QUALIFYING
What actually decides an equipment approval.
Searchers want a number here, and every honest answer to this question starts by saying there is not one. Credit is an input, not a gate, and it is weighed next to five other things.
THE SHORT ANSWER
There is no single cutoff score
We do not publish a minimum credit score, and you should be wary of anyone in equipment finance who does. A score is one reading taken from one part of a file, and the same number means different things on a twelve-year-old business buying a $15,000 machine and on a two-year-old one buying a $140,000 one.
What credit actually determines, once you are approved, is the tier the transaction is written at — and tiers run a long way down. Businesses whose credit is well short of perfect get equipment financed here every week.
The three questions that decide most transactions are not about the score at all: how long the business has been trading, how much the equipment costs, and whether there is a history of paying for equipment like it before.
WHAT IS WEIGHED
What a credit decision looks at
Time in business
The single strongest signal, and the one the one-page program sets thresholds against: three years under current ownership up to $74,999, and five years from $75,000 to $150,000.
The size of the transaction
A $12,000 machine and a $140,000 line of them are not the same credit question. The bar rises with the amount, which is why the thresholds above move at $75,000.
Comparable credit history
Whether the business has carried and paid an obligation of similar size before. A clean history on a comparable amount carries real weight.
Business and personal credit together
Most small-business equipment transactions look at both. On a closely held company the owner's file is part of the picture, which is why a personal guaranty is common.
The equipment itself
It is the collateral. Equipment with a real second-hand market behind it is a different proposition from equipment with none, and the structure available can follow from that.
The industry and how it is trading
We have financed equipment through every downturn since 1995, including for industries that were having a hard year at the time. Context is part of a decision made by people.
TWO PATHS
One page, or a fuller package
Most of our transactions are written on the short form. Which path you are on is decided by the amount and by how long the business has been trading, not by a score.
Application Only
- $10,000 to $150,000
- No financial statements at all
- Three years in business under current ownership to $74,999
- Five years in business from $75,000 to $150,000
- Business name and address, a bank reference, the ownership breakdown
- A general list of the equipment and what it costs
- A decision usually the same day
A fuller financial package
- Above $150,000, or where the short form does not fit
- Business financial statements and tax returns
- A personal financial statement from the owners
- More detail on the equipment and the vendor
- The same structures and the same end-of-term options
- Longer to assemble, not harder to be approved
IF THE FILE IS THIN
When the credit is not what you would like
Three real routes, all of which we write regularly.
A brand new business
The startup program has no time-in-business requirement and finances day-one businesses with A and B credit. Expect to provide a personal financial statement, two years of personal tax returns above $15,000, a short business summary, and the equipment details. See startup financing.
No financials to hand
The one-page program exists precisely so that a business without an assembled financial package can still finance equipment quickly. See no financials required.
A guarantor, or a smaller first transaction
A personal guaranty from an owner with a stronger file, or a smaller machine financed first to build a payment history with us, are both ordinary answers rather than last resorts.
The wrong move is to assume the answer and not ask. A quote costs you a phone call and tells you where you actually stand.
NO HARD PULL
Asking does not touch your credit
A quote is not an application. Nothing is pulled, nothing is reported, and you are not committed to anything — you can ask what a machine would cost per month and walk away, and no trace of the conversation reaches your file.
Credit is part of the decision when you do apply, and you will know before that happens rather than after. If you would rather talk it through than fill anything in, call (949) 271-5800.
QUESTIONS
Credit, asked plainly
What credit score do you need for equipment financing?
There is no single cutoff, and we do not publish one. Credit is weighed next to how long the business has been trading, the size of the transaction, whether there is a history of paying for comparable equipment, and what the equipment is. Businesses whose credit is well short of perfect get equipment financed here regularly.
Can I get equipment financing with bad credit?
Often, yes. What changes with a weaker file is the tier the transaction is written at and sometimes the structure, not whether the conversation is worth having. A startup program, a personal guaranty from a stronger file, or a smaller first transaction are all ordinary routes.
How long do I need to be in business to qualify?
On the one-page Application Only program, three years under current ownership up to $74,999, and five years from $75,000 to $150,000. Below that, the startup program has no time-in-business requirement at all.
Do you check personal credit or business credit?
Usually both. On a closely held small business the owner's file is part of the picture, which is why a personal guaranty is common in equipment finance. Established businesses with their own credit history lean more on the business file.
Will getting a quote hurt my credit score?
No. A quote is not an application: nothing is pulled and you are not committed to anything. Credit is part of the decision when you actually apply, and you will know before that happens.
Do I need to provide financial statements?
Not on Application Only, which is how most of our transactions are written. What we ask for is the business name and address, a bank reference, the ownership breakdown, and a general list of the equipment and what it costs.
Can a brand new business finance equipment?
Yes. We finance day-one startups with A and B credit. Expect to provide a personal financial statement, two years of personal tax returns on amounts above $15,000, a short summary of the business, and the invoice or details for the equipment.
Is a personal guaranty required?
It is common on small-business equipment transactions, and it is one of the things that lets a young or thin business file get approved at all. Whether yours needs one is part of the structure you are quoted, and it is agreed before you sign rather than sprung on you afterwards.
Three steps to your equipment
01
Fill out an application
Complete our simple, one-page application. No mountain of paperwork.
02
Receive a custom plan
We contact you, typically within 24 hours, with a lease structure tailored to your needs.
03
Get your equipment
We purchase your new or used equipment from any vendor you wish.
Newer business, or no financials to hand? We have programs for both — startup financing and no financials required.
FREE QUOTE
Get a custom quote in minutes
Tell us what equipment you need and roughly what it costs. An ACG specialist follows up, typically within 24 hours, with options built around your business.
Business equipment financing. $10,000 minimum. We do not finance personal or household purchases.
- — NO OBLIGATION, NO HARD CREDIT PULL
- — NEW OR USED, ANY VENDOR
- — OR CALL (949) 271-5800
Keep reading
No financials required
The one-page program, and exactly what it asks for.
Startup financing
Day-one businesses, with no time-in-business requirement.
How long it takes
Application to funded equipment, step by step.
Apply now
One page. A decision usually comes back the same day.
Not sure the amount fits? The minimum transaction is $10,000, and the estimator will show you roughly where a payment lands.
Decided? It is one page.
31 years financing equipment for small business. Apply, or call and talk it through first.