There’s no getting around it – buying new equipment can put a serious drain on your working capital. For retailers, restaurants, and many other small businesses, the pandemic and its aftermath have caused a shift in business operations. An effective transition to these operational changes often requires new equipment. The expense of obtaining that equipment is often more than most small businesses can handle, especially coming off the recent economic downturn. Although things are starting to turn around, business owners are still vulnerable. Depleting their working capital to purchase new equipment will only intensify that situation. Small business equipment financing can allow business owners to purchase the equipment they need while preserving their working capital.
Evolving Business Operations
The pandemic accelerated the evolution of business operations so quickly, many businesses were left scrambling to keep up. It changed the way we shop and work. Deliveries, curbside pickup, remote work security, and onsite safety investments are just some of the things business owners needed to consider. While some of those investments were small and easier to handle, others seemed out of reach. Even buying a single delivery vehicle and insuring it can be a significant investment for a small business.
However, to execute a successful business recovery, staying one step of your competitors has never been more important. The business that caters to consumers’ new expectations is going to come out on top. Those expectations will vary depending on your industry. Whether you’re entering the online marketplace or purchasing delivery vehicles for the first time, adapting your business operations is a necessary expenditure. If you’re struggling to figure out how to get the equipment you need and continue to cover all of your other operational expenses, it’s time to consider small business equipment financing.
How Equipment Financing Works
Getting new equipment for your business is often a double-edged sword. While it can make your business more efficient and profitable, that profit isn’t instantaneous so how do you cover the upfront expense? Small business equipment financing enables businesses to get the equipment they need and avoid the large upfront expense.
There are a couple of equipment financing options available. Business owners can either choose to lease or purchase new equipment. If the equipment your business needs is rooted in the technology industry, leasing can be a better option. Technology advances so quickly, every few years your equipment can become obsolete. By leasing this type of equipment, you are making smaller monthly payments and, when the lease ends, you can upgrade your equipment.
For those business owners that prefer to own their equipment, financing allows you to skip the upfront cost and make smaller monthly payments as well. It also prevents you from putting other valuable business assets at risk because the new equipment will serve as collateral.
Small Business Equipment Financing
Whether the pandemic has forced your business to adapt to the new normal or it’s simply time to retire your existing equipment, consider small business equipment financing. It can be a powerful tool to keep your business moving forward while preserving your working capital for other expenses and opportunities.
At CFG Merchant Solutions, we never stop funding. We offer a variety of alternative financing options to help your business stay ahead of the competition today and in the future. Our team brings more than 60 years of institutional investment banking experience in the credit, commercial finance, and capital markets to the table. We will guide you in choosing the perfect solution for your individual business needs. Don’t wait any longer. Contact us or apply online today to see how we can help get the equipment you need to succeed!