Manufacturing Equipment Financing and Leasing

Special Funding for Manufacturing Equipment Leasing

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Manufactures of consumer products or industrial manufacturers have a unique problem, that is staying ahead of the extraordinary demand they are experiencing. A consumer that has been locked down due to COVID, changing buying habits and an explosion is personal income have all contributed to this dilemma for any business that makes a product, processes or packages food or makes industrial supplies to ship here in the US or abroad. That dilemma in boardrooms across America is the reality that they need to expand their production capacity which means more equipment, more workers and more base product to build with. At Equipment Leases we can’t help with the souring raw materials or hiring personnel but we sure can jump in to help finance any and all new equipment needed for production lines.

For the past 8 years we have provided the capital for hundreds of clients to purchase new or used manufacturing equipment such as:  funded millions of dollars in CNC machines, lasers, cutters, wrapping machines, mills, presses robotics and more. Our leasing specialists are familiar with the top names in the vendor industry and those companies that are are on the cutting edge of innovation building better, more efficient and higher capacity machines to sell into this channel.

The decision to finance is a big one. And you are probably asking yourself any one of a dozen questions like these: Should you finance or lease?, What kind of manufacturing equipment can you lease?, How do manufacturing equipment financing and leasing work?, What is the process for applying for a lease and will I qualify for the machines I need right now? All great questions that we have answers for and simple solutions to take the guesswork out of the process. Give us a shot and see how easy leasing equipment can be using Equipment Leases Inc as your finance partner.

Grow Your Business With Manufacturing Equipment Leasing

Today manufacturing has gone through many evolutions and innovations since the industrial age began. From steam to electricity, the assembly line to today’s innovations of manufacturing automation and robotics changes have been numerous.

Leasing allows your business to replace old, tired, or broken equipment with more updated equipment. This will help your business grow by keeping you competitive in the market.

It is harder for small to medium manufacturing plants to stay on top of the newest innovations and improvements. The automated and robotic manufacturing machines are very costly. Small or medium businesses may not have enough capital to purchase those machines.

Equipment Leasing is happy to help small to medium companies who do not have the money for the most recent advancements. With our lease, they can get the updated equipment they need.

If you own a small to medium business you can grow your business with manufacturing equipment leasing. You may just find yourself in any one of the following scenarios.

Maybe your forklift trucks are old and tired and you would like new forklifts. Manufacturing equipment leasing can help you get that equipment even if you have less than stellar credit or you are short on cash.

Are your lathes or milling machines not as efficient as they should be? Are they holding production back from reaching its full potential? It is time you chat with us about manufacturing equipment financing and leasing.

Grinding machines not grinding the way they should? Grinding to coarse or to fine can be a problem when you want precision. Need new updated grinding machines? Then leasing may just be the answer you are looking for to help grow your business.

One other new item that can be added to your manufacturing with leasing is robotics. Robotics can perform tasks that will allow your employees to concentrate on other tasks that are part of the manufacturing process.

Whatever the equipment is that your company needs, leasing provides many benefits that will help you grow your business. The money saved on lower down payments and lower monthly payments can be used to expand, purchase supplies, hire more workers,  or advertise your products.

The equipment you can lease with our manufacturing equipment financing is updated newer equipment that will be more efficient, boost your production, and save you money. And, there will be less downtime due to equipment breakdown or failure.  If the equipment does break down, depending on your lease terms, you simply call us and we send someone to fix it. Maintenance schedules do not have to be a hardship, we can plan for those within your lease contract.

Leasing or Financing?

Leasing is an exceptional opportunity for small and medium manufacturing companies to get the manufacturing equipment and systems they need to stay competitive in today’s market.

Leasing from Equipment Leases is the best way to go when leasing equipment for manufacturing. Our lease is one of the best deals out there. It requires a modest down payment, monthly payments that fit your financial plan, and what we call buck out. Buck out is when the terms of your lease are up; the equipment is yours to own for $1.00. Our lease is an easy way to get the equipment and robotics you need to bring your manufacturing into the 21st century.

This option saves you money from taking out loans for equipment; it is an expense, so it will not affect your credit rating negatively. Having automated manufacturing allows you to lower your payroll while boosting your productivity and efficiency.

There are many benefits to leasing the equipment you need.

Lease vs Buying Manufacturing Equipment

Leasing versus buying manufacturing equipment is something every business should consider. Especially, when deciding whether to do manufacturing equipment financing.

Ask yourself these questions:
  1. What are the benefits of leasing over buying equipment?
  2. Are there any disadvantages to buying manufacturing equipment?
  3. How will this decision affect your business?
  4. Will this decision affect your credit rating?
Leasing will provide several benefits over buying. These benefits include:
  • A lease is an expense therefore it can be deducted from your total income as an expense.
  • Your business can pay a smaller down payment with leasing than buying.
  • With leasing you do not need a perfect credit rating.
  • The monthly payments are smaller with a lease than a financed buying contract.
  • It saves the working capital of the business for other needs, upgrading, or expanding your business.
  • When negotiating the lease turns you can ask for maintenance and servicing of the equipment to be part of your lease agreement. Installation of the equipment can also be negotiated in the lease.
  • There is a huge advantage to businesses with less than perfect credit ratings. And, those businesses which are strapped for cash for a large down payment.
  • Often the lease can contain terms if asked for to purchase the equipment at the end of the lease term. Or, can you switch equipment as needed before the end of the lease term can be negotiated into the contract.
  • With leasing you do not have to sell off older equipment in order to get new equipment.
  • The newer equipment you lease can save your business on operating expenses such as energy and down time due to breakdowns. It will also boost your production.
But are there any disadvantages to leasing over buying?

There really is only one disadvantage. And that is that the equipment cannot be used as an asset when you are trying to get a loan for the business.

Whether manufacturing equipment loan or a loan for upgrading the building most finance companies want to know what your assets are in order to determine how much they are willing to loan you. With a lease that equipment is not considered an asset but an expense because you do not own that equipment. That means when financing it cannot be used as collateral on a loan.

How will leasing affect my credit rating? It won’t affect your credit rating as it is a business expense and not a loan. If your credit rating is not as good as it should be, leasing is a great opportunity to have the equipment you need now, and then own it at the end of the lease with our buck out option.

New & Used Manufacturing Equipment for Lease

What types of manufacturing equipment do we provide for manufacturing equipment financing?

Here are several samples of the equipment and systems we lease for manufacturing:

We have not listed many others here; if you have questions; contact us today to learn more about equipment and lease terms. Remember, Equipment Leases is the only one that has Buck Out Leasing in our manufacturing equipment financing. Buck out is an option that when the lease ends you can purchase the equipment for a buck. That’s right a buck. Want to know more or have questions about the Buck Out option, contact us, we are happy to answer any question you might have about this program.

Manufacturing equipment loans vary from lender to lender. Each lender has different interest rates, terms, percentage of down payment, and more. Some lenders will want stellar credit ratings, some will want to know that you have assets to back the loan. Always read the loan agreement carefully as some do not have an option that allows to hold off paying during seasonal slow months or other hardships.  

When you use a loan that equipment becomes yours and you are responsible for the upkeep and maintenance on it. You also cannot trade it for an updated model that you need until the loan amount is low enough to add more to it by refinancing.

Leasing on the other hand can have that option put in the lease where you can upgrade at any time without penalty. You also do not have to have the equipment you no longer need sitting around waiting to be sold. That equipment simply goes back to us. You can negotiate your lease deal much easier than negotiation a loan.

And, we also finance office furniture, lighting for offices and warehouses, and more as well as manufacturing equipment.

Manufacturing Equipment Financing Process

Here is how it works. It is a simple easy form to fill out; it only takes a few minutes. Attach bank statements (3 months), equipment invoices and copy of DL and we can approve the same day. It does not matter if your credit is excellent or poor. We have a solution that will work with your company.

We have eight funding programs that fit any business needing capital to grow; especially small to medium businesses.  These programs cover funding opportunities for projects between $100,000 up to $50,000,000. These leasing programs include small or medium businesses without an actual financial presentation.

Some of the funding programs include:
  • The application-only program is ideal for any project between $100k and 250k. It requires a few bank statements, a short application, and a personal FICO score above 680. Larger projects up to $50-milion, well-prepared financial records will accelerate the funding of your larger project.
  • Our other business lending programs include our asset-backed business loans. These asset-backed loans are ideal for sales companies. Companies spending millions on new inventory orders that tie up large amounts of cash can take advantage of this program. You send us the invoices we pay for the inventory and you pay us when it sells.
  • Our program for poor or bad credit companies is second to none. If your company has poor credit, bad credit, or no credit this program is the one you want.

We invite you to explore any of our many funding programs that may work for you in your current situation. At Equipment Leases we fully understand that every company is unique with their own set of challenges to overcome, we have all just gone through a major upheaval with the pandemic so congratulations to you and your management team for the hard with, creativity and innovation that was required to get you though a really tough period.  We would appreciate the opportunity to earn your business and become your finance partner not only now but as you continue to grow and expand your operation. We would love to hear from you anytime.

Just complete the short form at the top of this page and you will receive an immediate reply to your request and have the opportunity to discuss in detail your equipment needs and financial situation.  

Remember Equipment Leasing is your best choice for manufacturing equipment financing and leasing. We can help you grow your business. We work with many industries including:

  • Manufacturing
  • Construction
  • Cannabis
  • Food packaging
  • Food processing equipment
  • IT equipment leasing
  • LED Lighting & Installation
  • Material handling equipment
  • Medical, dental & healthcare
  • Mining equipment
  • Office & TI equipment
  • Oil & gas equipment
  • Power generation equipment
  • Renewable energy equipment
  • Retail equipment
  • Transportation equipment
We look forward to helping your small or medium company grow even bigger.

Equipment Leasing Success

Case Study

Manufacturing Equipment Lease $4,250,000

We successfully financed a Weingarten Forge Press that was a 1979 model chassis.  The press was mothballed in the late ’80s and sat idle for at least 30 years.  We funded the initial purchase totaling $750,000.  We then funded the refurbishment and upgrade of the press to current standards for an additional 3.5 million.  All new robotics, furnace equipment, hammers, safety gear, shipping, installation, and training came to an additional 1.750 million.  All in the refurbished press was 6.0 MM.  A new Weingarten Press from Germany is over 20 Million that met our client’s specifications and production requirements, and it would take two years to wait time to acquire.  Both presses would work 24 hours a day, six days a week, and throw off 40 MM in revenue.  We provided financing on a used project that saved the client several million dollars.  We love a challenge and will work hard to fund projects Banks won’t touch.