HERE IS WHY YOU SHOULD CONSIDER USED EQUIPMENT FINANCING IN CALGARY

When it comes to adding some new machinery to your fleet, you don’t have to buy new. Actually, used equipment financing is the most affordable, flexible, and practical option for many businesses.

Used equipment financing allows you to get going without straining your budget, whether you are adding to the business, replacing a worn-out machine, or beginning a new project. We’ll take a deeper look into why you should consider it.

Lower upfront costs

The most apparent advantage of used equipment financing is the reduced purchase price. The cost of pre-owned machinery can be much lower than new. That results in a lower loan and more affordable monthly payments.

This reduced entry barrier will assist you with what you need now, even if you are on a tight budget. Used equipment financing Calgary comes in particularly handy for smaller contractors or newer businesses that need to expand but cannot afford to buy brand-new equipment yet.

Faster return on investment

Since used equipment is cheaper, the payback period will be short. The equipment begins to bring revenue immediately, and you earn back the money spent in a shorter time.

This can go a long way when you are dealing with short-term projects or seasonal contracts. You get the productivity advantage of using the appropriate equipment when you need it, without spending years to recoup your investment.

Easier financing approval

Lenders tend to be more lenient in terms of financing used equipment, particularly where there is evident resale value of the equipment and a track record of working performance. Given that the machinery itself is collateral, you might not have to give extra assets to secure the loan.

This can make funding much easier for businesses that have a weaker credit history or lower-than-ideal scores. It is a feasible method of credit establishment and developing a more robust financial profile in the long run.

Availability of quality, reliable equipment

Used does not necessarily mean out of date. The machines on the secondary market are still in great condition. Many are a few years old, and in some cases, they have limited warranties or service contracts.

All you need is a proper inspection. You might discover equipment that is as good as new at a fraction of the price. Funding makes it easier to purchase from reputable dealers or auctions without paying the full amount up front.

More flexibility to expand

Leasing used equipment can help you afford more with the same capital. You could finance a number of machines to increase capacity or accept larger contracts as opposed to spending all your available money on a single purchase.

The flexibility facilitates growth and keeps your business on par, particularly in industries where rapid expansion is important.

The bottom line

Equipment leasing is a smart, affordable growth strategy. It is low-cost and you also have access to good equipment. Not to mention that it cushions your cash flow and enhances your financial flexibility.

To most companies, it is a plan that allows them to grow but without undue risk. Properly selected and funded, used equipment can be as valuable as new and occasionally even more so.