A Lexington, SC business can get equipment financing through the dealer selling the machine, through its own bank, or through an equipment finance company that works across brands and with used units. Each route starts from the same thing: a written quote for the equipment, which is also what secures the financing.
Equipment financing can come from the dealer, a bank or an equipment finance company, and each starts from a written quote. Prices and payments shown are invented; the ZIP counts are Census ZIP Code Business Patterns.
How can a business get equipment financing: dealers, banks and equipment lenders
The quote in hand decides more than the source does. Whoever finances the purchase holds the equipment as collateral, so the model, price and condition on that quote shape the term and the payment wherever the request goes.
| Source | Where it starts | What it can suit |
|---|---|---|
| Dealer or manufacturer program | At the counter, with the sales quote | One brand, new units in particular, terms set by the program |
| Bank | With the bank that holds the business accounts | Owners with a long banking history and complete financial statements |
| Equipment finance company | A separate application, any dealer | Mixed brands, used units and private-party sales |
| Rowanleaf Lenders | One call or request form, passed to funding partners | Owners who want several partners to look at one quote |
Dealer programs can be convenient because the paperwork happens at the sale, but they only cover what that dealer sells. A bank can look at the whole relationship, including deposits it already holds. An equipment finance company can fund a used unit from a private seller that a dealer program would not touch. When a purchase bundles equipment with installation, training and a service plan, a term loan can cover the whole package instead.
Equipment financing for a fryer line, lift or diagnostic cart
Three purchases show how equipment financing works in practice. A restaurant adds a fryer line, an auto repair shop installs a lift, and the same shop buys a diagnostic cart for newer vehicles.
| Equipment | Price | Monthly payment | Sum of payments |
|---|---|---|---|
| Fryer line: two fryers and a filtration unit | $18,600 | $613.35 | $22,080.60 |
| Two-post vehicle lift, installed | $7,900 | $260.51 | $9,378.36 |
| Diagnostic cart: scan tool, laptop and cart | $11,400 | $375.93 | $13,533.48 |
Each sum in the table is the rounded monthly payment times 36. Comparing the payment with the extra orders or repair hours the equipment makes possible is a test a partner can also run.
Both trades show up in the office ZIP counts. ZIP 29072 held 62 establishments under Limited-Service Restaurants (NAICS 722513) and 30 under Automotive Repair and Maintenance (NAICS 8111) in 2023 (ZIP Code Business Patterns). More on shop equipment is on the auto repair funding page.
New vs used equipment in a financing request
A used machine costs less up front, but a funding partner may set a shorter term because the equipment has less life left, and may ask for an inspection or the service records.
Illustration only, invented figures: a new lift at $9,800 over 48 months at 10% has a payment of $248.55, and the 48 payments sum to $11,930.40. A used lift at $6,100 over 36 months at 12.5% has a payment of $204.07, and the 36 payments sum to $7,346.52.
The used lift costs $4,583.88 less over its term, and its monthly payment is also $44.48 less. Whether the saving holds depends on how long the used unit runs before it needs major repairs, so ask the seller for its hours, age and repair history.
What an equipment quote should include before applying
A complete quote spares whoever reviews it a round of follow-up questions. Before applying, check that it shows:
- The seller's legal name, address and phone number.
- Make, model and year for each item, plus the serial number for a used unit.
- New, used or refurbished condition, stated plainly.
- The price of each item on its own line.
- Delivery, installation and training as separate charges.
- Sales tax and any trade-in credit.
- Warranty and service terms, and the date the quote expires.
With that quote ready, the conversation can start with any of the four sources in the table on this page.
By Rowanleaf Lenders · Updated
