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Equipment Financing Options for Construction Companies

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Construction companies face a unique set of challenges when it comes to financing the equipment, they need to get their jobs done. Their projects often require expensive, specialized machinery and tools that can be difficult to obtain with traditional loans. Fortunately, there are several equipment financing options available for construction companies, allowing them access to the necessary resources without breaking the bank.

Equipment Loans and Leasing Packages

Equipment leasing is a popular financing option for construction companies. With equipment leasing, you’re able to rent the machinery or tools you need on terms that match your current budget and project timeline. At the end of the lease period, you can either return the equipment or purchase it outright at an agreed-upon price. This is a great way to access the equipment you need without having to make a large upfront payment.

Asset-Based Leasing

Another option available to construction companies is asset-based lending. This type of financing allows businesses to borrow money against their existing assets such as accounts receivable or inventory. The lender will typically examine the value of these assets, and then offer a loan based on a percentage of that value. This is useful for businesses that don’t have the cash flow to support large equipment purchases, as it allows them to access financing without spending too much.

SBA Loans

Finally, there are government-backed loans available for construction companies in certain circumstances. These loans are typically provided by the U.S Small Business Administration (SBA) and can be used to finance everything from equipment purchases to construction projects. The SBA has a variety of loan programs available, so businesses need to do their research to determine which one is right for them.

By exploring these options, construction companies can find the financing they need to succeed. Whether it’s through a lease, loan, or government program, finding the right financing can make all the difference for your construction business. K2 Capital offers a wide range of equipment financing options for every budget. Contact our team today to get the equipment you need.

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