Many businesses have found business equipment financing to be the easiest way to buy equipment for his or her company, whether they're a new company, or a well established corporation, equipment leasing is the financing option range of most.
Equipment funding can be very easy to apply for and get approved for. It is a credit score based mode of funding, but there are a lot of specialized equipment leasing companies like Leasefunders. com. Leasefunders. com specializes in high risk businesses. Therefore if you are a start up business or a business owner with bad credit, they have programs for you.
The same goes if you are a well established business. Any equipment leasing company can get you financed if you have amount of time in business and good personal credit. Don't want to give a personal guarantee? If you are a sizable enough business, with time in business, established business credit and the owner has good credit. You may qualify for a corp only lease. These leases don't require a personal guarantee, but the banks will pull the credit of the owner. So there is no way to get approved for a corp only lease if you have poor credit.
Some equipment loses its value as soon as you buy it. By leasing this kind of equipment, you can lease it for a set amount of time and then have the option to give to the bank and get a newer one.
What's needed to get approved for equipment financing?
Another reason businesses like equipment leasing rather than bank loans is the ease of getting approved. Generally, you need to publish an application, set of equipment you want to buy and the last 3 months of your bank statements.
Once you start engaging in lease figures over $15, 000 for new businesses and over $50, 000 for established businesses. The equipment leasing company will require a backup of your last year's business tax return. If you are a set up business, they will want one year of your personal tax return. If you have bad credit you will need to transmit more financial information. Sometimes up to 6 months of your business or personal bank statements and a tax return. If your credit score is absolutely low you may need to provide additional collateral. Additional collateral can be equipment you already own, not on a lease or a loan but totally owned by you, real estate, and some equipment leasing companies will even look at earrings and bonds.
If you are a new business. You should submit an exec summary and discuss your experience in the business, any contracts you will fulfill with this equipment and basically something that will show the bank your venture isn't as high risk for instance an of the other start up business rent request.
If you are trying to get started on a restaurant you want to post more than an exec summary. Start up restaurants are considered such high risk that the credit requirements change and some banks will not even consider them. You should discuss your comprehensive experience, your great location, and any marketing you have done that will make your restaurant a success.
Thinking about applying for start up business loans no credit check? Speak to LeaseFunders. com 888-308-7160
