Equipment Financing

The machine earns while it pays for itself

We pay the vendor and take a first lien on the equipment. Because the machine itself stands behind the transaction, the rate is lower than unsecured borrowing of the same size and the term can be stretched across the asset’s working life. New and used both qualify, private-party purchases included, and the paperwork is lighter than a bank’s because the collateral is doing the work.

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$15,000 – $1,000,000Equipment value
24 – 72 months, matched to the asset’s working lifeTerm
Decision in one to three business days, vendor paid on signatureFunding speed

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Terms

Every number on this product, in one place

Equipment value: $15,000 – $1,000,000
Cost: An interest rate, reduced by the security in the asset
Repayment: One fixed payment each month
Term: 24 to 72 months, matched to the asset’s working life
Deposit: Nothing down on most new equipment; 10 to 20 percent on older used units
Funding: Vendor paid directly, usually within two business days of signing

In practice

Where an advance earns back what it costs

Trucks, kitchen lines, machine tools, medical equipment — anything with a resale market and years of service left.

The equipment is the security, so no separate lien is placed on your receivables.
Used and private-party purchases qualify, subject to an inspection or a valuation report.
Soft costs such as delivery, installation and the first year of maintenance can be rolled in.
Terms are set against the asset’s useful life, not against an arbitrary calendar.
Section 179 treatment may apply to the purchase — confirm it with your accountant, not with us.

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Eligibility

Whether this is worth the rest of your morning

Time in business: 6 months or moreCounted from the day the business began trading, not the day the entity was filed.
Monthly revenue: $15,000 or moreGross deposits into the business account. Consistency across four months counts for more here than one unusually strong month.
Business bank account: RequiredIt must be open, active, and held in the trading entity’s own name — a personal account will not do.
Personal credit score: 550 or aboveWe review credit and we publish the floor so nobody wastes a week finding out. Above 550 it is one input among several, and deposit consistency is what carries the decision.
Location: United StatesWe fund entities formed and operating inside the United States. We fund in all fifty states from our office on Water Street.

Clearing all five is what gets the file read properly. It is not an offer — we turn business away every week, and would rather do it in an hour than in a fortnight. We do not fund gambling, adult entertainment, firearms dealing, cannabis at any point in the supply chain, or any activity unlawful under federal or state law.

Detail

Specific questions about the advance

Can I finance equipment I am buying privately?

Yes. Private-party and auction purchases are both fundable. We will want the seller’s bill of sale, the serial or VIN, and in most cases an independent inspection before funds are released.

What happens at the end of the term?

The lien is released and the equipment is yours outright. There is no residual payment and no balloon on a standard finance agreement.

An advance is not a loan — so what is it?

No, and the distinction is legal rather than a matter of marketing. The transaction is a sale. A stated dollar amount of receivables you have not yet collected passes to us, we pay a discounted price for it today, and we recover the stated amount out of settlements as they land. Because nothing was lent, the agreement has no rate attached to it, no APR and no due date — those are features of debt, and this is not debt. Anyone selling an advance while calling it a loan either does not understand the product or is relying on you not to.

How does a factor rate work?

Multiply once and you are finished. An $80,000 advance at 1.28 means we buy $102,400 of your receivables, and the $22,400 sitting between those two figures is what the money costs you — all of it, with nothing else added anywhere. That gap does not respond to time. Deliver in six months or in eleven and it is still $22,400, which is precisely the opposite of how interest behaves on a balance you are carrying. You can work the total out on the back of an envelope before you sign, and the envelope will be right.

How much does my credit actually count for here?

The floor is 550, and we publish it rather than making you find out after you have sent four months of statements. Below 550 we cannot fund an advance and we will say so on the first call. Above it, credit is one factor among several and seldom the deciding one — the bank account decides it. We do pull credit during underwriting, so nobody should be surprised when it happens.

Other structures

If an advance is the wrong shape for this

A term loan, a revolving line, equipment paper, an SBA file or factoring may cost you considerably less. We fund all six, so there is nothing in it for us to push you toward the expensive one.