – both public and private.
- All industry sectors.
- Governments and related organizations including hospitals and educational establishments.
- Middle market businesses that are underserved by more traditional financing solutions.
How does equipment financing and leasing work?
Equipment financing is a loan taken out by your company for the purpose of purchasing equipment necessary to grow your business. The loan is secured by the equipment and is a good option when you as a business owner don’t want to use your existing capital to purchase the equipment.
- 100% financing of equipment cost.
- Flexibility in structuring loan to work with your current cashflow.
- Ability to refinance existing equipment for working capital needs.
Equipment Leasing is, in essence, an extended rental agreement under which the owner of the equipment (the finance company) allows the user to operate or otherwise make use of the equipment in exchange for periodic lease payments. When the lease matures, the user may have the option to purchase the equipment for its then fair market value, renew the lease, or terminate the agreement and return the equipment to the owner.
- Off balance sheet financing allows for the deduction of depreciation and interest by the company.
- Flexibility in lower periodic payments helps cash flow.
Is financing or leasing the right option for me?
The answer depends on your unique situation. Leasing is a good option if you are a business that has limited capital or who needs equipment that requires upgrading every 3-4 years, as it preserves capital and may provide you more flexibility. Financing the equipment can be a better option for established businesses or for equipment that has a long usable life for the company.
To find out more about our equipment financing options. contact us for your complimentary consultation.