Financing Commercial Equipment With No Tax Returns

Most people are used to walking into a bank, showing tax returns, banks statements, and other financial documents to get a loan for a home or maybe even a car.  In commercial financing, time is money.  Gathering and underwriting tax returns takes times and the buying emotion can turn cold while bankers wait for people to gather financial statements.  This is why most commercial equipment lenders like to finance individual pieces of equipment on an "application only" basis.  It's what vendors want. It's quicker and people maintain their interest longer.  Using an application only to make a credit decision means that the bank must rely heavily on the applicant's individuals personal and commercial credit.  No commercial credit?  Issues on the personal credit?  Sometimes you can still get buy without showing financial statements but sometimes you can't. In these situations, tax returns or bank statements may strengthen weak credit, so don't neglect this idea. Generally application only programs have limits of $150,000 purchases up to $400,000 equipment purchases depending on if you have the commercial credit to support it. 

Please leave questions in the comments or email me at [email protected]