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Understanding the Lifecycle of Equipment Financing

by Equipment FinancingFinancing

Understanding the Lifecycle of Equipment Financing

You know you need equipment to run and grow your business. You also know you don’t want to or can’t fund a big outlay of capital to obtain that essential business equipment. Sounds like a catch-22, right? Not necessarily. This is where equipment financing comes into play. Being approved for equipment financing allows you to get the equipment you need for a thriving business without depleting or tying up your cash reserves.

The process of financing equipment isn’t cut and dry, especially if you’ve struggled with credit approval in the past due to any number of reasons. If this sounds familiar, you’re not out of equipment financing options. While traditional lending institutions may reject your application, alternative or direct lenders, like Global Financing & Leasing Solutions (GFLS) can often approve your equipment financing. When you better understand the lifecycle of an equipment financing deal, you’re better positioned to make informed decisions and navigate the process smoothly. Here’s a closer look at the seven stages involved when working with GFLS, from your initial application to the final repayment.

  1. Initial Inquiry and Assessment

The lifecycle begins as soon as you identify the need for new equipment. This could be anything from construction machinery to medical equipment. At this point, you reach out to a direct lender, like GFLS, to explore your options. What sets GFLS apart as a direct lender is our ability to tailor solutions specifically to your needs. Unlike traditional banks, which often have rigid financing approval criteria, our team looks at each application differently. We focus on your ability to service your current and proposed debt rather than just your credit score—in other words, “your story.”

During this phase, a direct decision maker at GFLS handles the inquiry. The goal here is to understand your business’s needs and your financial situation to offer the most suitable financing options.

  1. Equipment Financing Application and Documentation

Once the preliminary assessment is complete, the next step is filling out an equipment financing application. GFLS uses our own capital, which means more flexibility and quicker decisions compared to traditional lenders and big banks. You will need to provide documentation that supports your ability to repay the financing request, such as financial statements, tax returns and details about the equipment being financed.

This stage also involves discussing the financing terms, including interest rates, repayment schedules and any collateral requirements. Since GFLS supplies fast, flexible equipment financing to non-investment grade companies, we are often able to finance business owners who might not qualify for traditional financing requests.

  1. Credit Review and Approval

The approval process is where you’ll notice GFLS is truly different from other lenders Instead of relying heavily on credit scores, the approval is based primarily on your ability to service your current and proposed debt. This approach is a miracle for business owners who have strong cash flow but may not have stellar credit.

GFLS founder & CEO, Jim Jenks, explains, “A lot of our competitors use a ‘Scoring Model.’ Through this method, they are making a credit decision—approved or rejected—on the application within minutes from the time they have received it. In most cases, there is no discussion with the applicant. That is very impersonal and highlights the lack of interest by funding source in their potential customers. We, on the other hand, don’t rely on a ‘model,’ we don’t rely on just the applicant’s FICO score or available credit amounts. We want to learn about the applicant. We want to understand what has happened in the past and what has been done to ‘course correct’ going forward. We are making our credit decisions on their potential to become successful in the future. We spend time with our applicants. They are not just a number to us.”

As a nationwide lender, GFLS has the expertise to assess a wide range of industries and business models. The credit review process is handled quickly because you’re working directly with our decision-makers, meaning you get the equipment you need, if approved, without waiting weeks or months.

  1. Agreement and Funding

Once approved, the financing agreement is drawn up. This document outlines all the terms and conditions, including the financing amount, interest rate, payment schedule and any specific covenants or requirements. At this point, you review the agreement and ask any questions you might have.

After the agreement is signed, the funds are disbursed quickly. With GFLS, there’s no waiting for third-party approvals, making the funding process faster and more efficient.

  1. Equipment Acquisition and Implementation

With the funds approved and available, you’re free to lease or purchase your new or pre-owned essential business equipment. This stage involves working with the equipment vendor and ensuring that the purchase aligns with the financing terms. Once the equipment is acquired, it’s put into operation, and you can start to benefit from the new asset, from accepting to contracts, expanding your services or offering new services and/or products.

  1. Repayment and Relationship Management 

The final stage in the lifecycle of equipment financing is repayment. Repayments are made according to the agreed-upon schedule. GFLS’s flexible repayment options are designed to fit the cash flow patterns of the business, ensuring that repayments are manageable. The phrase, “Your success is our success” is never truer than in a financing relationship.

Throughout the repayment period, GFLS continues to maintain a relationship you. Communication is the best way to handle any hiccups and adjustments if your business’s circumstances change and provides opportunities for additional financing as your business grows.

  1. Term Maturity and Renewal Options

As the equipment financing agreement approaches its contractual term, you have several options. Either pay off the remaining balance, refinance the equipment or explore additional financing for new equipment needs. GFLS’s role as a full-service lender means we can offer various options, tailored to your evolving needs.

Renewal options are particularly beneficial if you’re in an industry where you need to continuously upgrade equipment to stay competitive. By refinancing or entering into new agreements, you always have access to the latest technology without straining your capital reserves.

 

Read More: The Equipment Financing Glossary: Demystifying the Jargon for SMBs

The More You Know; the Better You’re Prepared to Get Equipment Financing

 

Understanding the lifecycle of equipment financing helps you make more informed decisions. Think of Global Financial & Leasing Services as a partner that not only provides the necessary capital but also offers a level of service and flexibility that traditional lenders simply can’t match. Whether you own a small business or a medium-sized enterprise, navigating the equipment financing lifecycle with a direct lender like GFLS can lead to more tailored solutions and a smoother overall experience. Ready to learn more or get started with an equipment financing application? Get in touch.

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Amid Tightening Credit Conditions, Vendors and Brokers Find Opportunities with Alternative and Story Lenders

by Equipment FinancingFinancingVendor Financing

Amid traditional banking’s tightening credit conditions, many business equipment vendors and loan brokers are feeling the impact. Recent updates reported in Monitor Daily’s Q2/24 Bank Credit Pulse highlight several key changes among large banks that are affecting—or should we say restricting—access to funding.

Here’s a closer look at these changes and how GFLS, a full-service direct lender, can help vendors and brokers take advantage of opportunities to get more applications approved and businesses forward.

Five Key Changes in Bank Credit Offerings

  1. Reduced App-Only Offerings
    • Impact: 11% of large banks have reduced the dollar value of their app-only offerings.
    • Challenge: This reduction means vendors and brokers must now gather more financial information from their customers, adding complexity to an already lengthy and burdensome approval process.
  2. Increased Time in Business (TIB) Requirements
    • Impact: 12% of large banks now require a longer TIB, with some increasing from 2 years to 3 years.
    • Challenge: Newer businesses and startups may struggle to meet these stricter criteria, limiting their funding options.
  3. Higher Minimum Deal Size Thresholds
    • Impact: 6% of banks have raised their minimum deal size threshold.
    • Challenge: Vendors and brokers may find it difficult to get larger financing deals approved at big banks.
  4. Stricter Standards for Financial Strength
    • Impact: 19% of banks have increased their standards for historical financial strength.
    • Challenge: This makes it harder for business owner with past financial challenges to get approved.
  5. Reduced Broker Business Volume
    • Impact: 17% of banks are reducing the volume of broker business they entertain.
    • Challenge: Brokers are looking for new funding sources to be a reliable and flexible partner.

How Global Financial & Leasing Services Partner with Equipment Vendors and Brokers

With these key changes in bank credit offerings, vendors and brokers need alternative funding solutions. Here’s how GFLS opens new opportunities:

  • Flexible Funding Options: Unlike the tightening bank standards, GFLS offers more flexible terms that can accommodate a wider range of business needs. As a nationwide lender, we provide equipment-based financing and supply fast, flexible equipment financing to non-investment grade companies—often in days, not weeks. With an average origination of over $180,000 this year and the ability to fund up to a million, we are well-positioned to compete for larger deals that big banks might now turn away.
  • Tailored Solutions: We look at each transaction differently, tailoring solutions best suited to the applicant. Our approval process is handled by a direct decision maker and is based primarily on the applicant’s ability to service their current and proposed debt.
  • Direct Lending with Own Capital: As a direct lender using our own capital, GFLS can offer the flexibility and speed that traditional lending institutions often lack. This makes us an ideal partner for business owners who struggle with equipment financing approval from traditional lending institutions.

Learn more: How Vendor Financing Can Support Your Sales Team

Proven Opportunities with a Proven, Trusted Direct Lender

The GFLS team has been building relationships with brokers, proving the growing need for flexible funding sources. We’re seeing more vendors and brokers seeking partners who can provide the support and flexibility they require to better support their customers’ equipment financing needs. Our team is focusing on this shift, asking vendors and brokers important questions about their current funding challenges:

  • Are you experiencing more turned-down opportunities?
  • How is the requirement for additional financial information affecting your business?
  • Are you aware of how GFLS can help fill the gaps left by traditional banks?

By offering tailored financing solutions, GFLS is ready to help vendors and brokers thrive in this changing credit environment. Bring your financing applicants to us and let’s grow and support business. Get in touch with us.

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The 5 Most Asked Questions About Equipment Financing

by Equipment Financing

Essential business equipment can run thousands to hundreds of thousands of dollars, requiring a significant investment and a major decision. Equipment financing offers a practical solution to obtain the equipment a business needs without the hefty upfront cash layout. Whether you’re a long-time business owner or just starting out, chances are you have questions about how equipment financing works and what it involves.

The five questions below are among the most common ones business owners ask the Global Financial & Leasing Services team about equipment financing, ranging from general concerns about affordability, eligibility and the implications of taking on debt to acquire new assets.

These questions address the typical informational needs of business owners who are considering financing options for their equipment needs:

What is equipment financing?

Who can apply for equipment financing?

What are the benefits of equipment financing?

How does the application process work?

What should I consider before applying for equipment financing?

  1. What is Equipment Financing?

Equipment financing refers to a loan used specifically to purchase or lease essential business-related equipment. This type of financing enables businesses to buy the necessary equipment immediately, while paying back the principal and interest over a set period. In the case of financing an equipment lease, the equipment can be purchased or returned at the lease’s end. Typically, the equipment itself serves as collateral for the loan, which can help to secure lower interest rates.

  1. Who Can Apply for Equipment Financing?

Eligibility for equipment financing can vary by lender, but generally, businesses can apply from a broad range of industries including:

  • Automotive
  • Construction
  • Forestry/Logging
  • Healthcare/Medical
  • Machinery/Manufacturing
  • Recycling/Waste industry
  • Restaurant
  • Titled Vehicles
  • Transportation Equipment
  • Cannabis

Traditional lenders and big banks will look at aspects like your credit score, business financials and the longevity of your business. New businesses and startups may have a harder time securing financing due to a lack of financial history, but other factors like personal credit and industry experience can play a role. If you don’t have a favorable credit score, look at alternative lenders, like Global Financial & Leasing Solutions (GFLS) that dig deeper than the numbers to help you finance equipment.

  1. What Are the Benefits of Equipment Financing?

There are several benefits of equipment financing:

  • Preserve Cash Flow: Instead of paying the full price upfront, you spread out the cost, which can help maintain your business’s cash flow for other operational expenses.

  • Tax Advantages: Often, you can deduct the cost of leasing or loan payments as a business expense on your taxes.
  • Immediate Access to Equipment: Equipment financing allows you to acquire essential machinery right away, which can be crucial for bidding/starting new projects or expanding services or market share.
  • Flexible Payment Options: Many finance agreements offer flexible repayment terms to match your business’s cash flow patterns.
  1. How Does the Application Process Work?

The application process for equipment financing typically involves the following steps:

  • Application: You’ll need to provide details about your business and the equipment you wish to purchase.

  • Credit and Financial Review: The lender will assess your business and personal credit scores, along with your business’s financial statements and get in touch with questions.
  • Approval and Terms: If approved, you will be offered terms, including the loan amount, interest rate and repayment schedule.
  • Documentation: Finally, you’ll complete the necessary paperwork and, upon signing, receive the funds to purchase your equipment.

You can review GFLS’s equipment financing application.

  1. What Should I Consider Before Applying?

Before applying for equipment financing, consider these key factors:

  • Total Cost of Ownership: Look beyond the sticker price of the equipment to include maintenance, supplies and potential downtime.

  • Loan Terms: Make sure the repayment terms align with your business’s financial planning. Understand the interest rates and any potential fees involved.
  • Equipment Lifespan: Consider whether the equipment might become obsolete before you’ve finished paying for it. In which case, financing an equipment lease might make more sense for your business.

Related Reading: Key Trends in Equipment Financing for 2024

Equipment financing can be a strategic approach to upgrading your business’s capabilities without straining your finances. By understanding the fundamentals and preparing accordingly, you can make informed decisions for your business goals and financial situation. The GFLS team is here to help and answer any other questions you have about equipment financing. Get in touch with us.

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Beyond Credit Scores: The Human Side of Equipment Financing

by Equipment Financing

In the world where many feel like they are simply a number, there’s a unique approach that values people’s stories just as much as their credit score. It’s called “story lending” in the financing industry.

A lifeline for business owners whose credit scores aren’t perfect, story lenders offer more than just equipment financing; they provide a partnership based on understanding each applicant’s story.

Having story lenders as an option is so critical in equipment financing. Not only to be of service to those whose credit took a hit for reasons that may have been out of their control, but to also show that understanding business owners’ unique challenges and goals still matters today.

Traditional Banks Leave Many Behind

Many business owners with less-than-perfect credit scores often find themselves rejected by traditional banks. These institutions tend to stick to rigid credit models that don’t consider the full story behind a business owner’s journey, struggles and potential. This narrow view can unfairly shut down opportunities for those who’ve experienced a rough patch. And frankly, who hasn’t?

Story lenders set themselves apart by really looking at the “why” behind the numbers—maybe a tough economic phase, unexpected market changes, an untrustworthy partner or personal emergencies impacted their personal lives or their business. By learning the why behind a credit score, story lenders can see potential and risk in a fuller, more personal way. This approach not only recognizes the resilience and real potential of entrepreneurs, but also builds a relationship based on trust and mutual understanding. And what business owner couldn’t use another supporter in their corner, especially one specializing in financing?

What is a Story Lender?

At the heart of the story lending philosophy is building relationships, not just conducting transactions. Unlike traditional banks, where interactions often feel impersonal, story lenders engage deeply with business owners.

Here’s what makes this relationship-centric approach so beneficial for business owners who need financing:

  • Personalized Financing Solutions: Understanding each business’s unique challenges and needs helps story lenders create financing solutions that truly fit with what the business needs to grow and thrive.

  • Flexibility in Terms: Story lenders often provide more flexible terms, recognizing that many businesses, especially in sectors like manufacturing or construction, experience ups and downs. This could mean customized repayment plans that better match the business’s cash flow.

For example, Global Financial & Leasing Services recently had an opportunity where the applicant brought us an existing credit approval structure and asked if we could do better. The existing credit approval required a large 30% down payment (first payment). We were able to credit approve with a much smaller first payment. 

  • Support Beyond Lending: Story lenders often go beyond just financing; they offer guidance and advice, acting like business advisors. This can be a game-changer for small business owners who might not have a mentor or advisory networks.

This kind of in-depth support not only helps businesses financially, but also boosts their long-term success, contributing to stronger local economies and communities.

The Value of the Story Lending Approach in Today’s World

In today’s often impersonal business environment, the story lending approach brings a crucial human touch to finance. This approach is especially valuable today because it:

  • Encourages Diverse Economic Participation: By backing businesses that might otherwise struggle to get financing, story lenders help create a more diverse and inclusive economy.

  • Drives Innovation and Entrepreneurship: With more story-based financing, businesses can implement innovative ideas and technology that might seem too risky for traditional lenders.
  • Builds Stronger Communities: Businesses that get this kind of support often stay loyal to their lenders and their communities, resulting in local growth and more business collaborations.

The story lending approach to equipment financing is more than a financial service; it’s a belief in the power of human connections. Story lenders enable a broader range of entrepreneurs to achieve their dreams and contribute to a fairer, more prosperous economic landscape. The human side of equipment financing isn’t just an alternative—it’s a vital evolution in how we should support and understand business today.

Global Financial & Leasing Services is a Proud Story Lender Since 2009

Global Financial & Leasing Services (GFLS) is a veteran-owned company, founded in 2009 and based in Scottsdale, Arizona.

GFLS was founded to meet the equipment financing needs of small to mid-sized businesses all over the United States. We provide equipment financing solutions for a wide range of companies and a wide range of credits. Our customers, ranging from startups, emerging businesses, private equity-backed companies, “C” and “D” types, turnarounds and those with less-than-perfect credit, seek to finance the equipment they need to launch, expand and/or grow their companies. We specialize in making credit decisions based on the potential of the applicant, not a credit score. We look to uncover value and create a structure that will often work for the situation.

We can provide equipment financing solutions for a large variety of equipment types including, but not limited to manufacturing, health, medical, surgery centers, wound care, dental, construction, commercial landscaping, restaurant, food/beverage manufacturing, farming, recycling, automotive, printing, sanitation, mining, oil & gas, cannabis and many more.

We are here to often say “yes” when others say no, offering the financial support to move businesses forward. Talk to one of our equipment financing experts and experience the story lender difference in equipment financing.

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How Startups Can Use Equipment Financing to Scale Up

by Equipment FinancingStartups

Taking your startup to the next level involves making strategic decisions about how and when to invest in essential business equipment—equipment that can give your company an edge over competition, bring efficiencies to services or operations and more.

But for many startup owners, there isn’t a clear path to obtaining that essential equipment, especially if it’s a time sensitive purchase or lease (traditional lenders are notorious for taking weeks to months to approve equipment financing applications) or they have less-than-perfect credit (big banks often reject all but the most qualified applicants).

Having access to equipment financing is essential for startup business owners who must overcome budget constraints and/or credit blemishes to scale their operations and accelerate growth.

There is a way around these challenges, and that is to work with a story lender, like Global Financial & Leasing Services (GFLS). Unlike traditional lenders and big banks, a story lender makes credit decisions based on a comprehensive view of your financials and credit history, not just a credit score.

GFLS empowers startups, offering substantial funding ranging from $50,000 to $5,000,000. We’re a direct lender with a variety of resources at our disposal. Our network, which includes over 200 private and public banks, allows us to offer financing solutions that many traditional banks cannot. Our team understands that every startup has its unique challenges, whether it’s past bankruptcies, student loans, tax liens or less-than-perfect credit. Our approach is to work with you, not against you, in overcoming these challenges so you can use equipment financing to scale up your startup.

Equipment Financing’s Role in Taking Your Startup to the Next Level

Investing in the right equipment can drastically improve efficiency, increase production capacity or even allow your startup to expand into new markets. However, the upfront cost of such equipment can put growth out of reach or significantly delay it for many credit score-challenged startup business owners. Here’s where equipment financing comes into play, enabling startups to acquire essential business equipment without taking on immediate financial burden.

Be Strategic When Exploring Your Equipment Financing Options

Should you lease or buy? The rule of thumb when deciding between leasing versus buying your essential business equipment is that leasing usually makes more sense for high-tech or rapidly evolving equipment to avoid obsolescence, whereas purchasing may be more economical for long-term essential machinery.

Related Reading: Lease to Own vs. Loan to Buy: Making the Best Equipment Financing Decision for Your Business

Is your lender willing to be flexible? There are lenders, like GFLS, who offer customizable payment plans that can be tailored to your startup’s cash flow patterns, easing the pressure during lean periods. Our team is human, too, and we understand what it’s like to have the opportunity to scale up a business, but not necessarily the financial power to do so. At GLFS, we frequently work with startup business owners to help them scale up faster than they ever thought possible.

Preserving Your Cash by Financing Equipment is Just One Advantage

Equipment financing isn’t just about preserving cash. It can also:

  • Offer tax advantages since lease payments may be deductible as business expenses.
  • Include maintenance agreements, reducing the risk of unexpected repair costs.
  • Free up capital that can be used for other strategic investments, such as marketing or research and development.

Common Mistakes to Avoid When Considering Financing Equipment

Work with a lender, like GFLS, who is committed to helping startup business owners make decisions in the best interests of their companies. This can protect against over-leveraging yourself with excessive debt. We help you understand the complete terms of financing, including interest rates and total cost of ownership. And remember, forecasting the ROI that the new equipment will bring is essential to validate your investment.

Effective equipment financing is more than just a financial decision—it’s a strategic move that can define a startup’s short- and long-term success. By thoughtfully integrating financing into your growth strategy, you can ensure your startup remains agile and responsive to market demands.

Equipment Financing is Still About Relationships

Building a trustworthy relationship with your lender is not just about securing funds; it’s about creating a partnership that supports your business’s growth and adapts to its changing needs, both now and in the future.

We’re looking forward to building a relationship with you and meeting your financing needs. We are here to often say “yes” when others say no, offering you the financial support to move your business forward. Talk to one of our equipment financing experts and see why GFLS is a great equipment financing partner.

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Equipment Financing on a Budget: Advice for Getting the Most Bang for Your Buck

by Equipment Financing

The internet is full of advice for business owners. Most every city has chambers of commerce and business mentoring groups to support business growth. They all offer advice—some solicited, some not, some good, some not—on running your business.

In the competitive landscape of small and medium-sized businesses, growth and success are a result of doing things better, smarter, faster or different than other companies in your industry. Equipment financing can be one of most important decisions you make that has the potential to expand your business, and therefore its profitability.

Obtaining essential business equipment needed to spur growth and innovation often requires financing. Even if you have the best of credit, being approved for financing can be a time- and resource-intensive process. If you are on a budget, have a startup company and/or have blemishes on your credit report, getting approved for equipment financing can be difficult. But it’s not impossible with Global Financial & Leasing Services (GFLS) because we’re a story lender that considers your entire financial picture with Certified Lease & Finance Professionals who can offer advice on getting the most bang for your buck without straining your finances.

Making an Informed Equipment Financing Decision

Before deciding to finance a piece of equipment, make sure it’s the right one for your business and market. Here are a few points to research:

  1. The equipment’s leading manufacturers and vendors.
    • Identifying the top suppliers can reveal who dominates the market and why.
  2. The unique features of each equipment option.
    • Comparing features across different models and brands helps in assessing which equipment offers the best value or unique capabilities that suit your specific business needs.
  3. What current users say about the equipment.
    • Reviews and testimonials can provide insights into reliability, user satisfaction and potential issues.
  4. This equipment’s performance compared to that of its competitors.
    • Evaluate performance benchmarks and case studies to understand if the equipment outperforms its competitors in crucial areas like speed, efficiency or cost-effectiveness.
  5. Market trends influencing the availability and price of this equipment.
    • Market trends can affect equipment costs and availability, impacting when and what to buy.

This testimonial from D.W. from Discovery Ultrasound is an example of the impact having the right equipment can make on a business.

“Thank you so much for all of your help and incredible speed. This new piece of equipment will be a game changer for my business. No one within 250 miles of me has one. I will crush my competition!”

This new equipment wasn’t merely an upgrade—it gave a strategic advantage, setting Discovery Ultrasound apart in a highly competitive market.

Have a Budget in Mind That Includes Soft Costs

When financing business equipment, it’s crucial to consider not only the hard costs like purchase price and interest rates but also the often-overlooked soft costs. Soft costs are indirect expenses such as legal fees, insurance, installation, training and maintenance.

These costs can significantly affect the total cost of financing. Understanding and managing these costs are important to avoid unexpected expenses. Soft costs vary depending on the equipment and financing option, so including them in your budget reduces the likelihood of being spending more than you expected.

Shop Wisely to Find the Best Deal on Equipment

There’s merit in financing pre-owned equipment to cut down on expenses. Also, leasing a piece of equipment can offer savings benefits, such as included maintenance, which helps avoid unforeseen costs in the future. Finally, timing purchases or leases during seasonal sales or fiscal incentives can result in savings.

Need Advice on Equipment Financing?

Obtaining the right equipment at the right price or affordable lease payment starts with research to make informed decisions. It’s about more than just acquiring new technology—it’s about strategically enhancing your operational efficiency and market position. Paying close attention to each phase of the financing process, your business can achieve substantial growth without stretching your finances too thin.

Related Reading: The 7 Secrets of Building a Trustworthy Relationship with Your Equipment Financing Lender

The GFLS team is here to answer your questions and help you get the most out of your equipment financing. We often say “yes” when others say no, offering you the financial support to move your business forward. Talk to one of our equipment financing experts and see why GFLS is a great equipment financing partner.

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The 7 Secrets of Building a Trustworthy Relationship with Your Equipment Financing Lender

by Equipment Financing

Between online banking and lending, chatbots, advances in AI assistants, the world’s pandemic shutdown and such, building and maintaining personal relationships with other businesses isn’t as easy or prevalent as it once was. The team at Global Financial & Leasing Services (GFLS) believes it’s more important than ever, especially in this digital world.

As with any relationship, the foundation lies in trust and transparency. GFLS, with our long history of working with small and medium-sized businesses (SMBs), works hard to build robust and reliable relationships with borrowers. We think that by understanding your business and goals, we can create customized lending solutions that not only meet your current needs but also supports your future growth.

In other words, the effort you put into building a trusted relationship with a lending partner, the better prepared you will be when you need financing for essential business equipment.

Here are seven ways you can establish a relationship with a financing partner.

1) Open Communication is Key

Transparency is the backbone of any strong relationship. It’s important to maintain an open line of communication with your lender. This means being upfront about your business needs, concerns and expectations. In return, expect the same level of openness regarding the terms, conditions of your equipment financing or leasing agreement. Regular check-ins and updates can prevent misunderstandings and build a foundation of trust.

2) Understand Your Equipment Financing Provider’s Offerings

Each financing company, including GFLS, has its unique set of products, services and areas of expertise. Take the time to understand what your lender offers and how these services align with your business objectives. This understanding can help you leverage the right products and services at the right time, ensuring a mutually beneficial relationship.

3) Have Shared Goals and Values

Aligning your business goals with those of your equipment loan provider is smart. When both parties have a clear understanding of what they are working towards, it fosters a sense of partnership and collaboration. With Global Financial & Leasing Services, we ensure that your objectives in growth, financial health and equipment needs are aligned with ours because we want to be helpful long-term partners with customers.

4) Be Proactive with Your Needs

Anticipate future equipment needs and financial scenarios and communicate these proactively to GFLS. By forecasting your requirements, you allow our team to prepare and present the most suitable financing solutions in advance. This forward-thinking approach not only demonstrates your commitment to success but also supports more strategic financial planning.

5) Build Personal Connections

Beyond the financial transactions and contracts, building personal relationships with your lending partner can be invaluable. Understanding who you are working with on a personal level can build trust and make communications more effective, especially critical for those with less-than-perfect credit and need their stories to be heard.

Related Reading: Beyond the Credit Score: Alternative Equipment Financing with Us

6) Demonstrate Financial Responsibility

Trust is a two-way street. Just as you expect transparency and reliability from Global Financial & Leasing Services, it’s essential to demonstrate your commitment to financial responsibility. This includes timely repayments, managing credit and being honest about your financial situation so your lending solution truly matches your needs and budget.

7) Continuous Learning and Adaptation

The business landscape is ever evolving, and so are equipment financing needs and options. Stay up to date on the latest trends in equipment financing and how they impact your industry. Our blog is a good resource for information. Check in with GFLS to explore how new financing products or adjustments can benefit your business. Being adaptable and informed makes sure you’re better positioned for growth.

Building a trustworthy relationship with your equipment financier is not just about securing funds; it’s about creating a partnership that supports your business’s growth and adapts to its changing needs. In the business world, the strength of your relationships can be just as crucial as the quality of your product or service.

We’re looking forward to building a relationship with you and meeting your financing needs. We are here to often say “yes” when others say no, offering you the financial support to move your business forward. Talk to one of our equipment financing experts and see why GFLS is a great equipment financing partner.

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Proactive Strategies for Managing Equipment Obsolescence: Using Equipment Financing to Stay Ahead of the Curve

by Equipment Financing

Technological innovation happens fast in today’s business world, quickly making equipment outdated and leaving companies scrambling to keep up. Equipment obsolescence is a pervasive challenge that impacts most every industry, affecting efficiency, productivity, and ultimately, competitiveness.

For business owners, it’s imperative to anticipate these changes as best they can and strategize effectively to ensure continuous growth and success. Let’s look at the intricacies of equipment obsolescence and how Global Financial & Leasing Services (GFLS) provides robust financing solutions to help your business stay ahead of the curve.

The Challenge of Inevitable Equipment Obsolescence

Equipment obsolescence is unavoidable, as technological advancements render older models less efficient and potentially obsolete. This change can impact various aspects of a business, from operational downtime to increased maintenance costs and lessened output quality. For businesses in highly competitive markets, the stakes are even higher, as failing to keep pace can lead to lost business opportunities and market share.

Being Strategic About Equipment Lifecycle Management

Effective equipment lifecycle management is critical, requiring businesses to assess, update and upgrade their tools and machinery on a regular basis. Being proactive ensures that operations hum along, and your company stays ahead of industry trends. However, this strategy can require a substantial financial investment, often creating challenges for business owners, particularly those with constrained budgets or less-than-perfect credit histories.

RELATED READING: Cutting-Edge Equipment for Business Advancement Through Lease Financing

Transforming Challenges into Opportunities with GFLS

GFLS helps business owners address these challenges with tailored equipment financing solutions that transform potential obstacles into opportunities for growth and innovation. Unlike traditional lender and big banks, we’re an alternative lender providing business owners of all credit tiers with the financing to obtain cutting-edge equipment and stay competitive.

Key Advantages of Partnering with GFLS to Combat Equipment Obsolescence

  • Capital Preservation: Our financing solutions help you to preserve your capital, so that you have funds available for other critical operations and investments.
  • Payment Plans: We recognize our clients’ diverse needs, so we work with you to create a payment plan that aligns with your company’s cash flow and financial structure.
  • Speed and Simplicity: In the fast-moving digital world, time is of the essence. Our streamlined application and approval processes ensure that you can access the financing you need. Our team works quickly, reviewing equipment financing applications and making decisions in days rather than the weeks or months it takes other financial institutions. In fact, the only thing that slows down our equipment financing credit decisions is missing or incomplete information on the applicant’s side.RELATED READING: How Fast Can I Get Equipment Financing?
  • Ensuring Competitiveness: With access to financing for the latest equipment, regardless of startup status or credit history, your business is better positioned to meet customer demands, improve operational efficiency and maintain a competitive edge in the market.
  • Sustainable Growth: Our equipment financing solutions are designed to support sustainable growth, providing you with the tools and resources needed to scale your operations and expand your business footprint.

The Only Constant in Life and Business is Change

Change is the only constant in life and business, so staying proactive in managing equipment lifecycle is crucial. GFLS is your trusted partner, providing alternative equipment financing solutions that help you stay ahead of the curve in equipment obsolescence and move your business forward. Contact GFLS today, and take advantage of how equipment financing can lead to innovation, growth and success.

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Beyond the Credit Score: Alternative Equipment Financing with Us

by Equipment Financing

Without perfect credit, finding a lender who’ll work with you on equipment financing can be an uphill battle, but it doesn’t have to be a losing one. At Global Financial & Leasing Services (GFLS), we take a more empathetic approach to evaluating your credit and approving applications for equipment financing.

We understand that your credit history doesn’t tell your whole story. Through a comprehensive and compassionate evaluation process, we look at various aspects of your business’s operations and financials to uncover the real story behind the numbers. GFLS, considered an alternative lender, is changing the game in equipment financing, ensuring that business owners of all credit backgrounds have access to the funding they need to grow their companies.

Related Reading: Tech Innovations: Cutting-Edge Equipment for Business Advancement Through Lease Financing

Traditional Credit Scoring Has Shortcomings

Credit scores have traditionally been the go-to metric for financial reliability. However, they can be rigid and unforgiving, not considering the unique challenges and circumstances business owners face. GFLS’s team recognizes that a credit score is a single chapter in your larger story.

A Holistic Approach to Understanding Your Business

At GFLS, we consider various factors to ensure a fair and accurate representation of your financial health and creditworthiness. Here’s how we do it:

  • Analyzing Cash Flow: Your cash flow tells a story of resilience and management savvy. We analyze your cash flow trends, knowing that stability and consistency can sometimes speak louder than a credit score.
  • Valuing Industry Expertise: Longevity and experience in your industry signify stability and expertise. We take stock of the years you’ve dedicated to honing your craft, acknowledging that your industry acumen is a vital component of your creditworthiness. On the other hand, we also work with startup business owners to fund their equipment purchases or leases. We believe being new to one business doesn’t mean you’re new to business ownership or managing financial responsibility.
  • Comprehensive Financial Review: We go below the surface, analyzing your business’s complete financial picture. From income and expenses to profitability, we assess facets of your financial performance to gain a true understanding of your fiscal health rather than make credit decisions based on a single number—a credit score.
  • Considering Collateral and Assets: Assets and collateral provide an additional layer of security and trust. We evaluate the resources at your disposal, since your assets play a crucial role in securing your equipment financing.
  • Assessing Customer Feedback and Reputation: Your interactions with customers paint a picture of your business’s integrity and quality. We might skim customer reviews and testimonials, understanding that a stellar reputation is a testament to your reliability and excellence in service. We note trends. No one can please all the people all the time. And one or a few bad reviews are expected business practice. In fact, GFLS received a bad review from a client who had us confused with another company with the same/close name.
  • Leveraging Personal and Business References: References offer a unique perspective on your business operations and reliability. We might consider both personal and business references as integral components of our holistic credit assessment.

Related Reading: With Small Business Loan Approvals Hard to Come By, Alternative Financing Offers Hope

The GFLS Advantage: Your Future Business Success Doesn’t Have to Hinge on Your Past

At GFLS, we are committed to breaking down barriers, providing equipment financing solutions tailored to your unique business story. Our approach to credit assessment ensures that you are not defined by your credit score, but rather by the potential and resilience of your business.

Your access to equipment financing should not be hindered by the constraints of traditional credit scoring. Explore the possibilities with GFLS, and partner with a financing provider that sees beyond the numbers. Contact us today and take the first step towards unlocking the equipment financing your business deserves.

Franchise Business Cityscape Composition

A Strategic Guide for Franchise Businesses on Mastering Equipment Financing

by Equipment Financing

Successfully navigating the complexities of franchise ownership demands a strategic approach, especially when it comes to equipment financing. Much like industries that are heavily regulated, such as healthcare, cannabis and construction, franchise businesses operate within strict frameworks, adhering to brand standards while striving to remain profitable and competitive.

Our team at Global Financial & Leasing Services (GFLS) understands the intricacies of equipment financing tailored specifically for franchise businesses, offering invaluable insights and strategies to align your equipment needs with brand requirements and growth goals.

The Franchise Framework: A Balancing Act

Owning a franchise means more than just managing day-to-day operations; it involves maintaining brand integrity through consistency and quality across all facets of the business. This extends to the equipment that powers your franchise, from kitchen appliances in a restaurant to computer systems in a retail outlet.

Each piece of equipment plays a critical role in upholding brand standards and delivering exceptional customer experiences. Ensuring that every upgrade or new equipment acquisition aligns with franchisor protocols is not just a legal agreement or brand compliance issue—it’s essential for business success. After all, part of the appeal of buying a franchise business is that the business plan and operations flow is already set, tried and true—turnkey map to success.

Understanding Equipment Financing in the Franchise Context

Franchise business owners face a unique set of challenges, like those in regulated sectors like healthcare and cannabis. Selecting the right equipment financing provider is crucial, as it requires a partner with a deep understanding of the franchise landscape. At GFLS, we bring our expertise and industry knowledge to the table, ensuring your equipment financing strategy is in perfect alignment with your franchise agreement and sales goals.

Specifically…

The right equipment financing partner can make all the difference. Look for a provider with a track record of working with franchise businesses, as they will have a better understanding of brand requirements and industry standards. At GFLS, our team is well-versed in the unique needs of franchise operations, providing tailored financing solutions that match your business objectives and brand guidelines.

Just as industries such as recycling and construction require adaptable equipment solutions to navigate ever-changing technology and regulations, franchise businesses need financing options that support scalability and growth. Our financing solutions are designed to provide the flexibility required to upgrade or add equipment as your franchise evolves, all while ensuring terms that support your business’s financial health.

Franchise operations come with a set of brand standards that must be adhered to, including equipment specifications and supplier requirements. It’s imperative to choose a financing provider that understands these standards and can work seamlessly with your equipment suppliers. Our team at GFLS ensures that every equipment financing plan we provide aligns with your franchisor’s specifications, maintaining your business’s compliance and enhancing operational efficiency.

Recognizing the distinct equipment financing needs of franchise businesses, we offer specialized solutions to cater to a wide array of industries. From cannabis, recycling/waste and healthcare to transportation and restaurant franchises, our financing plans are tailored to meet your specific requirements, ensuring that you have the resources needed to thrive in your area.

Equipment Financing for Franchise Owners in a Nutshell

Franchise ownership, while rewarding, requires strategic planning and informed decision-making, especially when it comes to equipment financing. At GFLS, we help empower franchise business owners with the knowledge, flexibility and customized solutions needed to drive success. Our equipment financing options are designed to align with brand standards, support growth and provide the financial agility needed to adapt to your business landscape. Contact us today to get started on your journey to strategic equipment financing.