Heavy Equipment / Machinery Loans for Manufacturing Startups

With the rapid advancement of technology, it is crucial for businesses to constantly upgrade their equipment to keep up with the latest trends and innovations. However, machinery and heavy equipment can be costly, and many businesses may not have the capital to make significant upfront investments. That’s where custom equipment financing solutions from Customers Commercial Finance come in. These solutions offer a range of financing options, including leasing, loans, and equipment rental, allowing manufacturing startups to acquire the necessary equipment without straining their cash flow.

Customers Commercial Finance provides manufacturing startups with the best of both worlds: the industry knowledge, responsiveness, and personal service of a specialty finance company, along with the financial strength, stability, and low cost of funds of a growing bank. Our team has deep industry knowledge and decades of experience in building solutions that work for you.

We have experience in:

• Automation
• Fabrication & Assembly
• Inspection/Quality Control
• Lathes
• Milling Machines
• CNC Machines
• Welding Machines
• Plasma Cutters
• Waterjet Equipment
• Stamping Press Equipment
• More

We offer a full array of quality products for transaction sizes ranging from $250K to $40MM and terms of 3 to 10 years with fixed and floating rate options. Our products include equipment loans and leases (TRAC, Tax, Capital, Sale-leaseback, Refinancing). Customers benefit from a consultative lending experience unlike most in equipment financing. Our expert financing professionals bring an intimate understanding of our markets’ products, processes, and challenges.

Benefits of Equipment Financing

1. Buy equipment without depleting your working capital;
2. As technology advances and new equipment becomes available, stay up-to-date and remain competitive;
3. Spread out payments over time to comfortably manage your money.

Equipment Financing Options

There are several types of equipment financing options available to manufacturing businesses. The most common ones include equipment loans, SBA loans, and equipment lines of credit. Each option has advantages and considerations, so it’s essential to understand the differences before deciding.

Equipment Loans

Equipment loans, also known as equipment financing loans or equipment term loans, provide a lump sum of money to purchase the machinery you need. Unlike leasing, with a loan, you own the equipment from the start. The loan amount is typically based on the cost of the equipment, and you make regular payments, including interest, over a predetermined term.

Equipment loans are usually secured by the equipment, meaning the lender can repossess the equipment if you default. This provides security to the lender, often resulting in lower interest rates than unsecured loans. Equipment loans are a good option if you plan to use the equipment for an extended period or if you prefer to own the equipment outright.

Lines of Credit

Equipment lines of credit are revolving credit facilities that allow you to access funds for ongoing equipment needs. Similar to a business line of credit, an equipment line of credit provides you with a predetermined credit limit. You can borrow against this limit as needed and make payments only on the amount borrowed.

Small Business Administration (SBA) Loans

The Small Business Administration (SBA) offers loan programs designed to help small businesses, including manufacturing companies. SBA loans typically have more favorable terms and lower interest rates than traditional loans. They can be used to finance equipment purchases and other business needs.

In Conclusion

Don’t let the high equipment cost impede your manufacturing business growth. You can acquire the necessary machinery with the right equipment financing options from Customers Commercial Finance. One of our knowledgeable bankers would be delighted to help you through each step of the process. Get in touch with us today.