The ebb and flow of a business are hard to plan for, especially when your business’s value is tied up in equipment rather than cash flow. With a revolving line of credit, you can use that collateral to establish a flexible payment plan that improves your cash flow and bonding capacity, all while you get out from under your debt. Figuring out the financing options available to you can feel overwhelming, but our team is here to help you understand the details and customize a plan that works for your specific needs.
Since a revolving line of credit gives you the option to borrow against your equipment, it's important to be able to prove its value in order to avoid costly write-offs. Equify Financial can help you determine how much cash you’ll need each month, based on actual usage and an expected reduction in operating costs. Once this calculation is complete, you’ll have a good idea of the minimum monthly payment that will be required.
We'll help you to figure out exactly how long your loan will last through an amortization schedule. It may be necessary to find additional temporary financings, such as working capital loans or overdraft lines. These may require a lower payment than the minimum revolving line of credit, but the amount will increase as your business needs grow. At some point, you’ll need to replace those short-term financing sources.
If you're not familiar with the many options available in these financing markets, our team can help you feel confident that equipment financing is a good choice for you. Contact us today to speak with one of our experienced finance experts, for more information.
With capital tied up in assets and an increasing demand for logistic services, this client needed to access cash for equipment purchase to support demand.