When you own your own business and use heavy equipment as part of your job, you may run into issues being able to afford new equipment that you need. If renting equipment, such as tractors, bulldozers, skid steers, or other large machinery is not an option you want to consider, you may think of leasing or getting a loan instead. An equipment financing consultant can help you decide which option is best for you so you can have the machinery you need to perform every job your business is responsible for. Here are a few things your consultant can help you with.
What your business is worth
Your business's worth is based upon how much debt you have, the assets you currently own, and the business's projected growth. This is something that is difficult for you to decide on your own. You must know what your business is worth before you try to get a loan or a lease for expensive equipment because financing companies will take your business's potential for profit in consideration of any loans or leases you may need. Your financing consultant can help determine what the value of your company is so you can move forward in getting the financing you need.
Whether a lease or loan is more beneficial
If you plan on using the same equipment throughout its depreciation before you consider replacing it, your financial consultant may suggest that you get a loan to get the machinery you need. A lease may be more beneficial to you if you want to upgrade to newer equipment every few years to help improve the quality of your work when you take on new jobs. A consultant will compare the two side by side to help you determine which option is both best for your business's finances and ultimate goals with pricey machinery.
Getting actual financing
Once your consultant has helped you decide the type of financing you want for your equipment acquisition needs, they will then help you acquire the finances you need to make it happen. They can guide you through the application process and help you choose a financing institution that will work best for your situation.
An equipment financing consultant can be very beneficial to your company if you need to add new machinery to your list of assets. They can help you determine your company's worth, determine whether a loan or a lease is better for your needs, and then help you get the financing you desire for your company. Visit Solution 7 Incorporated today to learn more.