An equipment loan is a type of asset-based loan that specifically serves to finance the purchase of different types of equipment in different industries such as vehicles, machinery or technology. It is usually an easier type of financing to qualify for because since it is asset-based, other factors such as credit score, length of time in business, etc are not as important.

No. There are two main types of equipment financing: Equipment loans are where the equipment is collateral or security for the loan. The other type of equipment financing is leasing where the equipment remains under lease for the duration of the contract.

To access equipment financing through our platform the basic requirements are: to have at least 6 months of having incorporated the business, to have a business bank account, to have a minimum credit score of 450 points and a minimum monthly income (verifiable) of at least $15,000 monthly or $180,000 annually. You should keep in mind that you will probably need to make a down payment which will depend on the risk factors determined for the transaction but can range from 10% to 20%.

The type of equipment or machinery on which financing can be obtained must be equipment that meets two basic conditions: 1. Its depreciation rate must be higher than the term of the financing agreement and 2. It must be an easily saleable machinery, i.e., it must not be very specific or tailor-made equipment or machinery for a specific client’s needs.

Basic documentation is required: our single signed application, an equipment quote and depending on the amount of the transaction additional documentation may be requested.

Once you have signed our unique application and we obtain your documents, you will get different offers in less than 24 hours and one of our specialized advisors will work with you to facilitate and explain the process. Once you decide which option to take, you will get the financing in less than 3 additional days.

The fundamental difference between an equipment loan and an equipment lease is the ownership of the machinery. In the first case, the title becomes the business owner’s once the financing is paid off and, in the second case, when the payment term is over the business owner has two options: either renew the lease with new equipment or purchase the title to the equipment. In both cases you must keep in mind that the machinery or equipment is held as collateral for the transaction.

There are thousands of equipment lenders and thousands of different products on the market, how do you know which one is right for your business and your needs? That is what we have done in Capifinders, we have simplified the process, so that with a single application you can access multiple financing options with a network of lenders and financial companies previously chosen, without printing a single document, accompanied with specialized advice, without leaving your home or business and in less than 24 hours.