What is an equipment financing loan?
An equipment financing loan provides capital to purchase business equipment, with the equipment commonly serving as collateral. The borrower makes scheduled principal and interest payments over an agreed term and generally owns the asset after the loan is repaid. For qualified used equipment, CFP can structure financing from $250,000 to $300 million or more, including eligible related project costs when the transaction fits.
Can equipment dealers offer financing without funding it themselves?
Yes. CFP’s vendor financing programs let equipment dealers offer customer financing under a white-label structure without using their own balance sheet. CFP can provide preliminary financing reviews, calculators, customer-facing support, and a dedicated finance specialist. This helps dealers present a more complete purchase solution while CFP manages the underwriting, documentation, and funding process.
What types of used equipment can be financed?
CFP finances qualified used commercial equipment across many capital-intensive sectors, including manufacturing, construction, healthcare, transportation, agriculture, material handling, food processing, energy, and technology. Eligibility is reviewed based on the equipment type, condition, remaining useful life, marketability, transaction structure, and the customer’s credit profile. Imported equipment and multi-vendor projects may also be considered.
How much can a dealer customer finance?
Commercial Funding Partners structures equipment financing from $250,000 to $300 million or more per project. Larger institutional equipment funding is available for projects starting at $5 million. Available capacity depends on the equipment, borrower strength, project economics, and structure. A transaction can include a single qualified asset, a fleet, a production line, or a multi-vendor acquisition.
Can financing include installation and freight costs?
Yes, eligible project costs beyond the equipment purchase may be included within the financing structure. CFP can consider installation, engineering, software integration, freight, commissioning, training, project management, controls, automation integration, taxes, and certain construction-related costs. Including these items may preserve the customer’s working capital rather than requiring a separate cash contribution for project completion.
What financing structures are available for used equipment buyers?
Depending on the transaction, CFP can offer equipment loans, capital leases, operating leases, tax leases, FMV leases, master lease programs, progress-payment facilities, and sale-leasebacks. Payment structures may include seasonal schedules, deferred principal, step-up payments, balloon payments, and custom amortization. The objective is to align the financing structure with the customer’s cash flow and equipment-use needs.
How quickly can a dealer receive preliminary financing feedback?
Vendor partners can receive same-day preliminary financing reviews from CFP. A preliminary review helps identify likely structure, required information, and potential next steps early in the sales process. Final approval and funding timing depend on the completeness of the application, credit review, equipment details, documentation requirements, and any complex elements such as multiple vendors or installation milestones.
What if a customer was declined by another lender?
A prior decline does not necessarily mean the transaction cannot be financed. CFP offers a free, no-obligation Second Opinion Review™ that re-underwrites the opportunity from scratch. The team may identify alternative structures, such as including soft costs, extending construction periods, consolidating vendors, using progress payments, or considering a sale-leaseback, that better fit the project.