Top 4 Tips When Financing Used Equipment in 2024

Are you ready to take your business to the next level? Whether you’re expanding your towing fleet or growing your hardscaping enterprise, equipment financing is the secret weapon to business growth!

Financing used equipment provides you with a cost-effective option to own equipment outright by breaking down the equipment cost into affordable monthly payments. That being said, it’s important to know the facts before investing in used equipment.

In this article, you can explore how savvy entrepreneurs leverage financing to fuel growth, maximize efficiency, and leave the competition in the dust! Let’s dive in and uncover the four essential tips in 2024 for successfully financing used equipment.

Find a Lender with Equipment Expertise – It Matters

Equipment-specific lenders are more likely to finance used equipment because they understand the value it brings to your business.

Used equipment financing offers you the flexibility to choose terms that align with your financial capabilities. Financing companies often provide repayment plans that are customized to your needs, allowing you to manage your cash flow more effectively. This flexibility ensures that businesses can acquire the equipment they need without compromising their financial stability.

At Beacon Funding, we’ve been financing used equipment since 1990! As an AAA+ rated lender, you can get favorable approval terms & financing options.

• We Are Equipment Experts: With our strong equipment knowledge, we understand the value of your equipment and how it will help your business.
• Finance Used Equipment From Vendors and Private-Party Sellers: At Beacon Funding, we approve used equipment from both vendors and private-party sellers giving you more options to find the equipment that works best for your business.
• 7/10 Businesses Approved: Not only is Beacon Funding more likely to approve you, but our industry know-how gives qualified buyers competitive financing terms and conditions. To put this in perspective, traditional lenders approve 3/10 businesses for financing.

Consider Equipment Maintenance Needs

While purchasing used equipment might be more cost-effective, it may not provide the same level of post-sale support and service as new equipment.

Before making a purchase, ensure that the equipment undergoes a thorough inspection. Unexpected repair costs can be quite inconvenient!

• Not only will equipment in better condition be more dependable, but it’s also imperative for both financing approval and re-sale.

Evaluate if the Price Is Aligned With Fair Market Value

It is difficult to determine the market price for used equipment, which could lead to you overpaying for equipment.

Ask us! We can evaluate if you’re getting a good deal. With thousands of used trucks and equipment financed, we can recommend a fair price to you.

SCHEDULE A CALL WITH AN EXPERT

Don’t overpay for used equipment! Overpaying for used equipment likely negates the savings garnered from buying used and makes it more difficult to get financing approved should you go that route.

Look for prices in line with fair market value (FMV) since each piece of used equipment is unique, it can be difficult to find comparable prices. The best way to decipher FMV is to talk with an experienced financing specialist. They will be able to offer pricing guidance based on their experience with the market.

Finance Used Equipment That Holds Value Over Time

Leasing and financing terms are structured based on length and equipment value.

The longer equipment holds its value: The easier it is to get approved. Better terms may be offered for equipment with a longer value.

Finance Your Used Equipment with Beacon Funding

Beacon Funding offers financing options for used equipment in good condition, available at fair prices. You can apply quickly and receive approval within 24 hours. Plus, our financing programs have no set age restrictions