Posts in category: Financing

The Time to Find Out is Before Applying for Equipment Financing

For small business owners, your personal credit history plays a role in obtaining essential use business equipment financing. However, lenders also draw a correlation between your personal credit history and your business credit report—the belief being that people tend to treat their business accounts much like they do their personal accounts. If you’re a new small business owner, your personal credit history will take precedence over any business credit history you’ve yet to build. But, if your business is established, your business credit report pulls more weight on an equipment financing application.

Before Applying for Equipment Financing is the Time to Find and Clean Up Any Skeletons

A lender can certainly review your business credit report prior to approving credit. Lenders use this report to verify the information you provide on your credit application. You’ve probably heard stories about applicants being caught off guard by what a lender finds, especially if the finding(s) is inaccurate. Business credit bureaus have been known to make mistakes, and it falls on the business owner to review his or her report to ensure it is accurate.

LEARN MORE: How to Improve Your Personal Credit Before Financing Business Equipment

Dun & Bradstreet is the largest and most common source for business credit reports. The firm receives its information for credit reports from various sources, much like individual credit reporting bureaus, including Equifax, TransUnion and Experian. Before a lender orders your business credit report, you should obtain a copy to verify all data it contains is correct. Doing so gives you the opportunity to remove inaccuracies and time to repair any credit blemishes as much as possible.

Request a Copy of Your Business Credit Report

Dun & Bradstreet offers a free business credit report. You can order it online.

10 things to review for accuracy on your business credit score are:

1. Your official business name, as well as any trade styles (DBAs).
2. Your physical business and website addresses.
3. Your business SIC/NAICS code.
4. Your business ownership entity (corporation, LLC, etc.) and number of years in business.
5. The name(s) of your business’s officer(s) and work experience.
6. Any data regarding business history, company events, ownership and/or location changes, etc.
7. Any financial information you’ve opted to list.
8. Your payments score. You can challenge late payments if you have proof they were made on time.
9. Any business liens, lawsuits and loans.
10. Public record information, such as UCC filings, tax liens or legal judgments. You can dispute any inaccurate public record information with the credit reporting agency.

How Often Should You Check Your Business Credit Report?

Protecting your business credit history is just as important as reviewing your personal credit report from time to time. Regular reviews not only ensure accuracy, but also can alert of identity theft if you notice accounts open in your name that you did not open.

Have a question about how business and personal credit reports affect your equipment financing application? Talk to one of our staff members. We’re happy to help.

With the Right Lender, the Process isn’t Scary

Our team at Global Financial & Leasing Services (GFLS) has heard some pretty scary stories about the process for applying for equipment financing with other lenders, not to mention awaiting credit decisions. The stories range from applicants filling out pages upon pages of tedious financial information to lenders stringing them along only to deny credit. In the end, applicants are left without the equipment they need for their business or starting the entire process over again with a different lender in hopes of a different result. Either way, time and frustration can be avoided if you have a clear understanding of the application process and work with a lender willing to work with you.

Look for a Simplified Financing Application

Take a look at GFLS’s equipment financing application. Beyond basic contact information, such as name and email and phone, you’ll notice there just five additional questions directly related to your business and equipment you’d like to finance—your industry, the finance amount, gross annual sales, years in business and intended use.

That’s all we need to get the ball rolling. Not so scary at all, and it’s worked for us and our customers who need financing for essential use equipment since 2009. How does it work? Global Financial is a direct lender able to finance almost any business seeking to acquire equipment. Even applicants who have been denied credit by the big banks due to prior bankruptcy, student loans, tax liens or bad credit can be approved via our in-house funds or relationships with more than 200 private label and public banks.

Choose a Streamlined Application Supported by Personal Customer Service

Whether this is your first or 15^th time applying for equipment financing, there’s bound to be some anxiety associated with waiting for a credit decision to be made. Our simplified application process aims to decrease that anxiety, but it’s our team that truly makes a difference. We understand that nothing makes the experience smoother than simply staying in touch and keeping you up to date with where your application stands.

What makes applying for credit so scary with big banks is the lack of communication and lag time between submission and either approving or denying credit. GFLS’s entire equipment financing process is transparent. Once you submit your financing application, our team reaches out to you. Then, expect to receive daily updates on your application’s status, and more importantly, feel free to speak directly to our credit decision makers.

In the market for used heavy equipment? See what we have for sale.

Work with the Right Direct Lender

Your financing application only reveals part of the bigger picture of you and your business. If you have B- or C-tier credit or a startup company, working with a direct lender who’s willing to listen and look beyond numbers is important. Along with credit scores, we believe in character and treating every applicant with respect and kindness.

As a direct lender, GFLS is able to approve credit with our in-house funds, and the typical turnaround time is 24 to 48 hours, not weeks or months. When other lenders say no to financing essential use equipment, GFLS can often say yes, so tell us about your financing needs.

Work with a financing partner who takes the mystery of our equipment financing for small and mid-sized business. Contact us or start with your application.

Partnering with GLFS for vendor financing can benefit your business in many ways.

First, having an in-house vendor financing program can open up more buying opportunities for clients and expand your client base. With in-house financing by GLFS, more potential buyers will be able to afford more and better equipment, and buyers who don’t qualify for traditional loans will not be excluded from your customer base. This will improve your bottom line by increasing order sizes and accepting more potential clients.

An in-house vendor financing program with GLFS also gives you more control over how your buyers’ purchases are financed. Our team will work with your company to create a program that works for you. With your best interest and preferences in mind, we will design a financing program with terms that work for everyone.

Finally, a vendor financing program can be a deciding sales factor when faced with a comparable offer from another vendor. If your company can streamline the process of obtaining financing for equipment sales, then the buyer will most likely choose your offer to save time and get the equipment they need faster.

Submit an Equipment Vendor application today. If you have questions, contact our team for answers.

When Other Lenders Say No, We Often Say Yes

In the wake of the pandemic and other market disruptions, business owners are understandably struggling with uncertainty, especially when it comes to financing large equipment purchases.

Financing equipment through big banks can always be rather challenging for businesses. However, in recent times, banks are taking fewer risks, meaning there less money out there to fund financing. Even companies with perfect credit scores struggle through the approval process, and those with blemishes on their credit reports are at an even greater disadvantage.

That’s why smaller lending firms like Global Financial & Leasing Services (GLFS) step up to help small businesses. Since 2009, GLFS has set out to provide small and mid-sized companies with the financing they need to make essential equipment purchases. Unlike big banks, GLFS looks beyond your and your company’s credit score to find a financing solution that works for you.

Why We Started GLFS

GLFS was founded to provide equipment financing alternatives to major banks. Historically, obtaining credit from large financial institutions is tedious and time-consuming. Banks often require large amounts of paperwork to kick off the application process, and decisions can take weeks, if not months. Plus, business owners waste precious time waiting for an approval that may never come.

We started GLFS as a way to make financing more accessible for small and medium-sized businesses with varying credit scores. At GLFS, we look at your business’s full financial picture to make decisions, and small blips or a short credit history doesn’t necessarily mean a rejection. We also aim to provide answers and options quickly, usually in 24 hours or less, eliminating long and frustrating waiting periods.

GLFS is in business to help other businesses by offering flexible solutions for equipment financing across a variety of industries, and we aim to work with you individually to find a finance or lease agreement that meets your unique needs and goals.

The proof is in the numbers. Some of our recent closings include:

• A medical services company financed a $400,000 MRI imaging system
• A healthcare company financed a $100,0000 used hyperbaric chamber
• A logging company financed a $40,000 excavator
• A general contractor financed a $28,000 Ford F350 truck
• A construction company financed a $270,000 Vermeer Drill
• A construction company financed a $30,000 tele handler
• A construction company financed a $45,000 new Chevy Silverado truck
• A trucking company financed a $29,000 2012 Freightliner

Is GLFS is a Better Financing Option for Your Business Equipment?

Many small and medium-sized businesses prefer GLFS to traditional banks due to our easy application process, holistic decision-making and personalized approach to lending.

GLFS’s credit application process is designed to be as streamlined as possible, while giving us a holistic picture of your business and needs. We understand that time is always in short supply when running a business, so we designed our application to take up as little of your time as possible.

GLFS gives a more personalized approach to equipment financing. We work with our partners to find lending agreements that will help you reach your goals, and that means providing support during hard times. Contact us to learn more about how we can help your business.

When financing major business equipment purchases, choosing the right lender from the many out there can boggle the mind. Shady companies and scam artists have flourished in the age of the internet, and sometimes, it can seem hard to tell who’s legitimate and who isn’t.

One of the easiest ways to ensure that you select a trustworthy lender is by looking at professional associations like the American Association of Commercial Finance Brokers (AACFB). These groups have high legal and ethical standards for their members, and they can often provide guidance on specific companies for financing equipment in your industry.

If you plan to make a major purchase, then you will want to deal with business-minded lenders who you can trust. Choosing a lender that is a member of a professional association is an excellent way to ensure that your equipment financing is in good hands.

Why Associations Matter

Associations have high standards for their members to ensure that they are reputable lenders. To join these groups, a lender must pass a variety of tests and background checks proving they are legitimate. Members must also often undergo periodic reviews, and they can be expelled from the organization if they are found to engage in unprofessional or unethical conduct.

Additionally, most associations have strict ethical standards that members must follow to maintain their affiliation. AACFB’s code of ethics mandates that its members are honest and professional in their dealings and are fully transparent with clients and relevant organizations.

What Risks Do Non-Affiliated Lenders Pose?

Non-affiliated lenders pose several risks to any company that uses them. Many of these companies engage in predatory practices, such as charging excessively high interest rates or fees. They also may use pressure sales tactics to lure consumers into accepting less-than-ideal loan terms.

LEARN MORE: 3 Non-Negotiables When Selecting Your Equipment Lease Financing Partner

Financing scams unfortunately are prevalent in the age of the internet. Many fraudsters will build legitimate-looking websites to attract consumers, and they will then attempt to steal your information or money. Typically, they target small businesses with limited credit, offering deals that seem too good to be true. Many of these fake lenders will claim to be affiliated with an organization, so you should take time to verify the validity of the organization and their membership before working with them. Associations keep a list of members on their websites for verification purposes.

Choosing the Right Lender for You

While choosing the best lender for your needs depends on many factors, you should always use a company with official affiliations to legitimate organizations. These lenders must meet strict professional and ethical standards to remain in their associations, making them substantially more trustworthy than non-affiliated ones.

You should also take care to select a lender with expertise in the type of equipment that you plan to finance. Associations can also help you in this regard by providing directories of reputable firms in your field.

Global Financial & Leasing Services is a member of the American Association of Commercial Finance Brokers. We specialize in financing for equipment used in health/medical, construction, restaurant, machinery/manufacturing, printing and logging/forestry. We work with business owners who have less-than-perfect credit.

LEARN MORE: What Type of Equipment Qualifies as “Essential Business Equipment?”

Ready to learn more, let’s talk about the possibilities. Or, get started today by filling out an online application.

Global Financial & Leasing Services (GFLS) offers financing for commercial vehicle leases. Even though these vehicles are put into service in several different industries, our team fields some common questions from business owners that apply regardless of line of work.

Here are the questions about commercial vehicle leasing and lease financing we’re asked most often.

For what types of commercial vehicles do we finance leases?

GFLS finances leases for just about every type of commercial vehicle, ranging from basic work pickups to delivery trucks for local routes and intrastate routes, as well as vehicles used in industries we specialize in, including construction, forestry and logging.

We do not finance leases for semi-trucks used for interstate hauling.

What qualifies as a commercial vehicle?

The US Department of Motor Vehicles identifies any vehicle that is leased by any kind of business as a commercial vehicle. Also, a vehicle is considered in the commercial category if it:

• Is used for business purposes, but owned by an individual entrepreneur or sole proprietor
• Is built and used primarily for transportation of property
• Is designed to carry more 15 passengers
• Exceeds a certain weight class, even if it’s not owned by a business owner or used for commercial reasons

As such, nearly every business owner’s vehicle(s) qualify as commercial, so GFLS can help you finance a lease if your business involves transporting (large vans, busses, taxis, limousines, and tow trucks, etc.), construction (cranes, bulldozers, dump trucks, and excavators, etc.) agriculture (vehicles used to plant, raise and harvest crops, including tractors, seeders, and cultivators, etc. and same for livestock) to name a few. If you’re not sure if we finance leases for the commercial vehicle(s) your business needs to grow, just ask us.

How does leasing a commercial vehicle help my business?

First, many of our customers don’t have perfect credit or have a startup, which makes it difficult, if not impossible, to obtain lease financing. By financing a commercial vehicle lease with GFLS, you can improve your credit score if you make timely payments. Second, leasing lets you keep cash reserves and/or any other personal or business lines of credit available for other purposes. Last, you can maximize the tax advantages of lease financing.

What are the tax advantages of leasing?

It depends on whether you choose a capital lease or an operating lease. A capital lease allows you to write off the vehicle’s depreciation. An operating lease lets you treat the lease payment as an operating expense.

LEARN MORE: Want to Lease a Titled Vehicle? Global Financial & Leasing Services has a Program for That

Is there a down payment required to finance a commercial vehicle lease?

GFLS requires a 20% down payment.

How soon can I get approved?

Once GFLS receives your application, most of the time you’ll have a decision in as few as 24 hours. Usually, it takes our customers longer to find the commercial vehicle that fits their needs than it does to get approved.

Can I qualify for commercial vehicle lease financing if my business is a startup or I have credit with past blemishes?

GFLS makes it a point to look beyond the numbers when approving applications. We specialize in financing for those just starting out and those with past blemishes on their credit. We consider how you face and conquer challenges and the positive aspects of your financial history. We believe your character and integrity can outweigh credit blemishes or lack of time in business.

Why should I work with Global Financial & Leasing Services?

• Our team expedites and simplifies the application and funding process because we understand how important having the commercial vehicles you need impacts your business’s success.
• We understand our customers are more than a credit score or time in business.
• You can speak directly to our decision makers.
• We stay in constant communication with you, so you always know where your application stands.
• Your business matters to us and you can tell by the way our team treats customers with kindness and respect.

Having the right equipment, including commercial vehicle(s), makes all the difference in a company’s ability to grow and thrive. Let GFLS help your business succeed with commercial vehicle lease financing. Contact us or start the process by filling out an application.