Are you a small business owner looking to add a trailer to your inventory? Want to expand your logistics fleet? If you’re buying a trailer to meet the transportation requirements for your goods and products, having a medium sized trailer may be a right fit for your need.
Since small businesses often run their finances in a managed way, taking out money to buy a trailer upfront may not seem a feasible option. To avoid financial burden, it’s advised to apply for trailer financing or leasing in Abbotsford. You can also apply a trailer loan if required.
Here are a few types of financing and leasing options available when purchasing a trailer:
- Commercial Leasing
Leasing allows you to own the equipment without having to pay for it upfront. It is a sort of equipment renting but comes with strict terms and conditions. Since the lease payments are generally lower than the loan payments, you can easily qualify for a lease by paying just a few dollars as down payment. Compared to trailer loans in Abbotsford, leasing is more feasible and comes with easy payment options based on your income and not your credit score.
If you don’t need a trailer for an elongated period or are not planning to sell it sooner, leasing may be more feasible option. Opt for commercial leasing if you need equipment but can’t afford to buy it at once.
- Asset-Based Lending
This sort of lending is ideal for small businesses that need to get financing by using the value of their property as collateral. Asset-based lenders generally look at your business reputation, inventory, financial condition, accounts receivable and real estate to get you approved for financing. The amount you can borrow depends on how much equity you have.
- Traditional Equipment Financing
This form of financing is also an asset-based lending where the lender will provide you the financing for the existing equipment you have as collateral. Traditional equipment financing is the right choice for businesses that have high credit scores and can secure loans at a low interest rate. To get approved for an equipment loan, you’ll need a good credit history and sufficient cash flow.
- Working Capital Business Loans
This type of business loan considers working capital to get you approved for a loan. The short-term financing options allow you to access the money in your business account to pay for expenses. To qualify for a working capital loan, a small business must have at least two years of operating history and an average revenue stream.
If you are planning to apply trailer financing in Abbotsford, rely on none other than Sandhu & Sran Leasing & Financing. With years of experience in the industry, we know what it takes to get you a trailer loan at the best rate possible. Whether you need equipment financing, commercial leasing, or truck loan services, we have got you covered. For more details, talk to our financing specialist today.
