Once you decide to get finance your equipment there are a few things you need to get to get your financing approved quickly. Although different equipment financing companies will have different requirements for financing the lease, there are a few items you should have ready to help you get a fast approval.
Keep an eye on your company’s credit rating
Even though the equipment finance company looking to finance your equipment loan may cater to companies that have less than stellar credit or their credit ratings parameters may be lower than that of more traditional lending companies, you need to try to get the best credit score and ratings. Not only will this help in getting better terms it will make it easier for a quick approval. Paying bills on time, resolving disputes with vendors and creditors and not having too much outstanding debt all are important factors when applying for a loan. If you have negatives on your credit report be willing to discuss it with the loan officer and keep them up to date with the status.
Prepare a Lease Package
A lease package should include important information on your company. This includes your company’s history, business background of the principals and a detailed report on what your company does. You should include your company’s accomplishments, credit and trade references and a list of equipment that you intend to lease with the financing. It should give a good overview of your company so the equipment leasing company feels comfortable with their investment.
Have Updated Financial Statements
If you loan is over $75,000 you will probably need to show some financial statements so you might as well be prepared in advance. You should have your accountant help prepare the statements and they should go back at least 3 years. Don’t forget to include a business plan with forecasts of revenues, expenses and earnings. Include the anticipated lease payments in the business plan