What is agricultural equipment leasing?
Agricultural equipment leasing is a financing arrangement that allows a business to use qualifying equipment while making scheduled lease payments instead of paying the full purchase price upfront. Depending on the structure, a lease may offer end-of-term purchase, return, renewal, or fair-market-value options. It can help preserve capital for operating needs while supporting equipment acquisition or modernization.
What types of agricultural equipment can be financed or leased?
Commercial Funding Partners finances qualifying new and used commercial equipment used in agriculture, along with broader project components when eligible. Transactions may include equipment purchases and costs such as installation, engineering, freight, software integration, commissioning, and training. Eligibility is assessed through a confidential project review that considers the equipment, transaction structure, appraisal, and credit profile.
How much can I finance for an agricultural equipment project?
CFP offers customized equipment financing for qualifying projects from $250,000 to $300 million or more. Institutional equipment funding is available for larger projects beginning at $5 million. The appropriate amount and structure are determined through a project review that evaluates the equipment, eligible costs, required timing, anticipated cash flow, and overall credit considerations.
Can lease payments be structured around seasonal farm cash flow?
Yes. CFP can offer flexible payment structures designed to better match a business’s project cash flow, including seasonal schedules, deferred principal, step-up structures, balloon payments, and custom amortization when the transaction qualifies. Aligning scheduled obligations with seasonal revenue patterns may help an agricultural business manage liquidity more effectively while putting needed equipment into service.
Can I include installation and other project costs in the financing?
CFP may finance up to 100% of eligible project costs when a transaction fits its underwriting criteria. Beyond the equipment invoice, eligible costs can include installation, labor, engineering, software, freight, commissioning, training, controls, automation integration, taxes, and certain construction-related expenses. Combining these costs can reduce the need to draw from operating capital.
What is an equipment sale-leaseback?
An equipment sale-leaseback lets a business sell equipment it already owns to CFP and lease it back for continued use. The structure can unlock capital tied up in assets without interrupting operations. Businesses may use proceeds for working capital, growth initiatives, acquisitions, partner buyouts, or balance-sheet recapitalization, subject to equipment appraisal and credit review.
How long does the equipment financing review take?
CFP’s structuring specialists respond to equipment financing requests within one business day. The complete timeline depends on the transaction’s size, equipment scope, vendor arrangements, documentation requirements, and credit review. Larger or multi-vendor projects may require additional coordination, while CFP can also structure progress funding and milestone disbursements for extended installation or build periods.
What happens if another lender declined my equipment project?
A prior decline does not always mean a project cannot be funded. CFP offers a free, no-obligation Second Opinion Review™ that re-underwrites the transaction and considers alternative structures. A revised approach may address issues such as soft costs, specialized equipment, extended installation periods, multi-vendor requirements, or a loan request that exceeded another lender’s policy limits.