Equipment financing rates depend on the borrower's credit and cash flow, the asset's age and resale value, the loan amount, the term, the down payment, and whether the transaction is a loan, a lease, or SBA-backed financing.
Quick answer: Equipment rates aren't one number — they track the borrower's profile and the asset itself. New, liquid equipment prices better than older or specialized machinery. The snapshot below lists the asset types we finance; ask us for a current quote on yours.
Why the equipment itself matters
A lender is more comfortable with equipment that has a long useful life, clear title, and an active resale market. Highly specialized, rapidly depreciating, or older assets may require a shorter term, more equity, or stronger business support. See our equipment financing program.
Loan vs. lease vs. SBA
A conventional equipment loan builds ownership and uses the asset as collateral. A lease can reduce the initial cash outlay and may fit assets that are replaced frequently. SBA 7(a) or SBA 504 can be useful when equipment is part of a larger acquisition or long-term expansion.
How to obtain a meaningful quote
Provide the vendor invoice, asset description, age or model year, requested term, down payment, business financials, and desired funding date. Used-equipment deals may also require an appraisal or inspection. Financing kitchen or shop equipment specifically? See restaurant financing and medical practice financing.
Frequently asked questions
Do used-equipment loans have higher rates?
They may, depending on age, condition, remaining useful life, and resale market.
Can equipment financing cover installation?
Eligible soft costs may be included in some structures, especially when they're integral to placing the equipment in service.
Is a down payment required?
It depends on the asset, borrower, and program. Stronger collateral and cash flow may improve advance rates.
Can a startup finance equipment?
Possibly, but startups usually need stronger owner credit, equity, projections, industry experience, or additional support.