top of page

A Full Guide To Equipment Financing: How to Finance New & Used Heavy Equipment For Contractors In US

Updated: Feb 8, 2020

Heavy equipment financing can be hard if you are not working with the right heavy equipment financing company. This type of business financing allows small construction, logging & forestry, plumbing, HVAC, asphalt & concrete & many other industries finance new & used heavy construction equipment, regardless of having good or bad credit. BFC provides commercial equipment financing & business loan solutions up to $500,000 in as little as two business days & 60M in as little as two weeks. BFC enables business owners to save money by not having to purchase the equipment upfront, allowing them to invest in their business or simply keep higher reserves for other projects.




How To Know If My Business Qualifies For Heavy Equipment Financing As A Certified Construction Contractor In Florida, North Carolina, South Carolina, Virginia or Anywhere In The US?


When most people talk about heavy equipment financing, what usually comes to mind is construction equipment or large equipment that is used for digging, excavating, grading, land clearing, real estate development or some heavy work task related to moving of dirt, asphalt & materials within a construction job site. Most types of equipment used in heavy equipment will be dozers, bobcat loaders, excavators, backhoes, skid steer loaders, track loader, asphalt pavers, concrete compactors, heavy cranes, crawlers, draglines, direction drills, heavy mining excavators, logging & forestry, road pulverizers, tele-handlers.


Despite having the funds to pay for the heavy construction equipment you need, it's highly recommended that you go with BFC's Equipment Financing Solution. Having cash flow reserves is crucial for every business to stay afloat, especially within the construction industry. Make sure to apply for our award winning commercial equipment financing solution today.


Generally speaking, compact & heavy equipment financing is used to purchase equipment that will perform heavy duty tasks & cost above $10,000 or so. Construction & logging contractors know exactly how it feels to be around heavy construction equipment, since this will perform heavy duty operations in the construction job site. The obvious reasons for contractors to finance heavy equipment is due to the price tag construction equipment generally goes for, especially when you are looking for the right equipment. Without the right equipment, you will not be able to complete the job within the timeframe & budget that you had initially set. Having the right logging equipment helps finish projects before time, cut back on staffing expenses, decrease general equipment wear to keep value & lower your overall expenses. The result of doing quality work on time leads to satisfied customers, which leads to more contracts for your business.


The ideal customer for heavy equipment financing would be any business owners who are in the process of purchasing new or used commercial heavy equipment. who prefer to keep cash reserves instead of making a full payment for the cost of the equipment. Construction equipment can be somewhat expensive, which is why working with the right equipment financing will lead to lower costs in the long run.



 

New & Used Heavy Equipment Financing: How Can My Business Qualify for Construction Equipment Financing or Leasing With Good or Bad Credit Anywhere In The US?



Give our staff a call to make sure that your business qualifies. Just like every other type of business loans, heavy equipment financing is only for business owners who meet certain requirements.


1. Credit - Having a FICO credit score above 635 and having in business for at least 2 years is always a great indicator, however this is not the case for every construction business.


2. Cash Flow - Assuming your credit is not the best, however, your cash flow revenue is high(compared to the cost of the equipment being financed), your business can qualify for construction equipment financing on the grounds of your cash inventory.


3. Down Payment - If you don't have perfect credit or great cash flow revenues, you might still be able to get approved based on your down payment. Fr example, if you are looking to finance heavy equipment worth $60,000 & you come in with $10,000, that could increase the chances of being approved for your equipment loan.



 

Compact & Heavy Equipment Purchasing: Should My Construction Contractor Business Consider Leasing vs Financing Equipment For Heavy Equipment?




One of the most crucial factors for the purchase of your heavy equipment is to decide if you will be leasing or financing this equipment. Most business owners will prefer a lease to avoid the hassle of owning equipment, and some businesses will prefer to finance equipment to fully own the equipment. A lease is somewhat similar to renting equipment. You make monthly payments until the end of the lease & determine if you would like to keep it or return it. Some leases do not show up on your balance sheet. When financing equipment through our equipment loan, this will in effect make you the owner of the equipment, and this will appear in your balance sheet.



 

Fast & Affordable Commercial Equipment Financing For New & Existing Business Owners: Cost & Terms for Your Contracting Business.




Once your business has contacted our staff and you have been qualified of our heavy equipment financing solution, you can find the equipment from any vendor or seller & we will finance, it's that simple. The best thing about our equipment loan is that you will receive the most affordable, flexible & reliable terms & rates for your industry, time in business & credit.


Financing Amount

BFC is able to finance up to 100% of the cost of the equipment, helping your business keep cash flow reserves to a maximum. Depending on the amount of the transactions & other credit factors, the amount will vary from 50% to 100%. Having challenged credit, weak cash reserves and if you are financing an outdated piece of equipment, it''s highly likely you will have to put a higher down payment.


Term Lengths


The repayment length for your heavy equipment financing will depend on the type of equipment your business needs. The average life-span of your finance agreement is around the projected lifespan of the equipment. The term very rarely will go above the useful life of the equipment.


Interest Rates


Because your construction equipment serves as collateral, this allows us to take risks that other lenders are not willing to make. Generally speaking, heavy equipment financing rates are as low as 8% or as high as 28% for more challenged credit business applicants. We're able to offer 5-7% interest rates for qualified applicants who meet the required criteria. Other things that can affect your interest rate is your personal credit score, time in business, cash flow revenues, equipment, & down payment for the heavy equipment. The stronger the credit & cash flow volumes, the lower your interest rate or cost of funds might be.


Financing Speed


Heavy construction equipment financing is as fast as your business requires it to be. We do not have a long line of excessive documents or required collateral sign offs in order to issue an approval. BFC is able to provide equipment financing for heavy construction equipment up to $500,000 in as little as 2 business days as as much as 60M in as little as 2 weeks for qualified applicants. Make sure you have picked the heavy equipment before you contact BFC with all of your required documents.


Reliable Heavy Equipment Financing: Business Financial Documents Required


Did your business qualify for heavy equipment financing ? Awesome! Now you'll need to gather all of the necessary paperwork before completing the equipment financing process. Here are the documents that your business will need to apply for BFC commercial equipment financing solution:


- Driver's License

- Voided Check

- Financial Statements - Most Recent Bank Statements

- Business & Personal Tax Returns

- Equipment Quote


The amount of documents & paperwork that your business will have to submit will depend on the type of equipment you are looking to finance.


 

Where To Get Affordable Heavy Equipment Financing For Your Construction, Logging Or Asphalt Business In The US?


If you've already decided the heavy equipment financing is the best solution to purchase your construction equipment, it's time to apply. BFC is helping business owners save time & money by offering a price-match guarantee for qualified business applicants. We're a small local equipment finance lender that offers financing for heavy construction equipment. If you do qualify, you should probably take it, since this is the most affordable option in the market.


Compact & Heavy-Duty Commercial Equipment Financing Tax Benefits


Construction companies that finance heavy equipment receive several benefits that help your bottom line. 90% of corporations in the United States use this trick to save money at the end of the tax year through Section 179C law. This allows business that finance or lease equipment to deduct the full cost of this equipment for up to $1 million in the year of purchase. The best part is that equipment will not be depreciated year after year, you will receive tax savings instead.


Used & New Commercial Equipment Financing: The Bottom Line For Your Business


This is all of the information your business needs to start the process of applying for heavy construction equipment financing. BFC has a long term client commitment promise, which means that we will help your business before, during & after the financing of your equipment. We love our customers & take great pride into helping your business grow.


The Following Services Are Offered Only In The US:



Alabama, Alaska,  Arizona, Arkansas, California, Colorado, Connecticut, Delaware, Florida,  Georgia, Hawaii, Idaho, Illinois, Indiana,  Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi,  Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey,  New Mexico, New York, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania , Rhode Island,  South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, Wyoming.


Make sure to check any of the links below if you have any questions




8 Comments


Very happy with our new excavator!! We generally buy from wells fargo but I like working with BFC much more.. They have better customer service and specialize in financing construction equipment for start ups like me.. When you are in the market for an equipment loan or business equipment financing solution, BFC is your answer.. many contractors know them and enjoy working with them, that matters a lot.. They have helped thousands of small contractors in Florida and we appreciate it, I was working with another company before and they used BFC as well.. It is good to know that there is a company out there that work hard to help us grow. They can finance your excavator , dum…

Like

These guys went above and beyond to our help our contracting drilling & construction business.. We had a few hiccups and needed a bobcat or john deere loader ASAP and did not know where to turn... Luckily a local contractor that i've worked with for years recommended BFC for an equipment loan or equipment financing service.. We filled the paperwork required and in 3 days we had our brand new bobcat skid steer loader and a used john deere excavator ready to go and get picked up.. I was hoping to make a purchase for construction equipment but not this year, we were able to receive all of the benefits and we look forward to continue working with the fo…

Like

jessica martin
jessica martin
Apr 13, 2020

thanks for sharing !!

Like

Tim Delayne
Tim Delayne
Apr 09, 2020

I called a few equipment financing companies and only BFC called me back after I mentioned I had a few issues with my credit cards in the past.. When I compared all of these options after 3-4 weeks of research, without a doubt, BFC has the best offer and benefits for equipment loans and equipment financing services. They were professional and worked fast to make sure that we had our equipment ready for our projects.. If you are a construction or logging contractor and are looking for an equipment loan or for a business equipment loan, BFC is your best option. I don't really put any reviews out there but I really wanted to share my experience with them, as…

Like

i love my brand new john deere excavator !! I purchased 2 bobcat skid steer loaders with them last summer and I came back for more equipment needed for some jobs we have in Florida & Texas.. They were recommended by a friend and they did not let me down.. I did not expect that kind of service from an equipment financing lender to be honest, most of them are rude and not helpful.. On the other hand, these guys at BFC were extremely helpful, knowledgeable, and actually did more than than the basics of helping us with our equipment loan. They explain everything and make sure that you are taking the right decision when it comes to receiving the…

Like
bottom of page