Most embroidery shops use embroidery machine financing, either an equipment finance agreement or a lease-to-own plan, to pay for a commercial machine through low monthly payments. Founded in 1990, Beacon Funding offers financing for single-head and multi-head embroidery machines, including Tajima machines from Hirsch Solutions.
To finance an embroidery machine, start by choosing the machine that fits your production needs. Approval, upfront costs, and purchase options depend on your time in business and other factors.
In this article…
- Where Can I Get Financing for a Commercial Embroidery Machine?
- How Much Does an Embroidery Machine Cost?
- Should You Buy a Single-Head or Multi-Head Embroidery Machine?
- Tips for Securing Equipment Financing for Your Embroidery Business
- Your Financing Options
- Beacon Funding’s Financing Process: 6 Easy Steps
- Get Started with Beacon Funding: The Key to Your Embroidery Business Success
- Customer Spotlight: El Pony Style’s Repeat Embroidery Equipment Financing
- Frequently Asked Questions
Where Can I Get Financing for a Commercial Embroidery Machine?
You can get financing for a commercial embroidery machine from an equipment finance company such as Beacon Funding. Beacon Funding offers equipment finance agreements and lease-to-own plans that spread the cost of the machine over an agreed term with low monthly payment.
Instead of spending your savings on one large purchase, you can keep more working capital available for everyday business expenses.
Financing an embroidery machine may help your shop:
- Boost production: Add equipment to help manage more orders.
- Expand your services: Take on new types of embroidery work and serve more customers.
- Manage cash flow: Keep more funds available for supplies, payroll, and other business expenses.
- Upgrade equipment: Replace an older machine or add production capacity as demand grows.
- Plan payments: Pay through low monthly payments on an agreed schedule to help manage your business budget.
Tax Benefits
Depending on the financing arrangement and your tax situation, there may also be tax benefits.
Be sure to consult a tax professional before financing equipment
Remember: Be sure to consult your CPA or tax advisor to discuss whether your equipment is eligible for tax savings.
How Much Does an Embroidery Machine Cost?
The price depends on the machine’s brand, number of heads, features, condition, and production capacity. A single-head machine is designed to embroider one item at a time, while a multi-head machine can work on several items at once.
Should You Buy a Single-Head or Multi-Head Embroidery Machine?
Choose a single-head machine if you take custom orders with mixed designs. Choose a multi-head machine if you fill larger orders with the same design. Hirsch Solutions sells Tajima embroidery machines in single-head and multi-head configurations, and Beacon Funding offers financing for both.
Choosing the right machine depends on your order volume, production goals, available space, and budget.
| Â |
Single-head |
Multi-head |
| Best for |
Startups, small shops, custom and personalized work |
Established shops with repeat or larger orders |
| Typical orders |
Small runs, one-offs, samples, mixed designs |
Same design across many garments, such as team and uniform orders |
| Output |
One item per cycle |
Several items per cycle, scaling with head count |
| Setup and labor |
Quick to switch between designs |
Setup repeats per head, so very small runs may not justify it. One operator can run the whole machine |
| Space and supplies |
Smaller footprint, lower supply needs |
Larger footprint, more thread and supplies |
| Financing fit |
Typically a smaller amount financed |
Typically a larger amount financed |
Explore embroidery equipment financing to learn more about financing new and used equipment.
START FINANCING YOUR EMBROIDERY MACHINE
Tips for Securing Equipment Financing for Your Embroidery Business
Before applying for embroidery machine financing, understand what lenders may review. Preparing the right information can help you evaluate your options and know what to expect.
Here are ways to prepare for an application:
- Time in business: Your business history can help lenders understand your operating experience. New businesses may still have options, depending on how much industry experience you have.
- Credit history: Lenders may review your credit profile and past payment history as part of the application.
- Equipment: The machine’s price, age, type, and intended use may affect the financing arrangement.
- Cash flow: Lenders may consider whether your business can manage the proposed payments alongside its other expenses.
- Down payment: Depending on the approval, you may need to provide an initial payment or security deposit.
For more guidance, read 5 Ways to Improve Your Chances of Getting Approved for Equipment Financing.
Your Financing Options
Embroidery businesses can explore different ways to pay for equipment. The right choice depends on your budget, cash flow, and ownership goals.
Equipment Finance Agreement
An equipment finance agreement spreads the cost of an embroidery machine over an agreed term through low monthly payments. The agreement sets out the payment schedule, term, and conditions.
Lease-to-Own
Beacon Funding’s lease-to-own lets you use equipment while working towards ownership. Once your lease term ends, Beacon Funding offers purchase options that may include a $1 buyout or a percentage of the original purchase price, depending on the agreement.
GET STARTED WITH LEASE-TO-OWN
Hirsch Solutions Financing Perks
Beacon Funding offers a financing program for eligible equipment purchased through Hirsch Solutions. Whenever equipment from Hirsch Solutions is financed by Beacon Funding, you’re eligible to receive tiered perks in the form of a Prepaid VISA card.
- $100 for qualifying transactions of $49,999 or less
- $200 for qualifying transactions from $50,000 to $99,999
- $300 for qualifying transactions of $100,000 or more
All transactions are subject to Beacon Funding’s credit review and approval. Eligibility rules and offer terms apply, and an incentive is not guaranteed for every applicant.
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Beacon Funding's Financing Process: 6 Easy Steps
Beacon Funding's process has six steps, from your online application to ongoing support during the term.
- Apply. Fill out the online application with your business details and the equipment you want to finance.
- Review. Beacon Funding reviews your time in business, personal credit and business pay history, your business cashflow, and the equipment you’d like to finance.
- Approval. If you qualify, you get a written approval letter. Your approval from Beacon includes approved amount, upfront costs, monthly payments, term length, and purchase options. It may also list a personal guarantee or insurance requirements.
- Documentation. You sign your contract electronically through DocuSign. Beacon Funding sends a purchase order to the equipment seller once it has your signed documents, upfront payment, and proof of insurance.
- Delivery and acceptance. Inspect the machine when it arrives. When you are satisfied, tell your Financing Consultant by phone. Beacon Funding then pays the seller, and your first invoice arrives 30 days later.
- Ongoing support. You enter the repayment phase. You get monthly contact from an equipment financing representative and continued support through the term.
Get Started with Beacon Funding: The Key to Your Embroidery Business Success
The right embroidery machine can help your business handle more orders, improve production, and serve new customers. Financing with Beacon Funding can help you acquire the equipment you need while spreading the cost over time.
Apply online by filling out Veacon Funding’s credit application. One application can get you approved for up to $750,000, with no cost or commitment for applying. Your approval includes the term length, low monthly payments, upfront costs, payment schedule, and purchase options.
Ready to explore financing for your embroidery machine?
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Customer Spotlight: El Pony Style’s Repeat Embroidery Equipment Financing
El Pony Style, Inc. has worked with Beacon Funding on four separate equipment financing transactions, demonstrating an ongoing relationship as its equipment needs have evolved. The apparel business has financed embroidery equipment and other production technology to support its work.
Read the El Pony Style customer success story to learn more about its experience with Beacon Funding and repeat equipment financing.
Frequently Asked Questions
Can I finance a used embroidery machine?
Yes, Beacon Funding offers used equipment financing for eligible used embroidery machines.
Can a new embroidery business get financing?
Yes, startups can explore Beacon Funding’s startup equipment financing. Approval and available terms depend on your business, the equipment you plan to purchase, and the financing program.
What is the monthly payment on a multi-head embroidery machine?
The monthly payment depends on the machine’s price, the amount financed, and the financing term. Beacon Funding offers low monthly payments through embroidery equipment financing for commercial machines, including multi-head machines.
What is the Hirsch Solutions Financing Perks program?
It is a Beacon Funding financing program for eligible equipment purchased through Hirsch Solutions. The Hirsch Solutions Financing Perks program describes potential prepaid Visa incentives for qualifying funded transactions. Eligibility and terms apply.
Is it better to lease or finance an embroidery machine?
The right choice depends on your budget, cash flow, ownership goals, and the terms of the agreement. Beacon Funding offers equipment finance agreements and lease-to-own financing with low monthly payments, depending on the program and approval.