Equipment Loan A focal Point

 Equipment loans are a sort of lifeline to any business owner. They can mean the difference between success or failure when it comes to running a small business. But you may wonder what the benefits of equipment loans are and how to get equipment loans from Havelet Finance Limited.

Equipment loans are loans to buy business equipment. Businesses will often have the need to purchase, replace, repair, or upgrade various kinds of equipment to process, manufacture, or produce their product. Equipment can include such things as medical and dental medical machinery; restaurant ovens, cookware, tables and chairs, linens, and catering supplies; phone systems; computer monitors, printers, copiers; furniture, tools, vehicles (for commercial use), specialized machinery, industrial equipment, and more. All of this equipment is essential for your business to run at maximum efficiency and maximum productivity. But what do you do when your equipment is old, worn, and needs to be replaced? Often you have the choice to either purchase new equipment outright or lease.

What are the criteria that lenders look for before deciding to approve equipment loans?

Loans or Leases?

When considering equipment loans, know that you can also look into leasing the equipment. Here are some things to consider about leasing versus getting an equipment loan.

Equipment Leasing

Equipment Leasing typically does not require a down payment. This is especially beneficial for those businesses with little to no available capital. If a down payment is required, it is typically relatively small compared to what a traditional loan down payment would look like.

With a lease, you can finance around 100% of the cost of the item or items plus around 20–25% of the so-called “soft costs.” Soft costs include any taxes or delivery charges. Leasing gives your small or online business a greater amount of flexibility. You can return the item at the end of the lease or you have the option to purchase it for a small amount once the principal of the loan has been paid in full.

Equipment Loans

Each lender will have different terms, but in general, with a loan, you can finance around 80% of the total purchase price of the item. When choosing to buy your equipment and finance through a loan, you own the item from day one. A down payment of around 20% is generally required for most small business equipment loans. Havelet Finance Limited collateral for equipment loan is a worded promissory note from the borrower.

Relate with Havelet Finance Limited for all related Equipment Loans/ financing.

Website: http://www.havelet-finance.com/
Email: credit@havelet-finance.com