How To Get Easy Financing For Material Handling Equipment

While warehouses and constructions sites might be the biggest users of material handling equipment, businesses of all sizes may find themselves needing to acquire material handling equipment.  Examples include:

• Conveyor systems
• Skid Steers
• Lifts
• Cranes
• Reach trucks
• Forklifts
• Pallet trolleys
• … and much more!

Purchasing this equipment outright is simply not feasible for most companies.

Luckily, there are a number of equipment leasing companies out there today that can help you to get all of the material handling equipment you need for a manageable monthly fee.

The process is simple, and there are many benefits, as we’ll discuss below.

What is Material Handling Equipment Financing?

In a finance lease, the lessee has operational control over the asset. In most cases, they’ll also have a degree of monetary risks and rewards linked with changes in the asset’s value. Typically, an equipment leasing company is the legal owner of the asset for the term of the lease.

Fair market value leases, finance leases, and sale-leaseback are just a few examples of different asset financing methods that can be used for material handling equipment and vehicles, which are essential for the stability and expansion of your company.

Benefits of Material Handling Equipment Financing

There are a number of reasons why material handling equipment financing makes sense:

Opportunities to Upgrade

Financing can help you obtain all the material handling equipment you need without going over budget if you need to buy a wide range of new equipment or are looking to upgrade to higher-end equipment and technologies. Instead of having to pay for everything at once, financing enables you to purchase the necessary equipment over time in smaller installments.

Reduce Risk

Financing, as opposed to the outright purchase of material handling equipment, helps reduce the possibility that you’ll be trapped with outdated technology. You won’t ever have to worry about being forced to use outdated equipment that is expensive to maintain, less productive, and may reduce your ability to compete in your sector. This is because financing equipment makes it simple to switch to the newest models.

Lower Upfront Expenses

Equipment financing is a practical option that can help your company save money on up-front costs. You can increase your working capital and free up cash that can be utilized for other business costs, like expansion, renovations, and marketing.

How Do You Get Financing For Material Handling Equipment?

You’ll be pleased to know that the process of getting financing for material handling equipment is incredibly easy. Here are the simple steps you need to follow:

1. Research equipment leasing firms – The first step is spending some time researching different equipment leasing firms that are available. Spend some time looking into the agreements they offer, their application process, approval rates, customer service, and so on. You’ll want to make sure the company you consider is easy to work with and has a good reputation. Luckily, there are some great review platforms whereby people can post comments and feedback, so you get an idea of the reputation of the business.
2. Gather all of the relevant information you need for your application No matter which equipment leasing company you choose, you’ll need to have some key information ready about your business. This typically includes the cost of the equipment you need financing for, your average monthly turnover, and how long you’ve been in business.
3. Fill in your application – Once all of your information is ready, you can fill in your application. Often, you can apply online via the company’s website. In some cases, you’ll simply need to contact the leasing company via email and then they’ll provide you with the application form.
4. Read through the terms and conditions carefully – You’ll be presented with terms and conditions for the finance agreement. Make sure you read through the agreement carefully. The last thing you want to do is find yourself trapped in an agreement you’re not happy with. From early repayment fees to maintenance requirements, there are a lot of things that are covered in the terms and conditions, so go over this with a fine-tooth comb.
5. Await your decision – Finally, you’ll need to wait for the equipment leasing company to review your application. Most companies are highly efficient, so you can expect a quick response. If your application has not been accepted, you may be offered an alternative solution or you may be invited to submit another application at a later date.

Leverage the Benefits of Material Handling Equipment Financing

So there you have it: everything you need to know about material handling equipment financing and just how easy it is. This is a great way of making sure you have the equipment you need to capitalize on every opportunity that comes your way. You can free up cash flow and give your business the platform to flourish.