5 Reasons Your Banker Should Work with Equipment Financing Companies

By Becky Neems| Sep 1, 2016| 2435 Views
5 Reasons Your Banker Should Work with Equipment Financing Companies

From self-starting coffee machines to motion-censor lights, the easy-to-come-by appliances are often what make your day-to-day life manageable.

But what happens when you need something that isn’t available at your local department store or costs more than what the average credit card can handle? The equipment you need to run your business suddenly seems out of reach. But don’t give up just yet!

When bankers work with equipment financing companies, the equipment you need quickly becomes easier to grasp. Banks, both big and small, are no strangers to the investment game, but are typically wary of financing heavy equipment. This is where equipment financing companies come into play. By having customers work with these companies, bankers don’t have to turn customers away.

Here are the top five reasons bankers should work with equipment financing companies:

1. Expert Advice

Although bankers know the numbers and payment plans, they usually aren’t very familiar with the different types of equipment. Equipment financing companies are able to lend their expertise to both bankers and customers. Bankers trust these companies’ knowledge on the leasing equipment.

Since equipment financing companies specialize in niche markets, they know what it takes for a company to grow and expand their market base.

2. Quick Turn Around Deposits

Equipment lease financing is a great way to put money to use and get short-term interval interest rate return on investment. Bankers work with financing companies to ensure the equipment is in good condition and will meet the customer’s needs.

Working together allows all parties to benefit. Bankers are able to retain their clients, financing companies receive new clients, and customers are able to have financial stability while remaining eligible for bank bonus subsidies.

3. Industrial Finance

Industrial finance attracts investments to the tune of $500,000, and businesses can receive financing on equipment totaling $2 million, provided the business qualifies under the Section 179 deduction phase-outs dollar-for-dollar standard. With investments this large, collaboration is vital. Equipment leasing companies act as a link between bankers and clients. Financing companies make it possible for customers to work with banks that only consider corporate firms’ financing schemes.

 Equipment leasing companies act as a link between bankers and clients.

4. Cash Flow Control

Equipment financing companies can help customers find the right loans and leases to control cash flow. Each business needs its own financing strategy that will provide economic stability.

5. Insurance Benefits

By channeling funds through equipment financing companies, both banks and insurance companies stand to reap huge economic dividends all while protecting the customer.

Whether your company is just starting out or getting ready to expand, the equipment your business needs shouldn’t be out of reach. Equipment financing companies are on hand to help you and your bank get you the best plan possible.

Becky Neems

Becky Neems

As a marketing coordinator, Becky collaborated with Beacon Funding industry experts to write informative content about equipment financing that helps business owners in the commercial truck and decorated apparel industries.