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At first glance, an article that covers the basics of equipment loans may seem rather pointless. After all, aren’t equipment loans used for purchasing equipment? Well, the answer may surprise you and help you understand why there’s more to the story!
Yes, equipment loans are indeed used for purchasing equipment. But there are several other types of financing solutions that can also be used to buy equipment, such as working capital loans, business lines of credit, invoice financing (a.k.a. factoring), and merchant cash advances.
However, unlike those solutions, equipment loans are structured differently — and that’s why understanding how they work is important and valuable if you choose to head in that direction. Here are the 5 key things that you need to know:
Using an equipment loan to buy new machinery for your business is a great way to take advantage of larger contracts, update your technology and increase your capacity!
If you want to take your business to the next level with opportunities like improving your equipment, check out our latest eBook “7 Profitable Opportunities You Could Miss Without More Business Funding” today:
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!
Joseph Camberato, CEO of National Business Capital, developed a passion for business at a young age. Joe started his company in 2007 in his spare bedroom and has grown to secure over $1 Billion dollars in financing for small business owners nationwide. National’s team has an amazing culture and has been name the #1 Top Workplace on Long Island 3 years in a row and counting. Joe is a trusted financial expert who’s published more than 2,000 articles in the last 3 years. His articles have generated over 5 million page views and has been featured on blogs such as Google News, Yahoo, CNBC, Forbes Magazine, etc. His passion has also inspired him to build the "GrowByJoe” YouTube channel where he shares his insights into small business trends and tips for growth. Joe also holds a seat on Forbes Finance Council and is an active member of the Young Presidents' Organization (YPO), a global leadership community.