How to Get Bad Credit Equipment Financing

Last Updated on August 23, 2017

As you have likely experienced, trying — and failing — to get bad credit equipment financing is one of the most frustrating vicious cycles on the business landscape.

On the one hand, you need to upgrade or purchase new equipment in order to generate revenues and profits, open accounts, pay your bills, and ultimately strengthen your credit score. Yet on the other hand, banks won’t give your loan application a second look unless you have exceptional personal and business credit scores.

In the past, business owners stuck in this dilemma typically had to scale back their business, sell it ASAP, or shut it down. Fortunately, that is no longer the case, because “bad credit equipment financing” is no longer a contradiction in terms. Rather, it is a solution that we enable every day for business owners across the country.  

bad credit equipment financing

The Backstory

Most business owners — and all of the successful ones — are wary of promises and claims that seem too-good-to-be true.

And at first glance (and maybe at second and third as well!), you may be wondering “what the catch” is. After all, there must be a reason why we provide bad credit equipment financing, and banks won’t even consider them.

First of all: healthy skepticism is extremely valuable and always profitable, and we welcome the chance to transparently share why we offer bad credit equipment financing: because the vast majority of our loans are SUCCESSFUL. After all, we’ve been in business for several years, and we’re constantly growing. If we weren’t good at what we do, we wouldn’t be here.

Easier Equipment Loan Approvals for Bad Credit Borrowers

And what we’re very good at — if we do say so ourselves — is understanding that credit scores are not, and never will be, the best or only way to evaluate a business owner’s credit worthiness.

There are many other variables and factors to consider. In our view, the most important question to ask isn’t what a business owner has done in the past, but rather, what they’re doing today and what they have planned for tomorrow.

When we shift the focus from the past to the present and future, we change the approval paradigm — and that means bad credit equipment financing is no longer out of reach. In fact, since we approve about 90% of all business loan applications, the chances of getting a “yes” from us is very likely.

Do You Qualify for Bad Credit Equipment Funding?

National makes approval fast, simple and convenient for all types of business owners, from virtually every industry, and all credit profiles. Here’s what you need to qualify for bad credit financing:

  • Make $120,000 in Annual Gross Sales
  • 6+ Months in Business

If you meet those two requirements, you have an extremely high chance of approval for the equipment funds of your choice.

If you do not meet the requirements above, you must have a FICO score of at least 650+ to qualify.

Additionally, no collateral is required on behalf of the borrower in order to obtain equipment financing. Instead, the new or used equipment will be used as collateral itself, protecting the business and personal assets of the borrower.

With National’s simplified qualifications, and streamlined approval process, over 90% of all business owners with bad credit get approved for our equipment financing programs.

Equipment Funding Amounts, Terms and Time to Funding

Every business is unique, and has unique funding goals for growing their company with new or upgraded equipment. National offers equipment loans and credit lines with interest rates, term lengths and amounts that can match any specific need, for any business owner.

  • Equipment Loan Amounts: $10,000 – $5,000,000
  • Terms: 1 – 5 Years (Fixed and Flexible Repayment Schedules Available)
  • Time to Receive Funding: 48 Hours to Access Funds (On Average)

When you’re applying for equipment funding, no matter your credit score, speed and flexibility are extremely important to avoid stalls in business operations, and interruptions in your cash flow down the line.

Make sure to find a financier like National that works closely with you to customize your equipment loan in a way that gets you the equipment you need, exactly when you need it, in a way that optimizes your business’s long-term growth potential.

Equipment Loan Calculator: Rates & Terms That Work for You

If you want a better idea as to the terms and conditions that will come with your equipment funding option, use National’s business equipment financing calculator by clicking the link below.

Once you’re directed to the equipment loan calculator page, use the sliders to find the equipment loan or credit line with terms, rates and amounts that perfectly suit your needs.

Go to Equipment Loan Calculator

How to Apply for Bad Credit Equipment Financing

The bottom line? We know that some of the most talented business owners happen to have impaired or bad credit. And being part of their success story isn’t just rewarding, but simply put: it’s great business!

To learn more, contact our team today by calling 877-482-3008, and discover how straightforward and stress-free it can be to get bad credit equipment financing, and put your business on-track to thrive for years and decades to come.  

National Business Capital is the #1 FinTech marketplace offering small business loans and services. Harnessing the power of smart technology and even smarter people, we’ve streamlined the approval process to secure over $1 billion in financing for small business owners to date.

Our expert Business Financing Advisors work within our 75+ Lender Marketplace in real time to give you easy access to the best low-interest SBA loans, short and long-term loans and business lines of credit, as well as a full suite of revenue-driving business services.

We strengthen local communities one small business loan at a time. For every deal we fund, we donate 10 meals to Feeding America!


About the Author, Megan Capobianco

Megan is passionate about helping business owners along their journey - providing them with relevant content they can use in their day-to-day operations.

Disclaimer: The information and insights in this article are provided for informational purposes only, and do not constitute financial, legal, tax, business or personal advise from National Business Capital and the author. Do no rely on this information as advice and please consult with your financial advisor, accountant and/or attorney before making any decisions. If you rely solely in this information it is at your own risk. The information is true and accurate to the best of our knowledge, but there maybe errors, omissions, or mistakes.