Four Steps to Plan Your Construction Equipment Finance

With quick finance available from equipment finance brokers, it can be very easy to rush into making a serious decision. However, before you commit to an equipment finance option, it is important to plan out your commercial equipment finance needs with these four steps.

Determine Your Specific Needs:

The first step for your equipment finance is to determine your specific needs. Are you in the market to purchase brand new or used equipment? Do you have capital available or will you need to source the entire amount using equipment finance brokers? You will need to assess what equipment is essential to conduct your everyday business. Remember that if only need specialised equipment periodically, it may be more financially sensible to use a rental company. On the other hand, when you need a piece of equipment frequently, it will work out more economical to purchase it or lease it long term.

Consider the Different Options:

To source the best possible deal, you need to ensure that you are familiar with all of your options. Equipment finance brokers  can source flexible terms to suit your business needs. This flexibility can include longer terms, final balloon payments and lowered monthly repayments. Generally, larger more costly items will be available with greater flexibility. As cash flow is important to business management, you are likely to want to keep monthly costs low. Reducing your repayments will allow you to keep your business operating costs more manageable and budget more accurately.

Consider Pre-Approval:

One of the most effective strategies to get the best deal on equipment finance is to secure pre-approval. Pre-approval will allow you to shop with confidence and make an offer when you see what you require at the correct price. Pre-approval removes the worry about whether commercial equipment finance is actually available.

Obtaining pre-approval allows you to obtain a set level of finance to effectively plan out your purchases and source the best deals. Pre-approval also allows you to shop around for used or refurbished equipment rather than relying on more costly brand new equipment.

Choose the Best Provider:

Although many business owners consider it is daunting to shop around, obtaining only one quote can be a costly mistake. Fortunately, there is no need to waste hours on the phone getting quote after quote, as there are reputable equipment finance brokers available. A reputable broker will be able to search through a panel of specialist lenders to help you to find the best deals. Since commercial equipment finance is a specialist area, it is important to choose a specialist broker. This will provide access to the best providers with the greatest understanding of your business needs. Although you may qualify for a basic bank loan, you may find that this type of finance is more restrictive and costly in the long term.

If you are in need of equipment finance in Perth, contact us. We are an established and specialist equipment finance brokers with access to a wide selection of lenders offering a great range of commercial equipment finance deals. Our team of advisors is available to answer any queries or questions and help you to find the deal best suited to your needs.