For small and medium-sized businesses (SMBs), equipment is king. Having the right equipment can make the difference between breaking even and profitability, being competitive and lagging, and maximizing efficiency and missing deadlines and goals. And, for SMBs facing credit challenges, obtaining equipment financing presents some challenges.
Our team has been working with SMBs since 2009. As a story lender, we specialize in helping business owners with less-than-perfect credit get financing for essential business equipment. We base credit decisions on an applicant’s history, not just a credit score. Working closely with applicants, our team is aware of real challenges business owners face when applying for financing from big banks, as well as the myths that prevent some from applying for equipment financing in the first place.
Global Financial & Leasing Services (GFLS) is committed to debunking common myths and providing the insight and encouragement business owners need to confidently pursue equipment financing options, regardless of credit scores. With clear information, you can find financing options with confidence.
Myth 1: Perfect Credit is a Must-Have
The truth: The widely accepted idea that only business owners with impeccable credit qualify for financing is one of the most widespread myths. At GFLS, we recognize that a credit score is just one piece of your business’s financial puzzle. We look closer at your business’s potential, considering its overall financial health and prospects. Our goal is to customize financing solutions that have mutual success as the primary goal.
Related Reading: Beyond the Credit Score: Alternative Equipment Financing with Us
Myth 2: A Substantial Down Payment is the Norm
The reality: Assuming that a substantial down payment is a normal part of equipment financing couldn’t be further from the truth. At GFLS, we offer a variety of financing options, many of which either require minimal down payments or, in some cases, none. If you’ve been assuming you need to save for a down payment before applying for equipment financing, it’s worth a conversation about your options.
Myth 3: The Equipment Financing Approval Process Takes Weeks or Months
This one may be true, depending on your equipment financing lender. While big banks and other traditional lenders still require weeks or months to approve or deny equipment financing applications, there are lenders, like GFLS, that do not. Our team uses follows an applicant-centric philosophy, which streamlines the application process, and therefore the credit decision. Our process is designed for efficiency, resulting in quick approvals and minimal paperwork, so you can focus on what matters most, running your business.
Myth 4: Financing Is Cost-Prohibitive for Credit-Challenged SMBs
The economic reality: It’s a common misconception that a less-than-perfect credit history automatically puts the cost of equipment financing out of reach. GFLS specializes in tailoring competitive, affordable financing packages based on a comprehensive view of your business’s financial situation. Our team works hard to make financing a practical tool for growth, offering terms that meet the unique challenges faced by credit-challenged business owners.
Myth 5: Repayment Terms are Inflexible
The truth: In the world of modern equipment financing, flexibility is key. Recognizing that no two businesses are the same, GFLS offers a broad spectrum of customizable financing terms. From the duration of the loan to the structure of repayments, our focus is on creating a financing solution that works with your business’s operational flow and financial capacity.
Related Reading: Frequently Asked Questions About Equipment Financing
The Biggest Myth of All: Your Past Credit Determines Your Business’s Potential
They say the past predicts the future. GFLS wouldn’t be in business today if that were true in all cases, especially when it comes to SMBs. Our team has evaluated many reasons why equipment financing applicants have less-than-perfect credit. If you fall in that category, then you know credit blemishes are not always avoidable and can be circumstantial.
We view your application through a lens of potential, not just credit score. Factors like operational history, market position and the strategic value of the essential equipment are important in our evaluation.
Dispel the myths and growth your business with GFLS. Equipment financing, even amidst credit challenges, is possible. We are here to often say “yes” when others say no, offering you the financial support to move your business forward. Talk to one of our equipment financing experts and see the GFLS difference in equipment financing.