Equipment Financing

Equipment financing is a loan or lease used to acquire business equipment, with the equipment itself serving as collateral. You apply (application-only to $1,000,000 at Elevex), choose a structure — $1 buyout, operating lease, seasonal, or usage-based — and the lender pays your vendor while you pay over a 24–84 month term. Compare structures side by side.

Rates depend on credit profile, time in business, equipment type, and term — strong credits on standard assets see the most competitive pricing, with approved-credit rates quoted per deal rather than a one-size number. Structure often matters more than rate: a seasonal schedule that matches revenue can be worth more than half a point.

Both are financeable with the right structure — we underwrite the business and the equipment's economics, not just the score. Startups lean on operator experience and contracts in hand; credit-challenged files see structure options like shorter terms or larger first payments.

Financing preserves working capital for the things that can't be financed — payroll, inventory, marketing — while the equipment pays for itself from the revenue it generates. Section 179 lets you deduct qualifying purchases either way; run the numbers on our Section 179 calculator.

Financing (a loan or $1 buyout lease) builds equity toward ownership; leasing (FMV/operating lease) lowers payments and keeps end-of-term flexibility. The right answer depends on how long you'll run the asset and the accounting outcome you need — see our equipment leasing page for the full comparison.