What is an equipment finance broker, and how has a broker helped your business?

An equipment finance broker may not be the first person an entrepreneur seeks out to add to their professional network. But, when an entrepreneur needs financing to help secure equipment, a finance broker can significantly help a business.

To help small business owners better under the role of an equipment finance broker, we asked business leaders and entrepreneurs about how a broker has helped their business.

Here are seven definitions of an equipment finance broker, and how they help small businesses. read more

The decision to finance equipment must address one key decision: new or used?

Every business owner evaluates the pros and cons of new versus used equipment. But, every business owner isn’t an equipment financing expert.

To help in making the decision of whether to buy new or used equipment, we turned to other business owners and equipment financing experts for guidance.

Here’s what they had to say about new vs. used business equipment financing.

Low Financing vs. Overall Less Expensive

This is up to the business owner. Sometimes if you purchase new equipment, the manufacturer will offer 0% down or very low financing. The benefit is new equipment at a very low financing cost. Used equipment has its own benefits as well. It’s likely going to be much cheaper than new equipment and even though the financing cost will likely be higher, the savings between buying new vs. buying used could outweigh the financing cost. read more

For many entrepreneurs, it can be overwhelming to think about all the elements needed to get your business off of the ground. Oftentimes, things like rent, furniture, technology, etc. add up and require a huge initial investment on the owner’s part. Because of this financial burden, many look to small business equipment loans to help give them a boost!

Although these financing options may seem tempting, it is important to ask the right questions before signing any paperwork. That is why we sat down with seven small business leaders and asked them what you should know before moving forward with any equipment loan. Keep reading to learn the tips and tricks from people who were once in your shoes! read more

When you think of financing equipment, what do you think of? Forklifts? Cranes? You probably consider all kinds of heavy machinery, but there are other types of equipment you can finance that a small business may use.

To understand what some practical pieces of equipment are that small businesses can finance with an equipment loan, we’ve asked 9 thought leaders to share their recommendations.

Computer Hardware and Software

My company has financed computer hardware and software as well as furniture.  We are not an equipment intensive business, so there are not a lot of opportunities for us to finance equipment.  We have paid cash for computer equipment and furniture in the past, but decided to finance the last time around.  Financing made the decision to go with higher end computers and furniture an easier choice. Of course they are more expensive, but financing them allowed us to spread the cost out over time.  read more

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When a small business wants to obtain new equipment, there are a couple of different ways to do so. You have the choice to either lease or finance an equipment acquisition.

For many years, the two methods were very different from an accounting standpoint. However, due to recent changes to the Generally Accepted Accounting Standards, financing and leasing are now quite similar. Although the differences are subtle, understanding them allows you to make the best decision when your business needs equipment. read more