Kworld Trend / paving equipment financing options
paving equipment financing options
The term “Paving equipment” covers many different vehicles, machines, and tools. From the trucks that haul the asphalt to the steamrollers, stripers, and hand tools that spring into action, you could fill an entire garage with the equipment that paves roads and parking lots. This means a lender needs to be well versed in financing paving equipment of all kinds.
Crest Capital has been providing new and used paving equipment financing since 1989. We have a long history of paving equipment leasing and loans, and stand ready to get you the gear you need to do the job. We have a fast online application, superb rates, and the fastest approvals in the industry. We’re also really friendly to work with, and have become a go-to funding source for paving companies nationwide.
Why take advantage of asphalt pavement financing and leasing?
By having the right equipment, your company can greatly increase its productivity and sales. Often, adding equipment will allow a business to expand its range of services allowing the business to reach an expanded or new customer base. The equipment used by the company is also a reflection of the organization and the sense of quality and professionalism provided. This is just another example of how upgraded equipment can attract more new customers to your business. Financing equipment offers a more sustainable way to add production assets than purchasing equipment outright, considering how rapidly technology is developing it can dramatically reduce the value of your investment in just a few years.
Asphalt Paver financing and leasing terms offer very flexible options that won’t stress the business’ cash flow, as most payback terms are between 24 and 72 months. What’s more, purchase options are available, as well as the ability to add equipment to your lease at any time.
Compared to the average business loan, equipment leasing offers the following advantages:
- No down payment, with an option to purchase the equipment at the end of the lease
- Competitive fixed rates and terms to suit your needs and business cycle
- Tax-exempt loan payments if the supplier/equipment seller is not required to collect taxes
- Tax-exempt leases to municipalities and other eligible government agencies
- Leases and loans allocated from $10,000 to $2 million
Why finance or lease your own asphalt paver? | paving equipment financing options
You’re busy running your business, so we’ll get to the heart of the matter. Our flexible financing and leasing programs can help your business acquire the latest equipment without tying up valuable cash; But our advantages don’t stop there. Your business will improve cash flow with an affordable monthly payment, while also discovering potential tax benefits. Besides personal customer service, equipment financing/leasing is a smart business move.
- What are the prices and conditions?
Prices start at 3.25% with terms ranging from 24 to 72 months.
- What are the payment options?
Payment is tailored to your specific needs. Payment due dates are monthly, quarterly, annual, semi-annual or seasonal.
- How long does the process take?
Typically, loans are approved within 2-4 hours, and financing takes place within 1-2 business days.
- 100% new or used financing
We do not require a down payment, and soft costs such as shipping, installation, and taxes are covered for both new and used equipment.
At Crestmont Capital, we allow your company to structure an equipment leasing / financing program that addresses your key business issues, including: cash flow, balance sheet, cyclicality, and growth. For example, some companies require seasonal leases, which allow them to schedule their payments during the busiest months. Others want the ability to add to the lease as the need for additional equipment develops over time. No matter the issues, our flexible recovery structures address the specifics of your business operations.
Find out asphalt pavement financing and leasing for your business
When a company works with Crestmont Capital, that company gains access to a team of equipment rental professionals dedicated to helping businesses across the United States obtain the equipment and technology they need to truly grow and thrive. We help our clients keep up with their competitors, even if their capital is better.
We provide financing for all the equipment you need to run your business. Whether you are looking to expand or need to upgrade some equipment, we can finance equipment to take your business to the next level.
Crestmont Capital can finance everything from technology and furniture to cars and heavy machinery, while also covering consumables, installation, and other costs associated with renting new and used equipment. We invite you to contact us today to learn more about the options available to your business. paving equipment financing options
5 Paving Equipment Financing Options 2023
Paving equipment, such as asphalt pavers, rollers, and coating equipment, can be an important investment for construction companies and paving contractors.
For many companies, financing is a critical factor in obtaining the equipment they need to grow their operations. In this article, we will discuss some of the most popular paving equipment financing options available.
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- Equipment Loans: Equipment loans are among the most popular financing options for paving equipment. These loans are usually offered by banks, credit unions, or specialized equipment financing companies. Equipment loans are secured by the equipment itself, meaning the lender can repossess the equipment if the borrower defaults on the loan. The interest rates on equipment loans vary according to the creditworthiness of the borrower and the term of the loan.
- Equipment Leases: Equipment leases are another popular financing option for paving equipment. Through a lease, the borrower pays a monthly fee to use the equipment for a specified period, usually two to five years. At the end of the lease term, the borrower can choose to return the equipment or purchase it at a predetermined price. Leasing can be a good option for businesses that need to maintain their cash flow, as monthly payments are usually lower than loan payments.
- Equipment financing agreements: Equipment financing agreements (EFAs) are similar to equipment leases, but they typically provide more flexibility in terms of payment schedules and termination options. EFAs are often used to purchase larger, more expensive equipment, such as asphalt plants or large paving machines. These agreements are usually structured as secured loans, which means that the equipment acts as collateral.
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4- Small Business Administration (SBA) Loans: SBA loans are government-backed loans designed to help small businesses get the financing they need to grow. SBA loans can be used for a variety of purposes, including the purchase of equipment. These loans typically offer favorable interest rates and terms, but the application process can take longer than other financing options.
5- Equipment Leasing: Equipment leasing is another option for businesses that need paving equipment but cannot afford to purchase it outright. Through a lease agreement, the borrower pays a fee to use the equipment for a specified period, usually on a daily or weekly basis. Leasing can be a good option for businesses that only need the equipment for a short period of time or who don’t have the creditworthiness to secure a loan or lease.
Instructions | paving equipment financing options
What should I consider when financing equipment?
When financing equipment, there are several important factors to consider. Here are some key considerations:
- Financing Type: There are different types of financing options available, such as leases, loans. And lines of credit. Each has its advantages and disadvantages. So it is important to choose the one that best suits your business needs.
- Interest rates: Interest rates can vary widely depending on the lender, type of financing, and your creditworthiness. Make sure to shop around and compare rates from different lenders to get the best deal.
- Down Payment: Some lenders may require a down payment, while others may offer 100% financing. Consider your cash flow and budget to determine the amount of down payment you can comfortably afford.
- Payment Terms: The term of the financing can affect your monthly payments and the total cost of the financing. Longer periods may result in lower monthly payments, but they can also lead to higher total interest costs.
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- Equipment Life: Consider the expected life of the equipment you’re financing. And choose a financing term that matches or is shorter than that life. You don’t want to pay for equipment long after it has reached the end of its useful life.
- Resale value: Consider the potential resale value of the equipment. As this can affect the lender’s willingness to finance it and the interest rates it offers.
- Maintenance costs: Consider the ongoing maintenance costs associated with the equipment. Ensure that you can afford to maintain the equipment to keep it in good working order throughout the financing period.
- Tax Implications: Financing equipment may have tax implications, such as deductions or depreciation. Consult a tax professional to determine how financing will affect your company’s tax situation.
In general, carefully consider all of these factors when financing equipment. To ensure that you are making the best decision for your business.
What type of financing should be used to purchase new machinery and equipment?
The type of financing that should be used to purchase new machinery. And equipment depends on the specific needs and circumstances of your business. Here are some financing options to consider:
- Equipment Leasing: Equipment leasing can be a good option if you need to update your equipment regularly. As it allows you to use the equipment for a set period of time and then return it at the end of the lease term. This can be particularly useful if the equipment has a short lifespan. Or if you are unsure of your equipment needs in the long term. Leasing can also be a good option if you don’t have the money to buy the equipment outright, as it often requires a lower down payment than buying.
- Equipment Financing Loans: Equipment financing loans are another option to consider. These loans are specifically designed to help businesses purchase equipment. And usually have lower interest rates than other types of business loans. They may require a down payment, but the equipment acts as collateral for the loan, making it easier to qualify for financing.
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3- Line of credit: A line of credit can be a flexible option for purchasing equipment, as it allows you to withdraw money as needed. This can be useful if you need to purchase multiple equipment over time or if you are unsure of your exact financing needs. However, lines of credit usually have higher interest rates than equipment loans.
4- Manufacturer Financing: Some equipment manufacturers may offer financing options to their customers. This can be a good option. That if you are buying equipment direct from the manufacturer and want a streamlined financing process. However, be sure to compare rates and terms with other lenders to ensure you are getting the best deal.
Ultimately, the type of financing you choose to purchase new machinery. And equipment will depend on your specific business needs and financial situation. It is important to carefully evaluate all options and compare prices and terms before making a decision. paving equipment financing options
What equipment is used for paving?
Paving equipment can vary depending on the type and size of the paving project. But some common types of equipment used in paving include:
- Asphalt pavers: Asphalt pavers are machines used to pave asphalt on roads, parking lots, and other surfaces. They have a hopper that carries the asphalt mix and a conveyor system that feeds the mix onto the paving surface.
- Compactors: Compactors are used to compact and smooth the asphalt after it has been laid by pavers. There are several types of compressors, including vibrating rollers, stationary rollers, and pneumatic rollers.
- Grinding machines: Grinding machines are used to remove old or damaged asphalt. Or concrete from a surface before laying a new pavement. They have a large rotating drum with teeth that grind the existing pavement.
- Asphalt plants: Asphalt plants are used to produce asphalt mix used in paving. They mix sand, gravel, and asphalt cement to create a hot mix that can be transported to the paving site.
- Skid Steer Loaders: Skid steer loaders are versatile machines that can be used for a variety of tasks. That on a paving site, including material hauling, truck loading and surface leveling.
- Dump Trucks: Dump trucks are used to transport asphalt mixture, gravel and other materials to the paving site.
- Brooms: Sweepers are used to clean the surface of the pavement before laying new pavement. It can also be used to clean up debris and excess material after paving is complete.
These are just some of the common types of equipment used in paving. The specific equipment required will depend on the size and scope of the project. paving equipment financing options
Updated New and Used Paving Equipment Loan / Lending FAQ
What Are Current New and Used Paving Equipment Financing Rates?
All lending rates depend on the current federal rate, the borrower’s credit, the equipment you are buying, etc. That said, Crest Capital always has the most competitive rates for paving equipment leasing and financing.
Do You Offer Fixed Rates?
Yup. That’s the best way to do it, because your monthly payments always stay the same. Everyone likes that.
Will I Have to Wait Long for An Approval?
Nope. We can usually approve you in a few hours, and almost always the same business day.
Do I Need a Lot of Collateral to Finance Paving Equipment?
You do not. The equipment itself serves as collateral, so rest assured. We’ll leave the rest of your assets alone (no blanket liens here – we think they’re evil!)
What About Other Types of Restrictions and/or Covenants?
We don’t have them. We believe in freedom – no minimum balances. no requalifying for the paving equipment loan every year – none of that.
What Type of Paving Equipment Can I Lease or Finance? And Can it Be Used?
Yes, we handle both new and used paving equipment financing and leasing. We’ll provide the funding for whatever you need.
Conclusion
In conclusion, there are several financing options available to businesses that need paving equipment.
Equipment loans, equipment leases, equipment financing agreements, SBA loans, and equipment leases are all viable options depending on the borrower’s financial situation and equipment needs.
Companies should carefully consider the pros and cons of each financing option and work with a trusted lender or equipment financing company to find the best solution for their particular situation.
