Owning and operating a business can be a rewarding experience but it can also have its challenges, especially when it comes to sourcing finance for new equipment. There is the time factor - finding the time in your schedule to seek out sufficient loan quotes to make an informed decision on which bank or lender is offering the best deal. That process may be further complicated by needing to have a good grasp of finance terminology to ensure you’re comparing like offers.
Then there is the issue of meeting the loan application of the banks in particular. Having all the docs, financials and acceptable trading and asset requirements that they may demand.
Under ‘normal’ trading and economic conditions these challenges are not uncommon for some operators at various times in a trading cycle or business development phase. But in 2020, with the effects of COVID-19 having a major impact on both businesses and banks, the challenges of sourcing equipment finance may be more common and widespread and in many cases, more intense.
That NO from the bank to your finance application can feel like a devastating, business-busting blow.
But, everything in perspective – what you see as a challenge, a blow and a major set-back may be ‘business as usual’ and part of the standard operating procedure for Jade Equipment Finance. We take on your challenges in the same way as we do your most straight-forward equipment finance requests.
The Challenge with Equipment Finance
You’ve got orders to fill and need to replace outdated machinery. You’re bidding on construction tenders but need to expand your fleet of excavation machines to handle the extra workload. Your technology needs upgrading in order to cope with increasing online activity and work from home staff. You need new equipment to be better placed to take on your competitors. You have plans to start a new business or expand your existing operation to meet growing demand and desperately need more equipment.
When requiring finance to purchase new equipment, many businesses automatically and quite understandably, call their bank first to discuss finance. Perhaps you’ve done that for years and its gone well for you and suddenly, you’ve hit a hitch and the bank rejects your application. Perhaps it’s your first application to the bank and they don’t see things your way.
Complicating the effects of the pandemic on business requiring finance is the impact that coronavirus has also had on the banking sector. Banks have been facing their own challenges and in some cases may be tightening their already strict loan requirements.
So what next when the bank says NO? Call another bank? Head onto the internet and search for any lender that will say YES? That means more time, possibly more rejections and possibly, in desperation or frustration, just accepting whatever loan is offered even if it is more expensive and places pressure on your cash flow.
A sensible alternative is to contact Jade Equipment Finance.
As an experienced finance broker, Jade Equipment Finance provides financial solutions for businesses seeking equipment loans. While it is advisable to have us handle your loan from the start, before you head off on your own, one of our professional consultants will discuss your requirements and work towards assisting you with a loan offer, even after you have received that dreaded NO from the bank.
- Jade Equipment Finance is accredited with multiple lenders including the major banks as well as non-bank and specialist lenders. We know how banks price their loans and their loan application guidelines. We use this knowledge to assist businesses to structure their loan applications in order to better meet bank guidelines, if going with the bank is the preference.
- Our lending panel includes non-bank lenders, some of which specialise in equipment finance. With their expert knowledge of the equipment sector and the businesses that operate in the sector, they are very often in a better position to offer more competitive and cheaper loans than the bank.
- We also deal with industry-only lenders – equipment financiers that only make offers through finance brokers. Companies such as Morris Equipment Finance amongst others. These lenders tend to be more open to negotiating on loan conditions and especially on interest rates! These lenders operate differently from banks and are not as hamstrung by the same strict requirements.
- Your Jade Equipment Finance consultant will handle your loan application from the start to save you time and source a quote from our wide selection of lenders and negotiate the rates and conditions.
For businesses in special circumstances, Jade Equipment Finance may be able to assist you with our expert services for:
- No Docs and Low Docs Equipment Loans
- ABN Only Loans
- Bad Credit Loans
So before or after you face the challenges of sourcing equipment finance from your bank, give Jade Equipment Finance a call to discuss how we can assist you. A NO doesn’t have to be NEVER.
For an obligation-free and confidential discussion around your equipment loan requirements, contact Jade Equipment Finance on 1300 000 003
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