Commercial equipment leasing is an excellent choice for a business that’s just starting up and getting out there. It’s a great way to help your business grow and mature. Unfortunately, many do not end up with the financing plan that’s best for them. At the end of the day, you want to be able to feel like you’ve made the right decision for your business and that it will have a positive impact. The world can be pretty unpredictable, but you can help ensure your success and safety. Learn how to avoid the 5 most common mistakes people make when securing commercial equipment leasing so you can keep yourself and your business safe.
4 Most Common Commercial Equipment Leasing Mistakes
Not Looking at All Your Options
Finding the right way to finance your commercial equipment is not something to be taken lightly. You need to do what is right for your business – and there is no one-size-fits-all plan for financing. Before signing on to anything with any lender, you should survey all of your options. Knowledge is power – and having the knowledge about what each lender offers empowers you to be able to make the best decision possible for your company. Don’t just look at one lender and go with them. Yes, the process of finding the right financing can be tough, but it’s worth the effort to find the right one. Understand the difference between leasing and loans. Take your time to look at what banks offer, dealerships, and other private parties. Do not go with the first one you see! Owning a business is often about taking calculated risks, not blind jumps. Know the playing field you are on before choosing which lender to go with.
Not Doing Your Research
Before deciding to work with any company, you should always, always type their name into Google. Look at the reviews online, their website, and any other information regarding how they conduct business and with whom. There are tons of great resources to use for this kind of information. You can also check to see if they are registered with the National Equipment Finance Association. Just like you would look up a restaurant on Yelp reviews before heading there for dinner, it’s imperative that you do detailed research on who you are seeking commercial equipment leasing from. Don’t get fooled! Part of research is also learning the red flags of the industry so that you can avoid getting scammed. If a deal sounds too good to be true, it probably is. Don’t jump in without having all the research done. Ask about the rates, payment options, budget, and the fine print. Ask for guarantees in writing. Do not leave it up to chance!
Not Being Prepared
Once you’ve gathered all the necessary information and chosen a few contenders to look at more closely, it’s time to gather information on your own business. You should not walk into a meeting without having information on your business, your budget, and what you’re looking for. You should come up with at least a general idea of the commercial equipment leasing rates you want and what equipment you need as well as other important details specific to your business needs. You should become an expert on the equipment you’re looking for. As mentioned above, do your research and look at all your options. Learn what equipment is best suited for your company and its needs. Leasing covers a wide range of equipment from medical, hospitality, and construction to forestry, food, and other unique industries. With all the choices out there, it’s absolutely imperative to know which equipment will give you the most benefits and the best value. Whether you need a 3D printer, bulldozers, fitness equipment, refrigerators, ovens, plumbing, or restaurant equipment, you need to know what you want rather than sit around and accept whatever you’re given. Use this opportunity to get the best for your business!
Giving Up Too Soon
This goes right alongside doing your research. Even if you have bad credit, there is hope for your business. If you need commercial equipment leasing, you can still get it. Having bad or nonexistent credit doesn’t mean you have to accept terrible rates and unattractive deals. If you’ve done your research, you know that there are still options out there for business owners with bad credit. Don’t throw away your potential by giving up and giving into a deal with ridiculously high rates just because you think you don’t deserve any better. You DO deserve better. In fact, your business deserves the best, and companies like First Capital Business Finance are here to help you with leasing no matter your credit score. So don’t give up!
Call First Capital Business Finance if You Want the Best Leasing for Your Business
If you’re ready to get the equipment you need for your business, First Capital Business Finance is ready to help. Contact us today to get started!
4 Common Commercial Equipment Leasing Mistakes | First Capital Business Finance